₹345.7
-0.07% today
· 30d -18.81%
as of 2026-09-04
Price · Daily Candles
“Footwear Giant Relaxo Battles Profit Decline Amidst Flat Revenue Growth; Analysts Eye Upside”
Relaxo Footwears reported a -19.6% YoY decline in quarterly net profit to ₹27.0 Cr, despite a marginal 0.17% YoY revenue increase to ₹668.0 Cr. Its annual net profit also fell -15.03% to ₹170.0 Cr in FY25, following a -5.21% decline in revenue. The stock trades at a TTM P/E of 44.67, with analysts setting a median target of ₹410.0, indicating a potential 35.84% upside from the current price of ₹301.8.
BULL CASE
+Analysts maintain a positive outlook, with a median target price of ₹410.0, suggesting a 35.84% potential upside from the current ₹301.8.
+Despite recent profit declines, the company currently generates a healthy Free Cash Flow (FCF) of ₹291.0 Cr, translating to a FCF yield of 3.88%.
+ML sales growth predictions are 'neutral', with a sales_1y_recent_2y rank of 0.662 and a sales_1y_rolling_4y rank of 0.552.
+The stock is trading 42.62% off its 52-week high of ₹526.0, potentially offering value for long-term investors.
+FII shareholding saw a slight increase of 0.03% QoQ, reaching 3.04% as of March 2026.
BEAR CASE
−Quarterly net profit declined significantly by -19.6% YoY to ₹27.0 Cr as of December 2025.
−Annual net profit fell -15.03% to ₹170.0 Cr in FY25, alongside a -5.21% decrease in annual revenue.
−The operating profit margin (OPM) declined by -1.55% YoY in the latest quarter to 11.83%.
−The stock performance has been weak, with returns of -28.74% over the last year and -27.03% over the last six months.
−DII shareholding decreased by -0.13% QoQ as of March 2026.
⟳ What Changed
₹ Latest Earnings · Q ending 2025-12-31
REVENUE
₹668 Cr
+0.17% YoY
NET PROFIT
₹27 Cr
-19.6% YoY
OPM
11.83%
-1.55pp YoY
EPS
₹1.06
PE 44.67
Intrinsic value · DCF: N/A — ML model predicts severe Δ FCF compression (h1=-3.4%, h2=+1.4%, h3=-1.3% of mktcap), driving projected FCF negative by year 3 despite healthy current FCF. Treating as forecast outlier rather than reporting a misleading ₹0 valuation. Use the Strategy Fit and ML sections instead.
◇ Sector Position
Relaxo's TTM P/E of 44.67 positions it above Bata India (27.16) but below Campus Activewear (51.0), while its ROCE is not provided for direct comparison with peers like Bata India (32.53%) and Redtape (32.73%).
PEERPEROCE %
RELAXO44.67—
+ 2 more peers — sign in to view
ML Forward Growth Predictions 🔒
40
SCORE / 100
Overall
6-axis composite of the sections below.
Performance
UNDERPERFORMER
20
Valuation
FAIR
40
Growth
MUTED
31
Profitability
DECENT
55
Technicals
WEAK
45
Risk
MODERATE
50
Key Stats
TTM PE
44.67
P/B
3.54
52W HIGH
₹526.0
OFF HIGH
-34.28%
DIV YIELD
1.0%
MKT CAP
₹8597 Cr
◉ Active Signals
MACDBearish-3.803
RSI(14)Bearish30.06
Street Consensus
10 analysts₹386.5
mean target
Low ₹270.0Now ₹345.7High ₹425.0
⧉ Strategy Fit 🔒