Nykaa parent Fsn E-Commerce Ventures Ltd’s shares are up significantly on Monday amid high trading volume.
The beauty and fashion retailer’s shares are trading 2.8% higher at ₹143.35 at the time of writing, Nykaa is seeing a 3-times-higher trading volume compared to one-week average at over 3 Crore.
The surge in Nykaa shares come after the selloff that ensued after the company posted dismal numbers for the third-quarter.
The stock slumped from ₹154.70 to ₹139 between Feb. 10 and Feb. 16 as the company reported a 70.67% year-over-year drop in net profit at ₹8.2 crore.
The recovery in Nykaa shares today comes amid a wider surge seen in new-age digital stocks. Delhivery Ltd. shares are up 3.6% on Monday, while Zomato Ltd is trading 2.8% higher. Paytm parent One 97 Communications is up 0.5% and Naukri parent Info Edge (India) Ltd is up 0.74%.
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Meanwhile, several analysts remain bearish even after the sell-off. HDFC Securities analysts led by Jay Gandhi downgraded Nykaa stock to ‘sell’ post the earnings report and cut the price target to ₹125.
ICICI Securities has a target price of ₹165 on the stock.
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