Is Lenskart’s ₹70,000-Crore IPO Valuation Too High for Dalal Street?

Eyewear retailer Lenskart is preparing to enter the public markets with ambitious targets, setting its sights on a valuation of nearly ₹70,000 crore through its upcoming initial public offering (IPO). The company has fixed a price band of ₹382–402 per share, a range that could make it one of India’s most richly valued consumer tech listings. However, the numbers have sparked intense debate about whether Lenskart’s premium valuation is truly justified.

At the upper end of the price band, Lenskart’s price-to-earnings ratio exceeds 230×, while its sales multiple stands above 10×—figures that are well beyond the norms for both domestic and global eyewear players. Yet, founder and CEO Peyush Bansal remains unfazed by the chatter. Responding to CNBC-TV18’s question about the company’s steep valuation, Bansal said his focus is on creating value for customers and shareholders rather than defending market multiples. “Valuation is ultimately what the market decides,” he said. “Investors coming in have done their due diligence; there won’t be anything off or abnormal here.”

Also Read: Lenskart IPO: Eyewear Company Sets Price Band at Rs 382–Rs 402; Check GMP and Other Key Details

Bansal himself is partially monetizing his stake, offering around 2.04 crore shares worth ₹1,008 crore at the upper end of the price band. Interestingly, he had acquired a 2.5% stake in July 2025 from investors such as SoftBank, Temasek, and Premji Invest at just ₹52 per share, implying a staggering 7.7× return on that purchase.

Backing Lenskart’s valuation, Jayasankar Venkataraman, Managing Director at Kotak Mahindra Capital—one of the issue’s advisors—argued that institutional investors are taking a long-term view. “You’ll see marquee DIIs and FIIs participate,” he said. “In consumer tech, investors look at growth track record. Lenskart has grown rapidly in India and abroad, and demonstrated operating leverage. These valuations have been discussed and benchmarked comprehensively with institutional investors.”

Still, comparisons with established peers make Lenskart’s valuation appear lofty. Global eyewear leader EssilorLuxottica, which owns brands like Ray-Ban and Oakley, reported revenue of around ₹2.5 lakh crore and net profit of about ₹33,000 crore in FY2024. Its current market capitalization is roughly ₹10.8 lakh crore, which equates to around 4 times sales and 32 times earnings—far below Lenskart’s implied multiples a fraction of Lenskart’s implied multiples. Domestically, Titan Company Ltd, which includes the Titan Eye+ brand, commands a market capitalization of roughly ₹2.7 lakh crore at 5× sales and about 80× earnings—and that includes its far more profitable jewelry business.

In contrast, Lenskart’s eyewear business, while growing, remains smaller and less profitable than these giants. The company’s heavy investments in international expansion, omnichannel operations, and technology-driven retail have fueled optimism about future growth—but they also bring execution risks and long gestation periods. Bansal’s comments have also reignited irony among Shark Tank India viewers, where he is known for grilling startup founders over inflated valuations. Many online users compared his defense to Paytm’s 2021 IPO, when the fintech giant’s shares plummeted over 60% after listing despite similar pre-listing confidence from management and bankers. 

The current market sentiment has been strongly bullish. Several recent listings have seen stellar debuts — Stallion India Fluorochemicals has surged nearly 200% since listing, Quality Power Electrical Equipments jumped over 75%, and Aditya Infotech delivered a 50% listing premium. Against this backdrop, it wouldn’t be surprising if Lenskart’s IPO, too, gets fully subscribed even at these elevated valuations.

But the bigger question remains: will investors make money if they enter at these levels? That will depend on whether Lenskart can sustain its growth momentum, expand margins, and eventually justify its sky-high multiples. For now, Dalal Street may be ready to buy into the story — but only time will tell if it delivers lasting vision or just a fleeting sparkle.