FirstCry Shares Drop Over 4.5%

Shares of Brainbees Solutions, the parent company of kids-focussed omnichannel retailer FirstCry, tumbled over 4.6% to INR 552 on BSE during the intraday trading today (January 9). 

The shares have been on a falling streak after it touched INR 653.9 on January 2. The stock has ended in the red in four out of the last seven trading sessions.

Recovering some of the losses, the stock ended today’s trading session 4.2% lower at INR 554 on BSE. 

Rupak De, senior technical analyst at LKP Securities highlighted that the stock has fallen below the crucial 50 EMA (Exponential Moving Average).

“While the sentiment appears weak, a minor pullback cannot be ruled out following the sharp decline. Resistance levels are seen at INR 580-INR 600, while a drop below INR 540 could trigger further correction,” said De. 

With a dip in FirstCry’s share price, its market capitalisation fell to INR 28,763 Cr at the time of market closing today. 

Brokerage firm JM Financial a few weeks ago initiated coverage on Brainbees with a ‘buy’ rating and a target price of INR 692 per share. The stock’s closing today was almost 20% lower than the PT set by the brokerage firm. 

The company in the second quarter (Q2) of the ongoing fiscal year (FY25) managed to narrow its consolidated net loss by 47.4% to INR 62.85 Cr from INR 119.41 Cr in the year-ago quarter, on the back of a strong growth in its top line.

Revenue from operations jumped 26.7% to INR 1,935.85 Cr during the quarter under review from INR 1,527.68 Cr in Q2 FY24.

FirstCry’s shares closing price today was also 11.36% lower than its listing price at INR 625. The company made its stock market debut on bourses in August last year.