Go Fashion IPO: How good is it?

In our story, Go Fashion IPO: Information analysis, we have shared the key details of the IPO, along with important information about the company. Here we will answer some questions about Go Fashion and evaluate it on parameters like management, financials, valuations, etc. IPO questions The company/business 1) Are the company's earnings before tax more than Rs 50 crore in the last 12 months? No, the company reported a loss of Rs 3.5 crore for FY21. 2) Will the company be able to scale up its business? Yes. With the pandemic receding, the company has started opening new stores and expanding its online business. Given the increasing demand and the restoration of economic activities, the company should be able to scale up its business. 3) Does the company have recognisable brands truly valued by its customers? Yes. Go Colors is a highly recognised brand in the women's bottom-wear segment. 4) Does the company have high repeat customer usage? No. As it operates in a highly competitive space, high repeat customer usage is not possible. We also do not have sufficient data to conclude that the company has high repeat customer usage. 5) Does the company have a credible moat? No. Although the company has a strong brand image, it does not offer anything unique. 6) Is the company sufficiently robust to major regulatory or geopolitical risks? Yes, the company does not have any major exposure to the international market and has adhered to all regulations so far. 7) Is the business of the company immune from easy replication by new players? No. There are several competitors and also new players are emerging in the branded women's bottom-wear segment. Besides, unorganised players hold a significant