Sreeleathers Ltd. Stock Falls to 52-Week Low of Rs.210.1

Recent Price Movement and Market Context

The stock has experienced a consecutive two-day decline, resulting in a cumulative loss of 0.67% over this period. Today’s fall of 0.37% aligns with the footwear sector’s overall performance, indicating sector-wide influences rather than isolated company-specific shocks. Notably, Sreeleathers did not trade on one of the last 20 trading days, suggesting intermittent liquidity or trading interest issues.

From a technical standpoint, Sreeleathers is trading below all key moving averages — 5-day, 20-day, 50-day, 100-day, and 200-day — signalling a sustained bearish trend. This contrasts with the broader market, where the Sensex opened lower at 84,022.09 points, down 0.19%, but remains only 2.44% shy of its 52-week high of 86,159.02. The mid-cap segment is marginally positive, with the BSE Mid Cap index gaining 0.03% today.

Long-Term Performance and Valuation Metrics

Over the past year, Sreeleathers has delivered a negative return of 17.86%, substantially underperforming the Sensex, which posted an 8.40% gain in the same period. The stock’s 52-week high was Rs.303.9, highlighting the extent of the recent decline. This underperformance extends beyond the last year, with the stock lagging the BSE500 index over one year, three years, and three months.

Despite the price weakness, the company maintains a low debt-to-equity ratio averaging zero, indicating a conservative capital structure. The return on equity (ROE) stands at 5.76%, reflecting modest profitability relative to shareholders’ funds. This ROE level is considered low within the industry, contributing to the stock’s current valuation challenges.

Profitability and Growth Trends

The company’s operating profit has grown at an annualised rate of 10.77% over the last five years, indicating moderate expansion in earnings before interest and tax. However, the operating cash flow for the fiscal year ended September 2025 was recorded at Rs.27.27 crores, the lowest in recent years, signalling constrained cash generation capacity.

Profit growth over the past year has been marginal, rising by only 1.6%, while the price-to-earnings-to-growth (PEG) ratio stands at a high 13.7, suggesting that the stock’s price does not reflect proportional earnings growth. The price-to-book value ratio is approximately 1, indicating a fair valuation relative to the company’s net asset value, though the stock trades at a premium compared to peers’ historical averages.

Shareholding and Market Sentiment

The majority shareholding is held by promoters, which often implies stable ownership but may also limit liquidity. The company’s Mojo Score is 34.0, with a Mojo Grade of Sell as of 01 Aug 2025, downgraded from a previous Strong Sell rating. The market capitalisation grade is 4, reflecting its small-cap status within the footwear sector.

Technical and Trading Characteristics

The stock’s failure to sustain above any of its key moving averages over short, medium, and long-term periods highlights persistent selling pressure. Erratic trading patterns, including a non-trading day within the last 20 sessions, may reflect lower liquidity or investor caution. The footwear sector’s performance today was in line with Sreeleathers’ decline, suggesting sectoral factors may be influencing price movements.

In comparison, the Sensex’s position near its 52-week high and the mid-cap segment’s slight gains indicate that the broader market environment is not uniformly negative, but selective pressures are impacting specific stocks such as Sreeleathers.

Summary of Key Financial Metrics

To summarise, Sreeleathers Ltd. currently exhibits the following financial and market characteristics:

• 52-week low price: Rs.210.1


• 52-week high price: Rs.303.9


• One-year return: -17.86%


• Return on Equity (ROE): 5.76%


• Operating profit growth (5-year CAGR): 10.77%


• Operating cash flow (FY Sep 2025): Rs.27.27 crores


• Debt to equity ratio: 0 (average)


• Price to book value: 1


• PEG ratio: 13.7


• Mojo Score: 34.0 (Sell grade)

The stock’s recent price action and fundamental metrics reflect a company facing challenges in delivering robust returns and growth relative to its sector and market benchmarks. While the capital structure remains conservative, profitability and cash flow generation have been subdued, contributing to the current valuation and price levels.

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