Recent Market Performance and Price Movements
On 2 December 2025, Sula Vineyards recorded a decline of 1.12% in its share price, underperforming the Sensex which fell by 0.25% on the same day. This marks the third consecutive day of losses for the stock, which has cumulatively declined by 3.96% over this period. The trading range remained narrow at ₹1.75, indicating limited volatility despite the downward trend.
The stock’s price currently trades below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling a persistent bearish momentum. Over the past week, the stock has declined by 1.42%, contrasting with a 1.00% gain in the Sensex. The one-month and three-month periods show declines of 8.92% and 8.36% respectively, while the broader market indices have posted positive returns of 1.78% and 6.58% over the same durations.
Long-Term Returns and Sector Comparison
Examining the longer-term performance, Sula Vineyards has generated a return of -46.93% over the last year, significantly lagging behind the Sensex’s 6.46% gain. Year-to-date figures reveal a similar pattern, with the stock down 45.06% against a 9.33% rise in the benchmark index. Over three and five years, the stock has shown no appreciable gains, while the Sensex has advanced by 35.89% and 91.47% respectively. The ten-year comparison further highlights the disparity, with the Sensex up by 227.10% and Sula Vineyards remaining flat.
Only 1% make it here. This Large Cap from the Gems, Jewellery And Watches sector passed our rigorous filters with flying colors. Be among the first few to spot this gem!
- - Highest rated stock selection
- - Multi-parameter screening cleared
- - Large Cap quality pick
Financial Results and Profitability Trends
The company’s recent quarterly results have shown a contraction in profitability. Profit before tax (PBT) declined by 53.68% in the September 2025 quarter, continuing a sequence of negative results over the last three quarters. The PBT excluding other income stood at ₹7.44 crore, reflecting a 56.1% reduction compared to the average of the previous four quarters. Similarly, profit after tax (PAT) for the quarter was ₹6.02 crore, down by 58.1% relative to the prior four-quarter average.
Operating cash flow for the year was recorded at ₹64.03 crore, the lowest level observed in recent periods. Over the last five years, operating profit has declined at an annual rate of 10.18%, indicating subdued growth in core earnings. These figures collectively illustrate a challenging financial environment for Sula Vineyards, with both near-term and long-term metrics reflecting pressure on earnings and cash generation.
Valuation and Capital Efficiency
Despite the subdued financial performance, the company’s return on capital employed (ROCE) stands at 9.4%, which is considered attractive relative to its valuation metrics. The enterprise value to capital employed ratio is 2.5, suggesting that the stock is trading at a discount compared to the historical valuations of its peers within the beverages sector. This valuation context provides a contrasting perspective to the stock’s price movements and profitability trends.
Institutional Holdings and Market Position
Sula Vineyards has institutional holdings amounting to 22.06%, indicating a significant presence of investors with extensive analytical resources. These investors typically possess a deeper understanding of company fundamentals, which may influence trading dynamics and market sentiment around the stock.
Sula Vineyards or something better? Our SwitchER feature analyzes this small-cap Beverages stock and recommends superior alternatives based on fundamentals, momentum, and value!
- - SwitchER analysis complete
- - Superior alternatives found
- - Multi-parameter evaluation
Sector and Market Context
Operating within the beverages industry, Sula Vineyards faces a competitive environment where market dynamics and consumer preferences play a critical role. The stock’s performance relative to the broader sector and benchmark indices highlights the challenges it has encountered in maintaining market share and financial momentum. While the Sensex and BSE500 indices have posted positive returns over multiple time frames, Sula Vineyards has consistently lagged behind, underscoring the divergence in performance within the sector.
Summary of Key Metrics
To summarise, the stock’s all-time low price of ₹229.4 reflects a combination of subdued earnings, declining profitability, and persistent downward price pressure. The recent quarterly results, with significant reductions in PBT and PAT, align with the longer-term trend of operating profit contraction. Despite an attractive ROCE and valuation discount relative to peers, the stock’s performance over one, three, and five years remains flat or negative, contrasting sharply with broader market gains.
The presence of institutional investors at over 22% suggests that the stock remains under close scrutiny by market participants with advanced analytical capabilities. The narrow trading range in recent sessions indicates a period of consolidation amid the ongoing downtrend.
Overall, Sula Vineyards’ current market position and financial indicators illustrate a complex scenario marked by subdued returns and valuation considerations within the beverages sector.
Limited Time Only! Upgrade now and get 1 Year of Stock of the week worth Rs. 14,999 for FREE. Don't miss out on this exclusive offer. Claim Your Free Year →
