Stock Performance and Market Context
On 26 Nov 2025, Stanley Lifestyles touched its lowest price point in the past year at Rs.223.75, a level not seen before in its trading history. This new low contrasts sharply with the stock’s 52-week high of Rs.460.40, reflecting a substantial reduction in market valuation over the period. The stock’s performance today underperformed its sector by 0.58%, trading below all key moving averages including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, indicating a sustained downward momentum.
Meanwhile, the broader market showed resilience. The Sensex, after a flat opening with a minor dip of 83.57 points, climbed 667.81 points to close at 85,171.25, representing a 0.69% gain. The index remains close to its 52-week high of 85,801.70, trading above its 50-day moving average, which itself is positioned above the 200-day moving average, signalling a bullish trend. Small-cap stocks led the market rally with the BSE Small Cap index gaining 0.88% on the day.
Long-Term and Recent Financial Trends
Stanley Lifestyles’ stock has delivered a return of -46.60% over the last year, a stark contrast to the Sensex’s 6.48% gain during the same period. This underperformance extends beyond the last year, with the stock also lagging behind the BSE500 index over the past three years, one year, and three months.
Financially, the company’s long-term growth in operating profits has shown a compound annual growth rate (CAGR) of -17.16% over the last five years, indicating a contraction in core earnings. The company’s ability to service its debt is constrained, with a Debt to EBITDA ratio of 2.90 times, suggesting a relatively high leverage position. Profitability metrics also reflect challenges, with an average Return on Equity (ROE) of 6.98%, signalling modest returns generated on shareholders’ funds.
Handpicked from 50, scrutinized by experts – Our recent selection, this Mid Cap from Bank - Public, is already delivering results. Don't miss next month's pick!
- - Expert-scrutinized selection
- - Already delivering results
- - Monthly focused approach
Quarterly Results and Profitability Indicators
The company’s quarterly performance for September 2025 reveals a Profit After Tax (PAT) of Rs.5.60 crores, which is 32.5% lower compared to the average of the previous four quarters. The operating profit to interest coverage ratio for the quarter stands at 3.31 times, the lowest recorded, indicating tighter margins for covering interest expenses. Dividend Payout Ratio (DPR) for the year is at 0.00%, reflecting no dividend distribution during the period.
Over the past year, profits have declined by 3%, further underscoring the subdued earnings environment. The Return on Capital Employed (ROCE) is recorded at 5.7%, which, while modest, corresponds with an Enterprise Value to Capital Employed ratio of 2.1, suggesting the stock is valued attractively relative to its capital base.
Shareholding and Institutional Interest
Institutional investors hold a significant stake in Stanley Lifestyles, accounting for 25.97% of the shareholding. This level of institutional ownership indicates that entities with substantial analytical resources maintain positions in the company, despite the recent price movements and financial trends.
Stanley Lifestyles or something better? Our SwitchER feature analyzes this small-cap Furniture, Home Furnishing stock and recommends superior alternatives based on fundamentals, momentum, and value!
- - SwitchER analysis complete
- - Superior alternatives found
- - Multi-parameter evaluation
Summary of Key Metrics
To summarise, Stanley Lifestyles’ stock price has declined to Rs.223.75, marking a new 52-week and all-time low. The stock’s performance contrasts with the broader market’s upward trend, as reflected by the Sensex and small-cap indices. Financial indicators reveal a contraction in operating profits over the medium term, a high debt servicing ratio, and modest returns on equity and capital employed. Quarterly results show a reduction in PAT and interest coverage, alongside a suspension of dividend payouts.
While the company’s valuation metrics suggest some degree of attractiveness, the stock’s recent price action and financial data highlight the challenges faced within the Furniture and Home Furnishing sector. The significant institutional holding points to continued interest from sophisticated investors, despite the prevailing market conditions.
Get 2 full years of MojoOne Premium for only Rs. 12,999. Subscribe for 1 year and we'll add another year FREE. Offer valid for a limited time. Start Saving Now →
