Bata India Ltd. Stock Falls to 52-Week Low of Rs.865.6 Amid Continued Downtrend

Stock Performance and Market Context

On 23 Jan 2026, Bata India Ltd. recorded a new 52-week low price of Rs.865.6, continuing its losing streak for the ninth consecutive trading day. Over this period, the stock has declined by 6.69%, underperforming the Footwear sector by 0.74% on the day. The stock is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling persistent bearish momentum.

In comparison, the Sensex opened flat but later declined by 354.77 points, or 0.4%, closing at 81,981.17. While the Sensex itself is trading below its 50-day moving average, the 50DMA remains above the 200DMA, indicating mixed technical signals for the broader market. Notably, the NIFTY REALTY index also hit a new 52-week low on the same day, reflecting sectoral pressures in certain segments.

Over the past year, Bata India Ltd. has delivered a negative return of 33.45%, significantly lagging the Sensex’s positive 7.11% gain. The stock’s 52-week high was Rs.1,425, underscoring the extent of the recent decline.

Financial Performance Highlights

Bata India Ltd.’s recent quarterly results have contributed to the subdued market sentiment. The company reported a decline in net sales by 14.92%, leading to what has been characterised as very negative results for the quarter ended September 2025. Profit before tax (PBT) excluding other income stood at Rs.6.13 crore, down sharply by 89.2% compared to the average of the previous four quarters. Similarly, profit after tax (PAT) for the quarter was Rs.19.85 crore, reflecting a 64.0% decrease relative to the prior four-quarter average.

The operating profit to interest ratio for the quarter was at a low of 4.28 times, indicating a reduced buffer for interest coverage. These financial metrics have weighed on the stock’s performance and contributed to its current Mojo Grade of Sell, an upgrade from the previous Strong Sell rating as of 11 Nov 2025. The company’s Mojo Score stands at 33.0, reflecting the challenges faced in recent quarters.

Long-Term Underperformance and Valuation

Over the last three years, Bata India Ltd. has consistently underperformed the benchmark indices. The stock has not only generated negative returns of 33.45% in the past year but has also lagged behind the BSE500 index in each of the last three annual periods. This persistent underperformance has been a key factor in the stock’s current valuation and market perception.

Despite the recent declines, the company’s valuation metrics suggest it is trading at a discount relative to its peers’ historical averages. The enterprise value to capital employed ratio stands at 5.2, while the return on capital employed (ROCE) is a healthy 13.5%, indicating an attractive valuation from a capital efficiency perspective.

Operating profit has grown at an annualised rate of 44.45%, signalling underlying growth potential, although recent profit declines have tempered this outlook. Over the past year, profits have fallen by 21.7%, further impacting investor confidence.

Balance Sheet and Management Efficiency

Bata India Ltd. demonstrates strong management efficiency, with a robust ROCE of 15.35%. The company maintains a conservative capital structure, reflected in a low debt to EBITDA ratio of 0.97 times, which supports its ability to service debt obligations comfortably. Institutional investors hold a significant 36.29% stake in the company, indicating confidence from entities with substantial analytical resources.

Summary of Key Metrics

The stock’s recent performance and financial results have led to a downgrade in market sentiment, reflected in its current Mojo Grade of Sell. Key figures include:

• New 52-week low price: Rs.865.6


• One-year return: -33.45%


• Net sales decline (Sep 2025 quarter): -14.92%


• PBT excluding other income (Q): Rs.6.13 crore, down 89.2%


• PAT (Q): Rs.19.85 crore, down 64.0%


• Operating profit to interest ratio (Q): 4.28 times


• ROCE: 15.35%


• Debt to EBITDA ratio: 0.97 times


• Institutional holdings: 36.29%

These figures illustrate the pressures faced by Bata India Ltd. in recent periods, contributing to its current market valuation and trading levels.

Technical Indicators and Market Position

The stock’s position below all major moving averages indicates a sustained bearish trend. The nine-day consecutive decline and underperformance relative to the Footwear sector highlight ongoing challenges in regaining upward momentum. The broader market’s mixed technical signals, with the Sensex below its 50-day moving average but the 50DMA above the 200DMA, suggest a cautious environment for stocks like Bata India Ltd.

While the company’s fundamentals show areas of strength, including management efficiency and debt servicing capability, the recent financial results and price action have weighed on investor sentiment, culminating in the new 52-week low.

Conclusion

Bata India Ltd.’s stock reaching Rs.865.6 marks a notable point in its recent trading history, reflecting a combination of subdued financial results and broader market pressures. The company’s financial metrics reveal both challenges and strengths, with declining profits and sales contrasting against solid capital efficiency and manageable debt levels. The stock’s performance relative to benchmarks and sector peers underscores the difficulties faced over the past year, culminating in its current valuation and market standing.

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