Shares of Sunshine Pictures and Shankesh Jewellers listed at premiums on the NSE on Tuesday before dipping to trade below their initial listing prices. Market analysts noted steady financial fundamentals for both companies while advising caution against chasing immediate listing gains.

Sunshine Pictures and Shankesh Jewellers made their stock market debuts on Tuesday, opening at modest premiums on the National Stock Exchange (NSE) before later trading below their listing prices. Sunshine Pictures listed at a 10 per cent premium on the NSE, while Shankesh Jewellers began trading at an 11 per cent premium.

Sunshine Pictures debuted at ₹395.90 on the NSE, marking a 10 per cent premium over its IPO price of ₹360. On the BSE, the stock started trading at ₹394, reflecting a 9.4 per cent premium. By 10:15 am, the stock traded at ₹382.05 on the NSE. The mainboard issue comprised a fresh issuance of 48 lakh equity shares and an offer-for-sale (OFS) of 30.37 lakh equity shares, taking the total offer size to 78.37 lakh shares. The company mobilized ₹84.64 crore from nine anchor investors, with the IPO price band fixed at ₹342 to ₹360 per share.

At the upper end of the price band, Sunshine Pictures holds an implied post-issue market capitalization of around ₹1,121 crore, and about ₹1,065 crore at the lower end. The company plans to utilize up to ₹112.50 crore from the IPO proceeds to meet long-term working capital requirements, allocating the remaining funds to general corporate purposes.

Regarding financials, Shivani Nyati, Head of Wealth at Swastika Investmart Ltd, noted that Sunshine Pictures' FY26 profit rose 16 per cent year-on-year to ₹40.02 crore. Its EBITDA margin expanded to 78.65 per cent, and its Return on Equity (RoE) stood at around 32 per cent. Nyati advised existing allottees to hold the stock with a stop-loss around ₹370, while recommending that fresh investors wait for meaningful dips and clearer evidence of consistent revenue growth.

Meanwhile, Shankesh Jewellers began trading at ₹103.30 on the NSE, representing an 11 per cent premium over its IPO price of ₹93. On the BSE, it debuted at ₹102.20, a 10 per cent premium against the IPO price. Following the launch, the stock fluctuated between ₹98.36 and ₹109.50 on the NSE. The Mumbai-based jewellery wholesaler raised ₹110.15 crore from anchor investors, with the IPO price band set at ₹88 to ₹93 per equity share, valuing the company at ₹1,367 crore at the upper limit.

The Shankesh Jewellers IPO comprised a fresh issue of up to 2.95 crore equity shares and an offer-for-sale of up to 1 crore equity shares, with an issue size ranging between ₹347 crore and ₹367 crore. Proceeds from the fresh issue are designated for the repayment or pre-payment of borrowings, funding working capital requirements, and general corporate purposes.

Nyati highlighted that Shankesh Jewellers' revenue grew from ₹1,061.9 crore in FY24 to ₹1,630.9 crore in FY26, alongside a PAT of ₹106.7 crore and an RoE of around 51 per cent. However, she also pointed out the working-capital-intensive nature of the jewellery business, a debt-to-equity ratio of approximately 0.8x, and the impact of favorable inventory gains amid elevated gold prices. For Shankesh Jewellers, she advised existing allottees to hold with a ₹95 stop-loss and recommended fresh investors consider entering only on meaningful dips.

"The modest debuts of Sunshine Pictures and Shankesh Jewellers highlight the importance of disciplined investing in current market conditions. While both companies display strong financial metrics such as solid RoE and revenue growth, post-listing volatility is common. Investors should focus on long-term fundamentals and avoid chasing immediate listing gains, especially in working-capital-intensive sectors. Strategic entry points and stop-losses remain critical for managing risk." — Dr. Shishir Gupta, Founder & CEO, StartupLanes

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