✅ Subscribe Listed Gems, Jewellery And Watches

Shankesh Jewellers Limited IPO

₹367 Cr · Fresh Issue & OFS · Gems, Jewellery And Watches

Price Band
₹88 – ₹93
GMP (Grey Market)
No GMP data yet
Issue Size
₹367 Cr
Fresh Issue & OFS
Market Cap
₹1367.39 Cr
At upper band
P/E Ratio
12.8x
P/S: 0.8x
Listing Date
25 Aug 2026
BSE & NSE
IPO Timeline
Opens
18 Aug 2026
Closes
20 Aug 2026
Allotment
21 Aug 2026
Refund
24 Aug 2026
Listing
25 Aug 2026
📄 Official Docs RHP (Red Herring Prospectus) ↗ DRHP ↗
Listing Performance
Issue Price
₹93
Allotment price
Listing Price
₹102.2
+9.89% on listing day
Current Price (CMP)
₹101.73
+9.4% vs issue
Listed On
25 Aug 2026
BSE & NSE
Our Analysis — Key Points
✓ Strength
Exceptional profit growth trajectory
Net profit surged from ₹12.8 Cr (FY-2) to ₹106.7 Cr (FY0), a 188.5% two-year CAGR. Revenue also grew steadily at 23.9% CAGR over the same period, reaching ₹1630.9 Cr, demonstrating both scale and profitability expansion in a capital-intensive business.
✓ Strength
Valuation deeply discounted to peers
At 12.8× P/E, the company trades at 0.56× the niche sector midpoint of 23×, offering a 44% discount. The P/S ratio of 0.8× is also conservative for a jewellery retailer with ₹1630.79 Cr in revenue, suggesting limited premium pricing into the valuation.
✓ Strength
Strong capital efficiency metrics
ROCE of 26.28% indicates the company generates ₹0.26 of profit per rupee of capital employed, well above cost of capital. This efficiency is rare in retail jewellery and suggests competitive advantage or operational discipline.
✓ Strength
Bullish market sentiment and promoter commitment
Grey Market Premium of ₹55 (31.07% above upper band) signals strong retail demand for an SME listing. Promoter holding remains elevated at 69.53% post-issue, demonstrating continued confidence and alignment with minority shareholders.
⚠ Risk
Thin operating margins limit resilience
EBITDA margin of 4.65% and NPM of 6.5% are narrow for a jewellery business, leaving little buffer against commodity price volatility, labour cost inflation, or demand shocks. A 10% revenue decline could compress profitability sharply.
⚠ Risk
Moderate leverage in cyclical sector
Debt-to-equity of 1.44× is acceptable but not conservative, especially in jewellery where gold and silver prices fluctuate. Rising interest rates or working capital stress could pressure cash flow if inventory turns slow.
⚠ Risk
Jewellery sector cyclicality and competition
Retail jewellery is highly cyclical, sensitive to gold prices, consumer sentiment, and festive demand. The company faces entrenched competitors (Titan, Malabar Gold, Kalyan) with stronger brand equity and distribution networks.
₹ Valuation
Valuation deeply attractive on multiples
At 12.8× P/E against a 23× sector midpoint, the company is priced at a 44% discount. The 0.56× multiple-to-midpoint ratio sits well within the Subscribe threshold of ≤1.0×, and the 188.5% PAT CAGR justifies the growth premium embedded in the valuation.
👁 Watch
Monitor margin sustainability post-listing
Track quarterly EBITDA and NPM trends closely. If margins compress below 4% EBITDA or 5% NPM within two quarters, the valuation case weakens significantly given the narrow safety margin already present.
Top Analyst Reviews
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Company Snapshot
Revenue ₹1630.79 Cr
Net Profit ₹106.68 Cr
Industry Gems, Jewellery And Watches
Issue Type Fresh Issue & OFS
Promoters KANTILAL KHEEMRAJ JAIN, MAHAVIR KANTILAL JAIN AND MANOJ KANTILAL JAIN
Lead Managers Aryaman Financial Services and Smart Horizon Capital Advisors
Frequently Asked Questions
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