Lenskart Solutions shares gained 5 percent in early trade on Thursday after the eyewear retailer reported its Q1 FY27 results. Brokerages highlighted strong business growth, sharp margin expansion and improving profitability in the companys international operations, supporting a positive view on its earnings trajectory.

The stock was trading at Rs 615.75 in early trade, up 5 percent from the previous close. Lenskart shares had declined 0.47 percent in the previous session ahead of the quarterly results. The stock has gained 33.4 percent so far in 2026, significantly outperforming the Nifty 50, which has declined 6.5 percent over the same period. The companys market capitalisation stood at around Rs 1.02 lakh crore.

Jefferies maintained its Buy rating on Lenskart and raised its target price to Rs 680 per share. The revised target implies an upside of around 16 percent from Wednesdays closing level. The brokerage described the first quarter performance as strong, citing healthy growth and sharp improvement in margins.

Improving profitability in international markets was also highlighted as a positive factor for the company. The combination of domestic growth, operating leverage and better international profitability could support earnings growth going forward.

However, analysts remain divided over the stocks further upside potential. Despite the positive operating performance and strong share price momentum, Lenskarts premium valuation remains a key concern for investors. The stock has already delivered substantial gains in 2026, increasing the importance of sustained earnings growth to justify its current valuation.