RATING

RECOMMENDATION

Strong Buy

  • ROFR Required
  • Available in Depository:

  • NSDL

  • CDSL

  • Available for Investment:

  • Primary

  • Secondary

RATING

RECOMMENDATION

Strong Buy

Business Type

Dominant Leader

RATING

RECOMMENDATION

Strong Buy

Business Type

Dominant Leader

ISIN

INE388Y01029

Face Value

₹10.00

Total Share

1,50,57,237

Total Income

₹2,452.65 Cr

Profit After Tax

₹61.65 Cr

EPS

₹41.53

P/E

34.05

P/B

1414.00

Market Capitalisation

₹2,129.09 Cr

Enterprise Value

₹2,214.92 Cr

Earnings Yield

2.94 %

Sector

Consumer Discretionary

Sub-sector

Apparel & Accessories

Category

Listed

Cashflow - Operations

₹149.85 Cr

Cashflow - Financing

-₹37.72 Cr

Nykaa E-Commerce Ltd. Growth

Compounded Sales Growth

  • 38.10%

    1 Year

  • 41.15%

    2 Year

  • 61.98%

    3 Year

Pro Only

Compounded Profit Growth

  • NA

    1 Year

  • NA

    3 Year

Pro Only

Return On Equity

  • 15.15%

    2021

  • -8.21%

    2020

  • -11.75%

    2019

Pro Only

About Nykaa E-Commerce Ltd.

  • Nykaa is an Indian e-commerce company, founded by Falguni Nayar in 2012 and headquartered in Mumbai. It sells beauty, wellness and fashion products across websites, mobile apps and 76 offline stores. 
  • Nykaa is primarily involved in selling of products which are manufactured in India as well as internationally. In 2015, the company expanded from online-only to an omnichannel model and began selling products apart from beauty. In 2020, it retails over 2,000 brands and 200,000 products across its platforms.
  • Nykaa is a unicorn startup, and as of 2020, was valued at ₹85 billion (US$1.2 billion)
  • From bringing the domestic brands, international brands, luxury and prestige brands, premium brands, niche and cult brands and expert advice and videos and a deep understanding of your needs and preferences to more than 72 Luxe and On-Trend and Kiosk Stores, an ever growing online community for beauty buffs, and a Beauty Helpline, the company goes out of their way to give customers only the very best. 
  • With 2400+, 100% authentic brands Nykaa offers a well curated comprehensive selection of makeup, skincare, haircare, bath and body, fragrance, grooming appliances, personal care, and health and wellness categories.
  • From the widest selection of genuine beauty products from around the world to beauty advice, Nykaa is truly passionate about catering to customer’s every beauty and wellness need. 

  • Nykaa E-Commerce Ltd. IPO Details

  • The company has filed DRHP for an IPO for raising Rs 525 Cr.
  • The IPO is expected by the end of the year 2021. 

Open Date

28 Oct 2021 at 10:00 AM

Closed Date

1 Nov 2021 at 05:00 PM

Listing Date

11 Nov 2021 at 10:00 AM

Nykaa E-Commerce Ltd.
Offer for Sale

₹ 4721.92 Cr

Nykaa E-Commerce Ltd.
Fresh Issue

₹ 630.00 Cr

Nykaa E-Commerce Ltd.
Total IPO Size

₹ None Cr

Nykaa E-Commerce Ltd.
Price Brand

₹ 1085 - ₹ 1125

Nykaa E-Commerce Ltd.
Min Order Qty

12 Shares

Nykaa E-Commerce Ltd. Retail Subscription Status

112.02x

Nykaa E-Commerce Ltd. QIB Subscription Status

91.18x

Nykaa E-Commerce Ltd. Non-Institutional Subscription Status

12.24x

  • Nykaa E-Commerce Ltd. Merger & Acquisition

Merger


Acquisition

  • Nykaa acquired 20 Dresses on 22nd March 2019.
  • Nykaa acquired Pipa.Bella on 12th April 2021.
  • Nykaa E-Commerce Ltd. Subsidiaries

  • Pipa Bella 
  • 20Dresses
  • Nykaa E-Commerce Ltd. Revenue Segmentation

  • Sale of products
  • Marketing support revenue
  • Marketplace Services
  • Nykaa E-Commerce Ltd. Product & Services

