Nykaa Shares Soar 69%: Can The Indian Beauty Retailer Continue Its Winning Streak In 2026?

The Indian beauty and personal care market has witnessed a significant turnaround in the fortunes of FSN E-Commerce Ventures, the parent company of Nykaa, with its stock price surging 69% in the last nine months. This impressive performance has not only removed the 'underperformer' tag from Nykaa but also positioned it among the top performers in the new-age stock category.

The Stellar Performance of Nykaa Shares

From a trading price of ₹158 apiece in March, the stock jumped to ₹267 by the November close, marking a massive surge of 69%. This unbreakable run-up has pushed Nykaa's market capitalisation to above ₹70,000 crore. The nine-month winning momentum has also contributed to a 52% surge in 2025 so far, and if the stock maintains the same trend, it will mark its biggest yearly gain since listing in November 2021.

What Led to the Sharp Turnaround in Nykaa Shares?

The sharp turnaround in sentiment can be attributed to the company’s improving financials, strategic acquisitions, new brand tie-ups, steady demand for makeup and skincare products, and signs of revival in its fashion business. The company posted solid numbers in the recent quarters, including the September quarter, with higher sales of premium products helping the company achieve sharp growth in its top line, along with margin expansion.

• Net profit in Q2 came in at ₹34.43 crore, a sharp 243% surge over the same period last year
• Revenue from operations witnessed a 25% YoY jump to ₹2,345 crore
• Gross margins were at the highest levels in 12 quarters

Outlook for Nykaa Shares in 2026

Global brokerage firms, such as Morgan Stanley and CLSA, have maintained their positive outlook on the stock, with target prices of ₹271 and ₹298, respectively. Anshul Jain, Head of Research at Lakshmishree, believes that Nykaa has broken out of a long 145-week IPO base and is now retesting the breakout zone, offering a favorable risk–reward entry.

Remember, this is just a perspective, not a prediction. It's essential to do your own research and consult with certified experts before making any investment decisions. The Indian beauty and personal care market is expected to continue growing, driven by increasing demand for premium products, and Nykaa is well-positioned to capitalize on this trend.