BlueStone Jewellery: Can This Stock Be a Good Addition to Your Long-Term Portfolio?

Synopsis: A leading brokerage has initiated coverage on a fast-growing jewellery retailer with a ‘Buy’ rating and a target price of Rs. 650, an upside of 27 percent citing aggressive store expansion, a differentiated omni-channel strategy, and strong earnings growth potential supported by operating leverage, improving store maturity, and rising profitability. 

India’s fast-growing jewellery retailer is attracting brokerage attention after JM Financial initiated coverage with a bullish outlook. The brokerage believes the company is well-positioned to capitalize on rising demand for contemporary jewellery, increasing organized retail penetration, and its digitally-led omni-channel strategy, which combines online discovery with offline conversion.

With a market capitalization of approximately Rs. Rs.7,736 crore, the shares of BlueStone Jewellery and Lifestyle were trading at around Rs.508 per share, with a 52-week range of Rs. 793 to Rs. 399.80. The stock is trading at an approximate PE of 521.

JM Financial on BlueStone Jewellery and Lifestyle: ‘Buy’ 

JM Financial has initiated coverage on BlueStone Jewellery and Lifestyle with a ‘Buy’ rating and a target price of Rs. 650 per share, implying a potential upside of around 27 percent from current levels.

The brokerage expects the company to add nearly 237 stores between FY26 and FY29, supported by growing demand for contemporary jewellery and increasing penetration of organized retail. This expansion is expected to drive meaningful operating leverage while strengthening BlueStone’s market presence across India.

JM Financial projects revenue CAGR of about 26 percent and EBITDA CAGR of nearly 43 percent during FY26–FY29. The brokerage believes the company’s vertically integrated operations, with nearly 95 percent of jewellery manufactured in-house, provide greater control over design, quality, and margins.

According to JM Financial, BlueStone’s digitally-led omni-channel model addresses consumers’ need for trust and physical validation by combining online discovery with offline conversion at its stores. The brokerage also highlighted that healthy store economics provide confidence in the company’s aggressive expansion plans and long-term earnings potential.

Further, BlueStone’s focus on design-led jewellery, supported by its omni-channel strategy, creates a strong competitive advantage in a fragmented jewellery market. JM Financial also expects improving store maturity and operating efficiencies to support profitability over the coming years.

Business and Financial Overview

Business at a Glance

BlueStone is one of India’s leading digital-first omni-channel jewellery retailers, offering a wide range of gold, diamond, platinum, and silver jewellery products. The company operates through an integrated online platform and an expanding network of physical stores across the country. The company has established itself as India’s second-largest digital-first omni-channel jewellery brand and continues to expand its presence through a technology-enabled retail model and design-focused product offerings.

FY26 Performance

BlueStone delivered a strong FY26, driven by store expansion, healthy same-store sales growth, and rising customer engagement. The company ended the year with 340 stores across 134 cities, serving over 12,600 PIN codes nationwide. Same-store sales growth stood at 34 percent in Q4 FY26, while the repeat purchase ratio remained healthy at 54.5 percent. 

Revenue grew at a CAGR of 38.9 percent during FY24–FY26, while reported EBITDA CAGR surged 172.7  percent over the same period. BlueStone also maintained a 28–32 percent market share among omni-channel jewellery players and manufactures over 95 percent of its jewellery in-house, supporting stronger margins and operational efficiency.
The company continues investing in technology, omnichannel capabilities, and product innovation to enhance customer experience and improve conversion rates.

For Investors

JM Financial’s initiation of coverage underscores confidence in BlueStone’s long-term growth story. The company’s combination of aggressive store expansion, strong omnichannel execution, design-led product strategy, and vertically integrated manufacturing provides multiple growth levers. 

With the brokerage forecasting 26 percent revenue CAGR and 43 percent EBITDA CAGR through FY29, improving operating leverage and store maturity could significantly enhance profitability. However, investors may continue to monitor the execution of store rollouts, competitive intensity in the jewellery retail market, and consumer demand trends over the coming years.

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