  • Makeup
  • Skincare
  • Haircare
  • Bath and body
  • Fragrance
  • Grooming appliances
  • Personal care
  • Health and wellness categories
  • Nykaa E-Commerce Ltd. Assets

  • The company has fixed assets worth Rs 68.7 Cr.
  • Nykaa E-Commerce Ltd. Industry Overview

Industry Statistics

  • The beauty and wellness market in India was valued at INR 901.07 Bn in 2018
  • With the rise in awareness about holistic wellbeing among people in India, spending on beauty and wellness products and services has increased.
  • According to the Indian Beauty & Hygiene Association (IBHA), the per capita spending on beauty and personal care products was around INR 450 per annum in 2017, which is expected to increase during the 2019-2024 period.
  • The rise in the income of the middle-class has propelled the demand for beauty products and wellness services. In India, the labour force participation rate of females in 2017 was 22.05%, which increased from 21.27% in 2012. With more women joining the workforce in tier 1 cities, their purchasing power has increased. The rise in their disposable incomes has resulted in the escalating demand for beauty products, and salon and spa services.

Future Prospects

  • The beauty and wellness market in India has valued at INR 901.07 Bn in 2018 and is forecast to reach INR 2,463.49 Bn by 2024, expanding at a compound annual growth rate (CAGR) of ~18.40% during the 2019-2024 period.

Nykaa E-Commerce Ltd. Strengths

  • The company has a first-mover advantage in this sector and has been successful in being the largest by market cap.
  • Cash flow from operations of the company has increased by a whopping 913% in this financial year which is primarily due to two reasons: Firstly, Cost-cutting measures taken up by the company and secondly, the company became profitable in this financial year. This signifies it is in it's growth stage and way ahead of its competitors.
  • The net profit ratio of the company has increased significantly which is because the company enjoyed the benefits of tax shield due to the losses accumulated over the previous years (since the inception of the company).
  • The Profit before tax margin of the company has increased significantly which is because the company had a significant decrease in finance cost due to the decreased leveraging (debt to equity) of the company.

Nykaa E-Commerce Ltd. Shortcomings

  • The company became profitable in F.Y 2021, 9 years after its inception. This signifies it still has a long way to go before becoming a stable corporation.

Nykaa E-Commerce Ltd. Opportunities

  • In India, people nowadays have become conscious about their appearance and are constantly spending money to enhance the way they look. This has allowed for the significant growth of the beauty and wellness services segment, with consumers paying frequent visits to salons.
  • The rise in the income of the middle-class has propelled the demand for beauty products and wellness services. In India, the labour force participation rate of females in 2017 was 22.05%, which increased from 21.27% in 2012. With more women joining the workforce in tier 1 cities, their purchasing power has increased. The rise in their disposable incomes has resulted in the escalating demand for beauty products, and salon and spa services.

Nykaa E-Commerce Ltd. Threats

  • The threat of substitutes is high as there are a lot of sellers with similar products and services, and there is no switching cost for customers
  • The threat of new entrants is high, as there is very little cost involved in setting up an e-commerce website.  
  • The bargaining power of customers is very high as there are many players in the market with similar products and there is no switching cost. Buyers prefer the company that offers the best price among other factors
  • Consumers demand quality beauty and wellness products and services at affordable prices. Though brand awareness is high among Indian consumers, they tend to switch brands if similar quality products are available at lower or similar prices.
Nykaa E-Commerce Ltd. Rating

  • RECOMMENDATION

    Strong Buy

  • Nykaa E-Commerce Ltd. Detail Info

Planify Ticker

Nykaantd

Frequently Ask Questions

Please find below the procedure for buying stock_name_auto Unlisted Shares at Planify.
• 1. You confirm booking of stock_name_auto Unlisted Shares with us at a trading price.
• 2. You provide your client master report (ask the broker if not available) along with PAN Card and Cancelled Cheque in case you are not transferring funds from the bank account as mentioned in the CMR Copy. These are KYC documents required as per SEBI regulations.
• 3. We will provide the bank details.
• 4. You need to transfer funds in that account.
• 5. Payment has to be done in RTGS/NEFT/IMPS CHEQUE TRANSFER. No CASH DEPOSIT.
• 6. Payment has to be done from the same account in which shares are to be credited.
• 7. We will transfer the shares in 24 hours if funds are credited before 2 pm.
Important Note: Please note that the lock-in period for selling stock_name_auto Unlisted Shares is 6 months after listing. Hence you can’t sell stock_name_auto Unlisted Shares which you bought in Pre-IPO for 6 months after its listing. i.e. You can sell it only after 6 months calculated from the listing date.

