Honasa Consumer Ltd, the parent company of Mamaearth, surged over 9% on Thursday, November 13, after the company reported a turnaround in profitability for the September quarter (Q2FY26). The stock opened firm at Rs.298.35, hit an intraday high of Rs.308.55, and was last trading at Rs.299.05, up around 6% from the previous close of Rs.281.95, even as the broader market traded weak.

At current levels, the stock stands about 21% below its 52-week high of Rs.378.90 and 57% above its 52-week low of Rs.190, reflecting a gradual recovery in investor sentiment and renewed confidence in its operational turnaround.

Honasa’s market capitalisation now stands at Rs.9,730 crore, and the stock has gained nearly 20% year-to-date on the BSE.

For the quarter ended September 2025, Honasa Consumer reported a net profit of Rs.28.5 crore, compared with a net loss of Rs.1.5 crore in the same period last year, aided by strong revenue growth of 20% YoY to Rs.510 crore. The company’s EBITDA margin improved to 11.5%, from 6.2% a year ago, driven by a better product mix, cost optimisation, and moderation in marketing spends. Management said new product launches and traction in premium skincare and baby-care segments contributed meaningfully to topline growth.

Analysts said the quarterly performance underscores the company’s ongoing operational reset following its first year of listing. While ICICI Securities reaffirmed its ‘Buy’ rating with a target price of Rs.400, citing category leadership, brand depth, and execution discipline, Emkay Global retained its ‘Sell’ call with a target of Rs.250, flagging valuation concerns.

The company’s return to profitability mirrors the broader resilience in India’s premium beauty and personal care space, supported by urban demand and digital-led growth. However, they added that sustaining margin expansion will depend on product innovation, volume-led growth, and maintaining cost control in a highly competitive D2C environment. With valuations still elevated, analysts expect the stock to remain event-sensitive, tracking execution consistency and festive-season demand trends through H2FY26.