Brainbees Solutions share price: This new-age stock gains over 20% in one month. Will the momentum continue?

Shares of Brainbees Solutions, the parent company of FirstCry, surged by almost 12% during Thursday’s trading session. Despite experiencing volatility, Brainbees Solutions managed to hold its ground following the announcement of its Q4 results. The company reported a net loss of ₹111 crore for Q4FY25, which is an increase from the loss of ₹43 crore in the same period last year. Revenue from operations grew by 16% year-on-year, reaching ₹1,930 crore, compared to ₹1,667 crore in Q4FY24.

Brainbees Solutions share price today opened at ₹366.85 apiece on the BSE, the stock touched an intraday high of ₹410 per share and an intraday low of ₹359.25. FirstCry share price has gained over 20% in one month.

Technical analysts said that FirstCry share price is a newly listed stock so technical data is not available.

However with limited data analysts are witnessing a small range breakout with increase in volumes, the positive momentum can extend towards ₹450 whereas ₹340 is support.

Anshul Jain, Head of Research at Lakshmishree Investments explained that FirstCry share price has broken out of a 44-day rounding bottom pattern with strong volumes, registering over 400% of the 50-day average volume at the breakout level of ₹394.

According to Jain, a sustained move above the psychological resistance of ₹400 will likely trigger fresh bullish momentum, pushing the stock towards the ₹480 zone. The strong volume surge confirms institutional interest, making the current setup attractive for momentum traders aiming for further upside.

Should you buy?

JM Financial, a brokerage firm, has reaffirmed a 'buy' recommendation on the stock with a price target of ₹488. The report indicated that in Q4FY25, FirstCry achieved a 13.5% year-over-year growth in GMV for its core India Multi-Channel business, which was affected by a slowdown in offline sales and an unusually late winter, while the International segment saw a GMV increase of 16.4%.

GlobalBees recorded impressive revenue growth of 33.4% year-over-year. The consolidated gross margin improved to 37.5%, reflecting a decline of 50 basis points year-over-year and quarter-over-quarter.

Moreover, the adjusted EBITDA margin expansion for the India multi-channel business was modest at 40 basis points year-over-year due to reduced operating leverage. The consolidated adjusted EBITDA margin rose by 20 basis points year-over-year (a decrease of 120 basis points quarter-over-quarter) to reach 5.2%, largely due to the increasing contribution of the lower-margin GlobalBees segment in the overall revenue mix.

“We believe the company retains its deeply-moated position in its category and will be a key beneficiary of tax benefits and any recovery in discretionary spends. Sustained compounding story with cheap valuations,” the brokerage said.

Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.