Please find below the procedure for selling stock_name_auto Unlisted Shares at Planify.
• 1. We will confirm our buying price of stock_name_auto Unlisted Shares.
• 2. We will give you our client master report and you will transfer the stock_name_auto Unlisted Shares to our demat account.
• 3. We will ask for bank details of yours once the stock_name_auto Unlisted Shares are received in our demat account..
• 4. We will transfer the funds in your bank account within 24 hrs of receiving the stock_name_auto Unlisted Shares.
• 5. Payment will be made in RTGS / NEFT / CHEQUE TRANSFER/IMPS. No CASH DEPOSIT.
• 6. Payment will be given in the same account which is linked to demat account or you need to provide the cancelled cheque shows your name to verify. As per SEBI regulations, the transfer of funds in the third party account is not legal and our policy refrain us from doing so.
Note: The price at which we are buying the share is fixed for 3 days. If you cant sell your stock within 3 days, then the price of that day will be applicable when we receive shares in our demat.

Lock-in period of stock_name_auto Unlisted Shares depends upon category of investors.
• 1. Venture Capital Funds or Alternate Investment Fund of Category -I or II, or Foreign Venture Capital Investor - lock-in Period of 6 months from the date of acquisition of stock_name_auto Unlisted Shares.
• 2. Other Investors (include Retail, HNIs or Body Corporate) lock-in Period of 6 months from the date of listing of IPO of stock_name_auto Unlisted Shares.
This new SEBI rule was introduced in the month of August-2021, wherein the SEBI has reduced the lock-in period previously from 1 year to 6 months to encourage more and more funds to be invested in startups which are going to public or IPO in near future. Reduction of lock-in is seen as big step and after that many PMS funds are advising their clients to invest in Pre-IPO shares to get the benefit of early stage investment.

DIS - Delivery Instruction Slip is the way through which an investor can sell or transfer the stock_name_auto Unlisted Shares from his/her demat account to any other demat account. There are two Types of DIS Slip.
1. Offline-DIS - This is an offline mode of transfer of shares wherein the investors needs to fill DIS form and give it to their broker for transferring the shares. Following are the fields which are required to be filled.
• a. ISIN number of stock_name_auto Unlisted Shares.
• b. Name of stock_name_auto Unlisted Shares
• c. Quantity of stock_name_auto Unlisted Shares
• d. Cosideration Amount
• e. Target DP ID and Client ID
• f. Annexure
2. Online DIS - Some of the broker these days gives facility of transferring the stock_name_auto Unlisted Shares via online DIS. So, please check with your broker whether such facility is available or not. For example: Angel Broking proivdes the facility of Online-DIS from its platform. As an investor he/she simply needs to add a beneficiary into it and send the stock_name_auto Unlisted Shares by filling the details similar to Ofline-DIS.

In the last 4-5 years, the unlisted share market has become quite big and as a result of that, the ticket size has reduced from usual 5-10 Lac to 35-50k in today's scenario. So, via our Planify platform, if somebody wants to buy stock_name_auto Unlisted Shares then minimum investment would be 35-50k.

Yes, buying and selling of unlisted shares in India is 100% legal.

If you sell your shares within 2 years, then you will have to pay Short-term Capital gain on unlisted shares. Short-Term Capital Gain is added in your Income. So, as per individual tax slab you need to pay capital gain tax.

If you sell your shares after 2 years, then you will have to pay Long-term Capital gain on unlisted shares LTCG is 20% with indexation benefits.

Taxes will remain the same irrespective of listing of shares, if bought in unlisted market. Actually, to be eligible for taxes as per listed market, one has to pay STT on buying and selling of shares. But, if you buy in unlisted and sell in listed market, one pay STT only on selling so, taxes of listed market will not be applicable.

