Shares of Nykaa surged over 5% to reach Thursday's intraday high of ₹155.10 at market open.

What Happened: FSN E-Commerce Ventures –Nykaa's parent company– informed on Monday that the company will be releasing its Q3 earning reports on Feb. 13. Since then, the shares have rallied over 7%. 

The beauty and fashion retailer that registered a new 52-week low last month, has majorly had a positive outlook from brokerages for its Q3 results.

See Also: Zomato Shares See Rally Fade Ahead Of Q3 Earnings

Brokerage firm Kotak Institutional Equities estimates Nykaa to post a 39% year-over-year growth in the third quarter driven by strong festive demand.

However, brokerage firm Jefferies in their latest research note, cut down its target price for the omnichannel retailer but did maintain the ‘buy' rating for the stock. The firm reduced its price to ₹200 from ₹270 citing "lower multiples to factor in the pullback in valuation for retailers in the context of near-term slowdown concerns."

The firm sees the increased competition and a reduction in the company's ad revenue going forward. It also showed concern about demand waning in the near term which could add pressure on the stock.

Price Action: Shares of Nykaa traded 3.41% higher ₹151.55 in the early hours of trading on Thursday.

Read Next: TCS Shares Extend Gains After Major Deal With UK Insurance-Services Provider