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Shares of FSN E-Commerce Ventures Ltd, the parent of cosmetics-to-fashion retailer Nykaa, continued to decline with the stock falling to an all-time low at 123 apiece, down more than 6% on the BSE in Wednesday's early deals. The scrip has been under pressure in the past few days and has plunged over 19% in the last five trading sessions as compared to nearly 2% rise in benchmark BSE Sensex during the period.

Nykaa share price chart pattern suggests lower top lower bottom formation and the stock has been continuously nosediving after giving breakdown at 160 apiece levels. The immediate support for the fashion retail stock is placed at 110 levels and it may hit double-digit figure if the current support is breached. Those who have this stock in their portfolio are advised to maintain strict stop loss at 110 and try to exit the position on any rebound caused by short covering," said Anuj Gupta, Vice President — Research at IIFL Securities.

Last week, media reports suggested the shares of the Nykaa parent company were sold by an undisclosed player at 148.90 a piece to raise $26 million via a block deal. 

Goldman Sachs, Mirae Asset Mutual Fund, ICICI Prudential Life Insurance Company and Canada Pension Plan Investment Board bought stake in FSN E-Commerce Ventures in December in block deals.

Nykaa shares made their stock market debut in November 2021 and the counter has declined more than 67% since its listing amid the fall in new age tech stocks, including Paytm, Zomato, PB Fintech, Delhivery, who have had a tough time on the stock market since recent listings and have been trading below their respective issue prices.

Nykaa is yet to announce its results for the third quarter ended December 2022 (Q3FY23). For the three months ended September 2022, Nykaa posted a multi-fold increase in its consolidated net profit at 5 crore as compared to 1 crore in the same period a year ago. The consolidated Gross Merchandise Value (GMV) grew 45%year-on-year (YoY) to 2,345.7 crore in Q2 FY23.

The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.

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