What is your view on Nykaa, is it worth buying at these prices?

The stock of Nykaa had a good opening but has corrected sharply after that. The stock had fallen from Rs.2,500 all the way to Rs.1,000 amidst the digital carnage in the stock markets. However, the likes of Jefferies are once again getting positive on Nykaa and are now giving a target of Rs.2,300 per share or approximately 50% upside from current levels. However, Jefferies has given a wide range for Nykaa with downside closer to Rs.900.

While valuations can still be debated and disputed, what cannot be denied is the influence that Nykaa has had on the ecosystem. Its content ecosystem across fashion products and its focused loyalty programs could be valuable for the company. The company also saw record levels of gross merchandise value (GMV) in the current quarter.