Recent Market Performance and Price Trends
The stock recorded a decline of 0.97% on 27 Feb 2026, underperforming the Sensex which fell by 0.39% on the same day. Over the past week, Vedant Fashions has dropped 6.99%, significantly lagging behind the Sensex’s 1.07% fall. The monthly performance is more pronounced, with the stock down 19.69% compared to a marginal 0.08% gain in the benchmark index.
Over the last three months, the stock has plunged 35.50%, while the Sensex declined by only 4.43%. The one-year performance is particularly stark, with Vedant Fashions losing 52.71% of its value, in contrast to the Sensex’s 9.80% gain. Year-to-date, the stock has fallen 31.91%, whereas the Sensex has declined by 3.86%.
Longer-term trends reveal consistent underperformance. Over three years, Vedant Fashions has lost 66.79%, while the Sensex has appreciated by 38.18%. The stock’s five- and ten-year returns stand at 0.00%, compared to the Sensex’s 66.86% and 253.83% gains respectively, underscoring a prolonged period of stagnation and decline.
Technical Indicators and Valuation Metrics
Vedant Fashions is trading below all key moving averages including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling a bearish trend across multiple timeframes. Despite this, the stock marginally outperformed its sector by 0.84% on the latest trading day.
The company’s valuation remains elevated with a price-to-book value of 6.4, which is considered expensive relative to its historical averages and peer group. This high valuation is juxtaposed with a return on equity (ROE) of 26.4%, indicating strong management efficiency but also suggesting that the market may be pricing in expectations not currently reflected in the stock’s performance.
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Financial Performance and Growth Analysis
Vedant Fashions has exhibited modest growth over the past five years, with net sales increasing at an annualised rate of 11.69% and operating profit growing at 7.59% annually. However, the company reported flat results in the December 2025 quarter, indicating a pause in momentum.
Profitability has also declined over the past year, with profits falling by 10.1%. This decline has coincided with the steep drop in share price, reflecting the market’s reaction to the company’s financial trajectory.
Despite these challenges, the company maintains a high ROE of 30.19%, signalling efficient use of equity capital. Additionally, Vedant Fashions has maintained a low average debt-to-equity ratio of zero, indicating a conservative capital structure with minimal leverage.
Shareholding and Market Sentiment
Institutional investors hold a significant stake of 21.3% in Vedant Fashions, with their holdings increasing by 0.59% over the previous quarter. This level of institutional ownership suggests a degree of confidence in the company’s fundamentals from well-resourced market participants.
Nevertheless, the stock’s Mojo Score stands at 38.0 with a Mojo Grade of Sell, an improvement from a previous Strong Sell rating as of 26 May 2025. The Market Cap Grade is 3, reflecting a relatively modest market capitalisation within its sector.
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Comparative Performance and Sector Context
Vedant Fashions operates within the Garments & Apparels industry, a sector that has generally experienced mixed performance in recent years. The stock’s consistent underperformance against the BSE500 benchmark over the last three annual periods highlights the severity of its relative decline.
While the Sensex and broader market indices have delivered positive returns over the medium to long term, Vedant Fashions has failed to keep pace, with its share price stagnating or declining over five and ten-year horizons.
This divergence underscores the challenges faced by the company in translating operational efficiency and conservative financial management into sustained shareholder value growth.
Summary of Key Metrics
To summarise, Vedant Fashions Ltd’s stock is trading near historic lows, with a current price close to ₹398.3, just 0.36% above its 52-week low. The stock’s performance metrics reveal a downward trajectory across multiple timeframes, with a one-year loss exceeding 50% and a three-year loss nearing 67%.
Valuation remains elevated despite the price decline, with a price-to-book ratio of 6.4 and a high ROE exceeding 26%. The company’s financial growth rates are modest, and recent quarterly results have shown no significant improvement. Institutional ownership remains relatively strong, reflecting some confidence in the company’s fundamentals.
Overall, the data portrays a company facing significant market valuation pressures and persistent challenges in delivering growth and returns in line with broader market indices.
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