Shares of the fashion e-retailer FSN E-Commerce Ventures in Monday's trade (November 4) traded in the red in a subdued market. At around 10:33 am, shares of the company were down 1.47 per cent or Rs 2.7 at Rs 181.45 apiece, while at the day's low it hit levels of Rs 180.5 per share on the BSE.

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The drag in the stock came even as global brokerage Jefferies continued with its 'buy' call on the stock with a target of Rs 220, after attending the company's Nykaaland 2.0, the country's one-of-its-kind beauty festival. The set target implies gains of nearly 20 per cent from the last close.

The company's 3-day festival in Mumbai recently hosted over 80 brands and more than 1,000 content creators. Furthermore, the event attracted over 25,000 visitors and as many as 400,000 samples were distributed.

Jefferies noted that brands were pleasantly surprised with the turnout and the level of user engagement. The brokerage added that the grooming & make-up habits are evolving, which makes India a key growth market. Additionally, as per the brokerage, Brands consider Nykaa as an indispensable partner.
 

Nykaa's Q2 results

For the September quarter, the company's profit rose 50 per cent on-year to Rs 7.8 crore. In the previous June quarter, the company's net profit was at Rs 5.42 crore. Revenue from operations during the review period climbed 22 per cent to Rs 1,507 crore, from Rs 1,230.82 crore a year ago. The revenue growth came in despite the delay in festivities this year in comparison to the previous year.

The company also highligted that the physical retail business continued to expand post-Covid. 

Nykaa share price performance

In the last one year, the stock has gained over 28 per cent as against Nifty 50's gains of 24 per cent during the same time.