If you buy stock_name_auto Unlisted Shares from Planify then these shares can checked in two ways. However, before we tell you the process of checking of shares, it is intimated that as per SEBI regulations, the shares can be transferred in demat account only.
Check credit of stock_name_auto Unlisted Shares Instantly?
• 1.You can download the NSDL or CDSL application from google play-store and check. If you want to check whether your stock broker is registered with NSDL or CDSL then check the following procedure.
• By carefully examining the number format of Demat Account we can easily identify whether the stock broker is registered with CDSL or NSDL.
• Demat Account = DP ID + Client ID. (16 Characters )
• "DP ID is the unique identification of the Broker. Every broker gets a unique number from CDSL or NSDL.By carefully examining the number format of Demat Account we can easily identify whether the stock broker is registered with CDSL or NSDL.
• Client ID is the unique identification of the Client. Every client gets this unique number which represents his/her portfolio.
• In CDSL, all these characters are numbers (1234567891234567) first 8 digits are DP ID and next 8 digits are Client Id whereas in NSDL the first two characters are letters which are in accordance with the country that you are from (IN12345678912345), then 6 unique digits for Broker and next 8 digits are client ID.
• Example:
• CDSL = 12345678(DP ID) and 91234567(Client ID).
• NSDL = IN123456 (DP ID) and 78912345(Client ID).
• Check in brokers application?
• Credit of stock_name_auto Unlisted Shares can be checked in brokers application as well but it takes T+2 days to show the shares.

The stock_name_auto Unlisted Shares are credited in demat account same day of transferring funds in our company's bank account.

The price of stock_name_auto Unlisted Shares can be checked in two ways. First, you can join our telegram channel where on daily basis we share the latest prices of all the unlisted shares in the morning and secondly, you can register on Planify.live platform to see the historical graphs and prices of all the shares at one place.

If you see the thesis of investment in the unlisted shares then it is being done mainly to take the advantage of IPO market. And, if the IPO plans of company get delayed due to market conditions or any other reason then demand suddenly drops in the market. The unlisted market works mainly on demand and supply and if there is no IPO news then getting exit would be difficult.

"Planify is India's fastest and leading marketplace to buy and sell unlisted shares. In the last 3 years, we have already served more than 1 million users on the platform. The total transactions value done from the platform is already more than 100 Crores. The name of our Co-founders Mr. Umesh Paliwal and Dinesh Gupta publish regularly in leading newspapers like MoneyControl, Business-Standard, ET etc for their views on IPO and Unlisted market. In the last 3 years, Planify has made a good name for itself in the industry and gained a trust of their users. So, the new investors should not be worried about any kind of fraud that is mostly happens with unkown brokers in the market while doing investment with Planify."

We at Planify do the valuation based on 2 methods.
• 1. We check the last funding that is being done in the stock_name_auto Unlisted Shares to ascertain the benchmark valuation.
• 2. If there is no funding happened in the company, then we try to find a business similar to stock_name_auto Unlisted Shares in the listed space and do comparison method to ascertain the valuation.
As an investor in the unlisted space, we would always recommend that you must check all the risk parameter carefully before investing in the unlisted space.

We source shares either from the employees or initial investors looking to liquidate their stock_name_auto Unlisted Shares.

Pre-IPO shares means which are planning for an IPO in near future. So, all the shares which are traded on the platform are not Pre-IPO Shares. However, if the company's business is going good and then demand will always be there in the unlisted space, so even if the IPO does not come, the investors can easily liquidate their stock_name_auto Unlisted Shares in the unlisted market itself.

Rules and regulations of SEBI are applicable in the Unlisted space like lock-in period of 6 months, paying of Stamp Duty, and DP Charges for every transaction etc. However, to become an unlisted broker there is no such regulation by SEBI as of yet.

For tracking news and other information about stock_name_auto Unlisted Shares, one can visit our website wherein we post news and other information on daily basis and one can also join our telegram channel.

Fundamental & Comparative valuation models and the forces of demand and supply in the market for unlisted shares dictate the price. These prices are based on our estimates and transaction history of stock_name_auto Ltd unlisted share.

We can generally arrange lot sizes starting with an investment of INR 20,000. To confirm the lot sizes of stock_name_auto Ltd unlisted shares with us.

The financials of stock_name_auto Ltd which includes the P/L of stock_name_auto Ltd and the Balance Sheet of stock_name_auto Ltd is in the financials section.

The annual report of stock_name_auto Ltd is available in the annual report section.