Lenskart Share: Expert Skeptical On Valuations Akin To New Age Tech Companies

The discussion focused on Lenskart’s growing influence in the eyewear market and Citi’s initiation of coverage on the stock. Citi has set a target price of ₹500 against the current level of ₹467, implying a 7-8% upside, citing a strong business model, good execution and a structural shift in eyewear becoming a lifestyle category. Lenskart’s integrated manufacturing, D2C approach, data-driven supply chain and expanding physical presence were highlighted as positives. However, concerns were raised over valuation. The speaker disagreed with classifying Lenskart as a technology company, calling it primarily a brick-and-mortar business using tech as a backend tool. While international expansion is seen as a positive, the elevated valuation and lack of consistent profitability led to a cautious stance, with a preference to wait for performance and earnings delivery before investing.