Redtape Limited (REDTAPE) AI Stock Analysis

• Market Cap: ₹76.54B
• Dividend Yield: 1.63%
• Average Volume (3M): 108.44K
• Price to Earnings (P/E): 42.9
• Beta (1Y): 0.55
• Revenue Growth: 8.40%
• EPS Growth: 11.27%
• Country: IN
• Employees: 867
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Specialty Retail
• EPS (TTM): 0.70
• Shares Outstanding: 552,807,600
• 10 Day Avg. Volume: 64,484
• 30 Day Avg. Volume: 108,441
• PEG Ratio: -13.96
• Price to Book (P/B): 10.22
• Price to Sales (P/S): 3.99
• P/FCF Ratio: -45.10
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹144.00
• Price Target Upside: 5.80% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 58 Neutral
• Price Target: ₹144.00 ▲(5.80% Upside)

Redtape Limited's overall stock score is primarily influenced by its strong financial performance, despite challenges in cash flow and leverage. Technical analysis indicates mixed momentum, and the high P/E ratio suggests overvaluation. The absence of earnings call data and corporate events limits additional insights.

Redtape Limited Business Overview & Revenue Model

Company Description

Redtape Limited (REDTAPE) is a prominent retail and fashion company specializing in the design, manufacturing, and distribution of footwear, clothing, and accessories. Operating primarily in the fashion sector, the company offers a wide range of products that blend style, comfort, and quality, catering to both domestic and international markets. Redtape is renowned for its innovative designs and commitment to delivering high-quality products that align with current fashion trends.

How the Company Makes Money

Redtape Limited generates revenue through the sale of its fashion products, including footwear, apparel, and accessories. The company has established a diverse revenue model that includes direct sales through its retail stores and online platforms, as well as wholesale distribution to other retailers. Key revenue streams include domestic sales in major urban centers and international sales through exports. The company's strategic partnerships with e-commerce giants and retail chains significantly contribute to its earnings by expanding its market reach and customer base. Additionally, Redtape benefits from brand licensing agreements and collaborations that enhance its product offerings and market presence.

Redtape Limited Financial Statement Overview

Summary

Redtape Limited shows strong revenue growth and operational efficiency, but faces challenges with cash flow and increasing leverage. The company needs to enhance cash flow stability and manage debt levels to ensure sustainable growth.

Income Statement

Redtape Limited shows a healthy revenue growth with a significant increase from 2024 to 2025. The gross profit margin has been consistent, although a slight dip is seen in 2025. Net profit margin remains robust despite a slight decrease. EBIT and EBITDA margins indicate strong operational performance, though there's a need to control costs to maintain these margins.

Balance Sheet

The company's balance sheet reflects a significant increase in total assets and equity over the years, indicating growth. However, the debt-to-equity ratio has increased, which could be a risk if leverage continues to rise. The equity ratio suggests a stable financial position, but maintaining this balance is crucial to avoid over-leverage.

Cash Flow

Cash flow analysis shows a negative trend in free cash flow, primarily due to high capital expenditures. Operating cash flow has turned negative in the latest period, posing a potential risk to liquidity. Improving cash flow management will be essential to support future growth and operational needs.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022
Income Statement
Total Revenue	20.50B	20.20B	18.43B	14.68B	3.03B
Gross Profit	9.09B	7.37B	8.94B	6.72B	1.35B
EBITDA	3.83B	3.67B	3.32B	2.51B	472.20M
Net Income	1.78B	1.70B	1.76B	1.42B	290.40M
Balance Sheet
Total Assets	0.00	22.24B	15.88B	12.39B	63.20K
Cash, Cash Equivalents and Short-Term Investments	145.70M	145.70M	210.40M	261.80M	142.60M
Total Debt	0.00	7.24B	4.80B	2.60B	285.00M
Total Liabilities	-7.89B	14.35B	9.40B	7.62B	5.00K
Stockholders Equity	7.89B	7.89B	6.48B	4.77B	3.36B
Cash Flow
Free Cash Flow	0.00	-1.79B	-351.40M	-189.00M	-1.48B
Operating Cash Flow	0.00	-76.10M	843.70M	1.27B	-36.80K
Investing Cash Flow	0.00	-1.07B	-1.16B	-1.27B	-1.48B
Financing Cash Flow	0.00	1.20B	261.00M	124.30M	-132.30M

Redtape Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 136.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:REDTAPE, the sentiment is Negative. The current price of 136.1 is below the 20-day moving average (MA) of 146.96, above the 50-day MA of 134.84, and below the 200-day MA of 150.52, indicating a neutral trend. The MACD of 2.58 indicates Positive momentum. The RSI at 44.78 is Neutral, neither overbought nor oversold. The STOCH value of 15.14 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:REDTAPE.

Redtape Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GALAXYSURF	74 Outperform	₹80.00B	26.26	―	0.97%	18.32%	-0.43%
CAMPUS	73 Outperform	₹85.18B	72.17	―	0.36%	11.40%	41.53%
MANORAMA	69 Neutral	₹86.31B	60.17	―	0.04%	93.55%	240.14%
PGIL	67 Neutral	₹56.86B	22.58	―	0.93%	30.23%	23.88%
TTKPRESTIG	65 Neutral	₹87.15B	89.55	―	0.93%	2.16%	-55.67%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
REDTAPE	58 Neutral	₹76.54B	42.95	―	1.63%	8.40%	11.27%

Redtape Limited Corporate Events

Redtape Limited Submits SEBI Compliance Certificate for Q1 2025

Redtape Limited has announced the submission of a certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018, for the first quarter ending June 30, 2025. The company has confirmed that details of securities dematerialized or rematerialized during this period have been provided to all stock exchanges where its shares are listed, as certified by their registrar and transfer agent, KFin Technologies Limited.