Down 35% from peak; this retail chain draw fresh attention from analysts; check targets
Vishal Mega Mart target price: Select brokerage firms including Aditya Birla Money and HDFC Securities have initiated coverage on retail chain player Vishal Mega Mart Ltd (VMM), after a sharp correction, as they believe that the stock turns to be an attractive buy to play strong retail growth visibility in India.
Indian value retail is highly polarized between apparel players struggling with footfall consistency and grocers grappling with structural margin dilution. Analysts see Vishal Mega Mart is positioned as a strong value retail play, leveraging its multi-category model and private labels to drive footfall, margins, and scale. They project solid growth and improving profitability.
Vishal Mega Mart IPO and stock price
Shares of Vishal Mega were listed at the bourses in December 2024 when the company raised a total of Rs 8,000 crore via its IPO, selling its shares of Rs 76 apeice. The stock had zoomed to Rs 157.75 in August 2025, surging 102 per cent from its IPO price, but has corrected nearly 35 per cent from its peak. The stock is trading around Rs 117-120 range.
Vishal Mega Mart target price
Vishal Mega Mart offers a direct play on India’s formalising value retail opportunity. It operates at the centre of India’s large aspirational retail market, with a one stop family shopping model spanning apparel, FMCG and general merchandise, supported by a deep own brand portfolio and growing omnichannel reach, said Aditya Birla Money.
"We forecast sales and EBITDA CAGR of 18 per cent and 21 per cent, over FY25 to FY28E. The stock trades at a 20 to 35 per cent discount to Trent and Avenue on FY28E earnings despite a stronger growth outlook. We initiate coverage on VMM with a Buy rating and a target price of Rs 140," it adds.
The combination of affordability, category breadth and convenience should help Vishal Mega Mart continue gaining share, while also supporting better profitability as scale rises. Strong and consistent double digit SSSG remains one of VMM’s key strengths and the momentum is likely to sustain, said analysts.
VMM effectively extracts the best attributes of both models while neutralizing their respective weaknesses. It uses high-frequency FMCG as a hook to drive daily footfalls, effectively cross-selling captive shoppers into its higher-margin apparel and GM categories. VMM targets value-conscious tier-II and beyond cities, where its value proposition is structurally most potent, said HDFC Securities.
"We project 18 per cent and 21 per cent revenue and Ebitda CAGR over FY26-28, with PreIND-AS EBITDAM expanding to 10.3 per cent, largely driven by SSSG-led operating leverage. Supported by an asset-light, zero-debt balance sheet, PAT is expected to grow at 26 per cent CAGR, elevating Pre-IND-AS RoICs to 18 per cent by FY28," it added with a 'buy' rating and a target price of Rs 130.
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