Raymond stock has faced significant challenges in 2025, with poor sales growth, a sharp price decline, and mixed analyst opinions about its future prospects.
Current Performance
- Share price is around ₹599.60 as of August 2025, down about 69.85% over the past year and 53.64% over the past six months.
- The company’s consolidated June 2025 net sales dropped 44% year-on-year.
- Return on equity remains low (5.96% over the last 3 years).
Key Pros & Cons
Pros
- Debt reduction: Raymond has made efforts to reduce its overall debt.
- Stock is trading at almost its book value (P/B ratio ~1) and may be attractive for value-focused investors.
- Some analysts expect future quarterly improvements, possibly driven by automation and aerospace ventures.
Cons
- Poor long-term sales growth: Compounded 5-year sales and profit growth have been negative (-21% and -32%, respectively).
- Recent sharp contraction in revenue and profits.
- Daily technical analysis signals potential for further short-term declines due to bearish momentum.
- Dividend payout is low at just 2.61% of profits over the last three years.
Analyst Recommendations
- One major brokerage (Motilal Oswal) has a strong buy recommendation, with a long-term target up to ₹3,000, but the average analyst score remains mixed due to fundamental concerns.
- Technical forecasts place price targets around ₹903 for 2026, but uncertainty persists about reaching prior highs.
Peer Comparison
Name | Price (₹) | 1Y Return (%) | P/E | ROCE (%) | Market Cap (Cr) |
---|---|---|---|---|---|
Raymond | 599.60 | -69.85 | 36.6 | 1.64 | 3,992 |
DLF | 739.05 | +99.41 | 43.21 | 6.51 | 182,938 |
Lodha Developers | 1192.30 | +22.67 | 40.16 | 15.62 | 119,035 |
Summary
Raymond stock in 2025 shows weak sales growth and profitability with declining prices and low dividend payout, but some value traits and analyst optimism remain for potential long-term recovery. Recent performance favors caution, and close monitoring of quarterly results and sector trends is recommended for prospective investors.
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