Recent Price Movement and Market Context
On 27 Jan 2026, Bata India opened sharply lower with a gap down of 2%, reflecting persistent selling pressure. The stock touched an intraday low of Rs.835.45, its lowest level in the past year, underperforming its sector by 0.81% on the day. This decline comes despite a broader market recovery, with the Sensex rebounding from an early negative opening to close 0.25% higher at 81,740.39 points. Notably, while the Sensex trades below its 50-day moving average, the 50DMA remains above the 200DMA, signalling mixed technical conditions for the broader market.
Bata India’s share price has consistently traded below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, underscoring the sustained downtrend. The stock’s 52-week high was Rs.1,425, highlighting the extent of the recent correction with a decline of over 41% from that peak.
Financial Performance and Profitability Trends
The company’s recent quarterly results have contributed to the subdued market sentiment. Bata India reported a 14.92% decline in net sales, which was categorised as very negative for the September 2025 quarter. Profit before tax (PBT) excluding other income fell sharply by 89.2% to Rs.6.13 crores compared to the previous four-quarter average. Similarly, profit after tax (PAT) declined by 64.0% to Rs.19.85 crores over the same period.
Operating profit to interest ratio for the quarter stood at a low 4.28 times, indicating a reduced buffer to cover interest expenses. This metric is critical for assessing the company’s ability to manage its debt obligations from operating earnings.
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Long-Term Performance and Relative Benchmarking
Over the last year, Bata India has generated a negative return of 31.61%, significantly lagging the Sensex’s positive 8.46% gain. This underperformance extends beyond the past year, with the stock consistently trailing the BSE500 index across the last three annual periods. The persistent relative weakness highlights challenges in regaining investor confidence and market share within the footwear sector.
Balance Sheet Strength and Operational Metrics
Despite the recent earnings pressure, Bata India maintains several positive financial attributes. The company exhibits a high return on capital employed (ROCE) of 15.35%, reflecting efficient utilisation of capital resources. Additionally, the debt to EBITDA ratio remains low at 0.97 times, signalling a strong capacity to service debt obligations without undue strain.
Operating profit has demonstrated healthy long-term growth, expanding at an annualised rate of 44.45%. The company’s valuation metrics also suggest relative attractiveness, with an enterprise value to capital employed ratio of 5, which is below the average historical valuations of its peers in the footwear sector.
However, profitability has declined over the past year, with net profits falling by 21.7%, further contributing to the stock’s subdued performance. Institutional investors hold a significant 35.49% stake in Bata India, indicating that a substantial portion of the shareholding is managed by entities with extensive analytical resources.
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Mojo Score and Analyst Ratings
Bata India’s current Mojo Score stands at 33.0, with a Mojo Grade of Sell as of 11 Nov 2025, upgraded from a previous Strong Sell rating. The market capitalisation grade is rated at 3, reflecting the company’s mid-tier size within the broader market. These ratings encapsulate the stock’s recent financial performance and market behaviour, providing a quantitative assessment of its standing.
Summary of Key Metrics
The stock’s 10-day consecutive decline, 8.7% loss over this period, and trading below all major moving averages collectively indicate sustained downward momentum. The company’s financial results reveal significant declines in sales and profits, while balance sheet metrics remain relatively robust. The contrast between operational profitability and market valuation underscores the complexity of the current investment landscape for Bata India.
Market and Sector Comparison
While Bata India’s stock has declined to its lowest level in a year, other indices such as NIFTY MEDIA and NIFTY REALTY also recorded 52-week lows on the same day, suggesting sectoral pressures in certain segments. However, mega-cap stocks led the broader market higher, with the Sensex gaining 0.25%, highlighting a divergence between large-cap leadership and mid-cap or sector-specific weakness.
In conclusion, Bata India Ltd.’s stock reaching Rs.835.45 marks a notable point in its price trajectory, reflecting a combination of recent earnings declines, relative underperformance, and technical weakness. The company’s financial fundamentals present a mixed picture, with strong capital efficiency and debt servicing capacity contrasting with falling profits and sales. This nuanced scenario is reflected in the stock’s current market valuation and analyst grading.
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