The daughter of actor Anil Kapoor, Kapoor studied theatre and arts at the United World College of South East Asia in Singapore. She was an assistant director to Sanjay Leela Bhansali on the 2005 film Black. Kapoor made her acting debut in Bhansali’s romantic drama Saawariya (2007), for which she was nominated for a Filmfare Award for Best Female Debut. She had her first commercial success three years later in the romantic comedy I Hate Luv Storys (2010).

After a series of commercial failures, the sleeper hit Raanjhanaa (2013) marked a turning point in her career, earning her several Best Actress nominations. She then featured in the 2014 romantic comedy Khoobsurat and the 2015 comedy drama Dolly Ki Doli, both of which earned her Filmfare Award for Best Actress nominations. Kapoor played a princess in the melodrama Prem Ratan Dhan Payo (2015), one of the highest-grossing Bollywood films of all time.