Lenskart’s upcoming IPO has ignited a firestorm of debate across social media and investment circles. The eyewear giant’s valuation skyrocketed from approximately ₹8,700 crore in July 2025 to ₹70,000 crore in October 2025—an eightfold increase in just three months that’s left many retail investors questioning the math behind this dramatic surge.

Lenskart Valuation Timeline and Controversy

The controversy centers around a July 2025 transaction where founder Peyush Bansal reportedly acquired 4.26 crore shares from existing investors for ₹222 crore, implying a company valuation of around ₹8,700 crore at that time. Fast forward to October, and the IPO price band of ₹382-₹402 per share suggests a valuation close to ₹70,000 crore.

Parameter	Details
July 2025 Valuation	₹8,700 crore (~$1 billion)
October 2025 IPO Valuation	₹70,000 crore (~$8 billion)
Valuation Jump	8x increase in 3 months
Buyback Amount	₹222 crore for 4.26 crore shares
IPO Price Band	₹382 to ₹402 per share
IPO Size	₹7,278 crore total
Fresh Issue	₹2,150 crore
Offer for Sale	₹5,128 crore
P/E Ratio	~235x (post-IPO)
Bansal’s Profit Estimate	~₹1,600 crore in 3 months

Understanding the Valuation Mechanics

Investment banking experts explain that secondary transactions like buybacks and IPO valuations often differ significantly. A buyback typically reflects internal restructuring or liquidity needs of selling shareholders, while IPO valuations incorporate future growth potential, market comparables, and investor sentiment during roadshows.

Lenskart‘s fundamentals support some optimism. The company reported revenue of ₹6,652 crore in FY25 with a net profit of ₹297 crore, marking a sharp turnaround from a ₹10 crore loss in FY24. EBITDA margins improved to 14.6%, and the company operates over 2,800 stores globally with strong omnichannel integration.

However, the 235x price-to-earnings ratio remains extraordinarily high compared to established retail brands like Titan, which trades at around 88x P/E. Market analysts note that while Lenskart dominates India’s organized eyewear segment with vertically integrated manufacturing and technology-driven operations, the valuation assumes flawless execution for several years ahead.

According to SEBI’s official guidelines, IPO valuations must follow regulatory frameworks, and there’s no evidence of impropriety. Major institutional investors including SBI Mutual Fund (₹100 crore) and billionaire Radhakishan Damani (₹90 crore) made pre-IPO investments, signaling confidence in the company’s prospects.

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