Recent Price Movement and Market Context
The footwear company’s shares have been on a declining trajectory for the past seven consecutive trading sessions, resulting in a cumulative return of -5.28% over this period. Today’s price of Rs.930.65 represents the lowest level the stock has touched in the last year, contrasting sharply with its 52-week high of Rs.1,476.95. The stock has been trading within a narrow range of Rs.8.7 recently, indicating limited intraday volatility despite the downward pressure.
Bata India’s share price currently sits below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, signalling a persistent bearish momentum. This contrasts with the broader market, where the Sensex opened flat but has since declined by 0.28%, trading at 84,322.19 points. The Sensex remains approximately 2.18% below its own 52-week high of 86,159.02, with the index trading below its 50-day moving average, although the 50-day average remains above the 200-day average, suggesting mixed signals for the broader market.
Financial Performance and Key Metrics
Over the past year, Bata India’s stock has recorded a return of -32.44%, significantly underperforming the Sensex, which has shown a positive return of 5.18% over the same period. The company’s financial results for the quarter ending September 2025 revealed a decline in net sales by 14.92%, accompanied by a 64.0% reduction in profit after tax (PAT), which stood at Rs.19.85 crore. These figures reflect a challenging period for the company’s revenue and profitability streams.
Operating profit to interest coverage ratio for the quarter was recorded at 4.28 times, the lowest in recent periods, indicating tighter margins for servicing interest expenses. Additionally, the company’s debt-to-equity ratio for the half-year reached 2.94 times, the highest level observed, suggesting increased leverage on the balance sheet.
Rising fast and still accelerating! This Small Cap from FMCG sector is riding pure momentum right now. Jump in before the rally reaches its peak!
- - Accelerating price action
- - Pure momentum play
- - Pre-peak entry opportunity
Long-Term Performance and Sector Comparison
Bata India has consistently underperformed relative to the BSE500 index over the last three annual periods, with returns lagging behind peers in the footwear sector. The stock’s one-year return of -32.39% is accompanied by a 21.7% decline in profits over the same timeframe, highlighting ongoing pressures on the company’s earnings capacity.
Despite these challenges, the company maintains a return on capital employed (ROCE) of 15.35%, reflecting a degree of management efficiency in utilising capital. The operating profit has grown at an annual rate of 44.45%, indicating some underlying strength in core business operations. Furthermore, the company’s debt to EBITDA ratio stands at a relatively low 0.97 times, suggesting a manageable level of debt relative to earnings before interest, tax, depreciation, and amortisation.
Valuation and Institutional Holding
Bata India’s valuation metrics show an enterprise value to capital employed ratio of 5.5, which is considered attractive when compared to historical averages of its peers. The stock is currently trading at a discount relative to the average valuations within the footwear sector, reflecting the market’s cautious stance.
Institutional investors hold a significant stake in the company, accounting for 36.29% of shareholding. These investors typically possess greater resources and analytical capabilities to assess company fundamentals, which may influence trading dynamics and valuation perspectives.
Holding Bata India . from Footwear? See if there's a smarter choice! SwitchER compares it with peers and suggests superior options across market caps and sectors!
- - Peer comparison ready
- - Superior options identified
- - Cross market-cap analysis
Summary of Current Market Position
Bata India’s stock price reaching Rs.930.65 marks a notable low point within the last 52 weeks, reflecting a period of subdued market performance and financial results that have shown contraction in key areas such as sales and profits. The stock’s position below all major moving averages and its underperformance relative to the Sensex and sector peers underscore the challenges faced by the company in the current market environment.
While the company exhibits certain strengths in capital efficiency and debt servicing capacity, the prevailing market sentiment and recent financial data have contributed to the stock’s downward movement. The narrow trading range in recent sessions suggests limited volatility, with investors closely monitoring developments.
Only Rs. 14,999 - Get MojoOne + Stock of the Week for 1 Year PLUS 18 Months FREE! Claim Your Free Year →
