FirstCry Shares Surge 40% on Market Debut, But Analysts Urge Caution

North News

Mumbai, August 13

Brainbees Solutions, the operator of the popular online platform FirstCry, made a strong stock market debut, with shares listing at a 40% premium over the initial price of ₹465. As per CNBC TV, on August 13, the stock opened at ₹651 on the NSE and ₹625 on the BSE, exceeding market expectations. The listing was fueled by significant interest from qualified institutional bidders (QIBs), despite the IPO receiving a somewhat muted overall response.

However, analysts urge caution despite the initial enthusiasm. Concerns have been raised about FirstCry’s reliance on third-party manufacturers, ongoing financial difficulties, and rising debt, which could impact the company’s long-term profitability. Investors are advised to monitor the company closely as it navigates these challenges.