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Upcoming IPO: The IPO market is buzzing again, with three major names, Orkla India Ltd, Studds Accessories Ltd, and Lenskart Solutions Ltd, set to hit Dalal Street this week.

Each company operates in a distinct sector, FMCG, auto ancillary, and retail eyewear, but all come with strong brand recall and solid fundamentals.

Here’s a quick look at how they stack up and which one may be better suited for long-term investors.

Lenskart, India’s largest omnichannel eyewear retailer, has revolutionised how Indians buy spectacles and lenses. With over 2,800 stores (including 669 overseas), the company operates across 22 brands and sub-brands.

It boasts a vertically integrated model, designing, manufacturing, and selling eyewear products directly to consumers, which helps in cost efficiency and better quality control.

At the upper price band of Rs 402, Lenskart’s IPO is valued at FY25 EV/EBITDA multiples of 10.8x and 8.6x FY26, which appear reasonable given its market leadership and expansion strategy.

The company plans to invest in new stores, technology, and brand marketing, using proceeds of Rs 7,278 crore.

With its focus on premiumization and international growth, SBI Securities has recommended subscribing for long-term gains, citing robust business scalability and consistent profitability.

Studds is the largest two-wheeler helmet manufacturer in India and among the biggest globally, selling under the “Studds” and “SMK” brands.

The company has a market share of 27.3 per cent by volume and 25.5 per cent by value in India, and exports to over 70 countries. Its product range includes helmets, riding gear, and motorcycle accessories, catering to both mass and premium consumers.

With a price band of Rs 557–Rs 585, Studds’ IPO is valued at a FY25 PE of 33.1x, which is justified considering its high ROE, strong export presence, and consistent earnings growth (CAGR of 45 per cent in PAT over FY23–25).

The company has robust manufacturing capacity (9 million units annually) and a growing distribution network.

SBI Securities has given a ‘Subscribe’ rating, highlighting the company’s strong margins, low debt, and rising domestic demand amid government focus on road safety.

Orkla India, formerly known as MTR Foods, is a well-known name in the FMCG segment, offering packaged spices, ready meals, and sweets under brands like MTR and Eastern.

Backed by Norway’s Orkla ASA, it commands a 31–42 per cent market share in South India’s spice market and has a strong export presence in over 45 countries.

Priced between Rs 695–Rs 730, the IPO values the company at a FY25 PE of 34.6x. While Orkla is a debt-free, cash-rich company, its growth has been moderate compared to its peers, with revenue rising 5–7 per cent annually.

SBI Securities has given a ‘Neutral’ rating, citing fair valuations and steady, but not aggressive, growth prospects.

Anubhav Maurya is a Senior Sub-Editor at Zee Business, focusing on the stock market, personal finance, corporate news, and related sectors.

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