Target: ₹692
CMP: €639.30
Brainbees Solutions (FirstCry) is India’s largest dedicated childcare platform, both online and offline, with complete dominance in the 0-4 age group.
Founded in 2010, the company has since found solutions for its customers by launching carefully crafted private labels, along with c.8k brand partnerships, distributed through its online platform and 1,124 physical stores.
FirstCry is leading the way in raising awareness for the category, with accessibility driven by the expansion of physical stores and the affordability of its private 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 generates a substantial mix from its private brands.
We start on FirstCry with a buy rating and a March 2026 TP of ₹692, valuing the company using a SoTP-based valuation approach. We value the multi-channel business in India at 40x FY27E Adj. EBITDA – 20 percent discount to Nykaa BPC segment implied target multiple.
Key Risks: Expansion of COCO’s physical store cannibalizes existing footprint, execution issues in the international segment and sudden changes in the competitive landscape with QC players or Meesho taking away market share.
