Technical Analyst, owner of TRADEMANIAC
Through its retail and wholesale network, Bata India Limited manufactures and trades shoes and accessories in addition to developing real estate.
Four crores were spent on R&D by the company in FY22. For "Power" shoes, they have successfully introduced new items with anti-microbial features and "ortholite" to improve comfort and fit.
• Promoter ownership in the company has declined by 2.80% over the past six months. (Increasing promoter holding is regarded
as beneficial and demonstrates management's optimistic vision for the future.)
• As of March 31, 2019, ROCE has substantially decreased year over year, falling 8.37% from 30%.
• Mutual fund holdings have essentially remained unchanged over the past three months.
• The company's overseas institutional holdings have grown by 1.03% during the past three months.
A 10-year contract was signed between the business and Global Footwear Services Pte. Ltd. According to this contract, GFS would provide Bata with advice, staff training, and services in relation to research & development, marketing, brand development, footwear technology, testing & quality control, etc. for which the business paid a price of Rs. 24 cr in FY22 (1% of revenues).
Bata's main goal is to increase the size of its retail footprint, with tier 3–4 cities receiving more attention. The company increased the number of franchisee stores in the country by 75 during FY22, bringing the total to over 300.
Recently in News
A code of conduct regarding lost share certificates was published by the SEBI
From Sunday, January 1, 2023 until 48 hours after the release of the company's unaudited financial results for the three months
and nine months ending December 31, 2022, the "Trading Window" for trading or dealing in the company's securities in any
way will be closed.
According to Regulation 39(3) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015,
Bata India Limited has disclosed the loss of share certificates (as amended) on November 24, 2022
Link:-https://archives.nseindia.com/corporate/BATAINDIA_22122022151731_Closure_Trading_Window_December_2022.pdf
Bata India Limited has informed the Exchange regarding the Trading Window closure pursuant to SEBI (Prohibition of Insider Trading) Regulations, 2015 on December 22 , 2022
The stock price is 16.3 times the book value
Over the last five years, the company has generated a dismal revenue increase of -0.71%.
Low return on equity for the company for the last three years is 6.47%.
52W High Price of BATAINDIA:-2,122.00 52W Low price OF BATAINDIA:-1,607.10
Stock Price CAGR
10 Years:
14%
5 Years:
17%
3 Years:
-2%
1 Year:
-11%
Book Value:- ₹ 100 (Not so attractive but feasible)
ROCE :- 8.37 % (Not so good)
Mkt. Cap (Cr):-20,883
Option chain of December & January months suggests that there are good support at the range of 1500-1600 area. My buying area will be 1580.
All technical indicator is showing bearish signal. Chart pattern is showing small bounce back.
* Bataindia is in oversold zone. Risk : reward is favourable here
**************************************************************
There are good suport at the level of 1550 to 1610 in Bataindia. you can buy equity or You can buy future at 1550-1600 level. If you want to buy future then you can hedge it with PUT. .
** I'm going to buy Bata India at the current level of 1550-1600
Target:-1800,1900,2000
SL :-1500 (accumulate Traiangle basis)
** This is not a buy-sell recommendation. I'm sharing my view and analysis. This analysis is shared for educational purpose. I'm not a SEBI Registered analyst.
