Urban Company, a leading tech-driven services marketplace, offers home and beauty solutions like cleaning, repairs, grooming, and wellness across India, UAE, and Singapore. Its IPO opens 10–12 September 2025 with a price band of INR 98–103, issue size INR 1,900 crore. Promoters are Abhiraj Singh Bhal, Raghav Chandra, Varun Khaitan. Here’s a summary of Urban Company IPO recommendations by major brokerage houses. The company’s several brokerage houses have provided recommendations based on their analyses of its financial health and market potential. Read on for more.
Urban Company IPO Recommendations
BP Wealth – Subscribe
BP Wealth has recommended that investors with subscribing tolerance consider applying for the Urban Company IPO. “Given the company’s leadership position, strong business model, improving financials, and long growth runway, the IPO offers attractive medium to long-term potential. We, therefore, assign the issue a “SUBSCRIBE” recommendation.”.
Canara Bank Securities – Subscribe
“The company’s P/E ratio stands at 515x (annualized Q1 FY2026) and 62.05x for FY2025—relatively elevated compared to peers with differing business models—it reflects investor confidence in Urban Company’s ability to scale profitably in a largely unorganized $50 billion addressable market. With innovative service verticals like InstaHelp and ecosystem-integrated products driving customer stickiness and margin expansion, we recommend SUBSCRIBING to the IPO with a long-term investment horizon, recognizing the company’s potential to shape and lead the formalization of home services in India and beyond. Hence, we recommend to SUBSCRIBE.”
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SBI Securities – Subscribe for long term
“UCL provides a range of household services, catering to requirements of urban consumers. It has a large addressable market currently being catered to by the unorganized industry. Net Transaction Value (NTV)/ Revenue for the company has grown at a CAGR of 25.5%/34.1% over FY23-25. Profitability is on an improving trend and is expected to breakeven at the EBITDA level in FY26E. At the upper band of the issue price, UCL is valued at 12.9x P/S on post issue capital. We recommend subscribing to the issue with a long-term investment horizon.”
Samco Securities – Subscribe for listing gain
Samco Securities added another positive word in Urban Company IPO recommendations. “Given the combination of sizeable market opportunity and strong brand recognition, we recommend subscribing to the IPO for listing gains with a modest, tactical allocation, while monitoring execution on cash-flow conversion, margin expansion and consumer experience post-listing.”
Ventura Securities – Subscribe
Samco Securities has issued a clear “Subscribe” recommendation for the Urban Company IPO. “The company has demonstrated growth in its annual transacting consumers, reaching 7.02 mn as of Jun-2025, and increasing revenue from operations to INR 3,672.67 mn in Q1 FY26 from INR 2,808.56 mn in Q1 FY25. While historically operating at a net loss, the company achieved a restated profit of INR 69.38 mn in the same period.The company’s ability to innovate products and services, from AI-powered diagnostics to smart water purifiers and electronic door locks, along with a professional, promoter-led management team, further strengthens its competitive positioning. However, these strengths are accompanied by notable risks. Urban Company has a history of net losses and negative operating cash flows, with no guarantee of sustained profitability. Its limited operating history in newer ventures, such as Native products, InstaHelp, and subscription-based cleaning services, adds execution risk., we advise the investors to Subscribe Urban Company IPO.”
Mehta Equities – Subscribe with risk
“We believe Urban Company Ltd’s IPO offers investors an opportunity to participate in India’s leading tech-enabled home and beauty services platform, with proven scalability across 12,000+ micro-markets in India and select international markets. We think its hyperlocal model drives efficiency, network effects and high engagement, while continued investments in professional training, retention and technology (AI-driven recommendations, operational tools and products like ‘Native’ and ‘Co-Pilot’) strengthen its competitive moat. By looking at the financials, Urban Company has delivered robust growth, with revenue from operations rising 30.1% in FY2024 and 38.2% in FY2025, alongside a turnaround to net profit of ₹ 239.8 crore (including deferred tax gains), reflecting operational leverage and improved unit economics. On valuation parse at the upper price band of ₹ 103/-, the issue is asking for a market cap of ₹ 14790 cr. Based on FY2026e annualized earnings and the fully diluted postIPO capital, the company is asking a Market Cap-to-Sales multiple of ~10x, which appears fully priced given current financials. However, we believe the company may command a premium valuation compared to India’s other internet tech peers, driven by its stronger unit economics, premium service mix and deeper supply-side integration. These factors, coupled with its early leadership in a large and underpenetrated services market, position it for a scalable and profitable growth trajectory. A Sustained high growth and margin expansion are essential to justify this valuation, leaving limited room for near-term re-rating. Hence, we recommend risk-tolerant investors seeking exposure to the rapidly expanding home services sector to ‘SUBSCRIBE WITH RISK” the Urban Company Ltd IPO for a long-term perspective only.”
Urban Company IPO Recommendations – Bottomline
In conclusion, brokerage houses are generally optimistic about the Urban Company IPO, recommending subscriptions based on varying risk appetites and investment horizons. While some firms advocate for long-term investments due to growth potential, others emphasize caution due to market volatility and company size considerations.
While Urban Company IPO analyst views are mostly positive, the informal or grey market is presenting confusing signals with a remarkable decline in premiums in recent days. This is not uncommon for the market to behave this way before large IPOs. Nevertheless, investors are encouraged to assess their individual risk profiles and conduct thorough research before participating in this IPO.