Target: ₹692
CMP: ₹639.30
Brainbees Solutions (FirstCry) is the largest specialised childcare platform in India across online as well as offline with complete dominance in the 0-4 year age group.
Founded in 2010, the company has since solved for its customers by launching carefully crafted home brands along with c.8k brand partnerships, which are distributed through its online platform and 1,124 physical stores.
FirstCry has been at the forefront of rising awareness for the category, with accessibility driven by physical store expansion and affordability of its home brands. BabyHug has since become one of the largest childcare brands in India with an estimated GMV of over ₹2,500 crore and the company is generating a substantial mix from its home brands.
We initiate on FirstCry with a Buy rating and a March 2026 TP of ₹692 valuing the business using SoTPbased valuation approach. We value the India Multi-channel business at 40x FY27E Adj. EBITDA – 20 per cent discount to implied target multiple of Nykaa BPC segment.
Key risks: COCO physical store expansion cannibalising existing footprint, execution challenges in international segment, and sudden changes in competitive landscape with QC players or Meesho taking away market share.
