Rupa & Co. Ltd. (RUPA) AI Stock Analysis

• Market Cap: ₹9.73B
• Dividend Yield: 1.82%
• Average Volume (3M): 7.77K
• Price to Earnings (P/E): 19.6
• Beta (1Y): 1.24
• Revenue Growth: 0.78%
• EPS Growth: 0.54%
• Country: IN
• Employees: 777
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): 2.04
• Shares Outstanding: 79,524,560
• 10 Day Avg. Volume: 3,642
• 30 Day Avg. Volume: 7,767
• PEG Ratio: 0.92
• Price to Book (P/B): 1.47
• Price to Sales (P/S): 1.20
• P/FCF Ratio: 29.34
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 8.1
• Revenue Forecast (FY): ₹12.26B

• Rating: 58 Neutral
• Price Target: ₹129.00 ▼(-20.15% Downside)
• Action: Reiterated Date: 11/25/25
• Date: Action: Reiterated 11/25/25

Rupa & Co. Ltd.'s overall stock score is primarily influenced by its solid financial performance, despite challenges in cash flow. Technical analysis indicates bearish momentum, which negatively impacts the score. Valuation is moderate, offering a reasonable P/E ratio and dividend yield but not enough to offset the technical weaknesses.

Positive Factors

Consistent revenue growth

A continued increase in top-line (2.38% in the most recent year) signals stable end-market demand and product acceptance across Rupa's distribution. Durable revenue growth supports capacity utilization and incremental operating leverage, enabling reinvestment in brands, channels, and product mix over the medium term.

Healthy operating margins

Relatively strong gross and EBITDA margins for an apparel manufacturer indicate effective sourcing, cost controls, and pricing power in core categories. Sustainable margins provide cushion against raw-material volatility and fund marketing, distribution expansion, and modest capex without eroding profitability over multiple quarters.

Conservative balance sheet

Low leverage and a high equity ratio give Rupa financial resilience against cyclical retail demand and supply shocks. Manageable debt levels and positive ROE afford capacity to raise incremental capital if needed, maintain supplier relationships, and pursue strategic investments without immediate solvency pressure.

Negative Factors

Declining operating cash flow

A drop in operating cash flow and negative free cash flow growth reduce internal funding for inventory, brand-building, and capex. Persisting cash-generation weakness can force higher working capital financing or constrain dividends and reinvestment, weakening long-term growth options if not reversed.

Rising debt levels

Even a marginal increase in total debt raises concerns when cash flows are weakening. Additional leverage to cover working capital or growth can elevate interest costs and reduce flexibility, making the firm more sensitive to sales volatility and input-cost shocks over the coming quarters.

Declining EPS trend

A material drop in EPS signals pressure on underlying profitability or one-off headwinds that have not been fully absorbed by revenue growth. If EPS contraction persists alongside cash-flow weakness, it limits retained earnings for reinvestment and could impair the company’s ability to scale margins over time.

Rupa & Co. Ltd. Business Overview & Revenue Model

Company Description

Rupa & Company Limited, together with its subsidiaries, engages in the manufacture and sale of hosiery products for men, women, and kids in India and internationally. It offers vests, briefs, inners, drawers, bermudas, capri's, T-shirts, socks, and thermals for men; bras, panties, camisole, leggings, kurti pants, palazzos, T-shirts, capri's, loungers, thermal uppers and lowers, and socks for women; and T-shirts, bermudas, shorts, thermals, and socks for kids. The company offers its products under the Frontline, Jon, Air, Macroman, Macroman M-series, Macrowoman W-series, Euro, Bumchums, Torrido, Thermocot, Kidline, FCUK, Fruit of the Loom, Femmora, and Softline. It also generates power through a windmill. The company sells its products through approximately 1,50,000 retail outlets and various e-commerce portals, as well as through 20 exclusive brand outlets and approximately 1500 dealers. Rupa & Company Limited was founded in 1968 and is headquartered in Kolkata, India.

How the Company Makes Money

Rupa & Co. Ltd. makes money primarily by selling finished apparel products (innerwear and related casualwear categories) in the Indian market. Its core revenue stream is the invoiced sale of these products to a broad distribution network that typically includes wholesalers/distributors and retailers (including multi-brand outlets and other trade channels), with revenue recognized from product sales. Earnings are driven by (i) product mix and volumes across its brands and categories, (ii) pricing and promotional activity, (iii) the breadth and efficiency of its distribution and retail reach, and (iv) manufacturing/sourcing economics that influence gross margins (cost of raw materials, processing, and logistics). Specific details on revenue split by channel/category, named strategic partnerships, or licensing/royalty/other non-operating income contributions are null.

Rupa & Co. Ltd. Financial Statement Overview

Summary

Rupa & Co. Ltd. demonstrates solid financial performance with consistent revenue growth and profitability. The balance sheet shows a healthy equity position, though there is a slight increase in debt levels. Cash flow is weakened by reduced operating cash flows and free cash flow growth, posing a challenge for liquidity.

Income Statement

Rupa & Co. Ltd. has shown a steady increase in its revenue over the years, demonstrating a positive growth trajectory, with a 2.38% revenue growth rate in the most recent year. The company's gross profit margin stands at approximately 29.42%, indicating efficient cost management. The net profit margin is healthy at 6.72%, while EBIT and EBITDA margins are at 9.35% and 10.53%, respectively. However, the decline in gross profit from the previous year suggests potential cost pressures.

Balance Sheet

The balance sheet reflects moderate stability with a debt-to-equity ratio of 0.23, showing manageable leverage. The company's return on equity (ROE) is reasonably strong at 8.19%, indicating effective use of shareholders' funds. The equity ratio is high at 67.30%, suggesting a solid equity base relative to total assets. Nonetheless, the company's total debt has increased marginally, which may indicate a reliance on debt financing.

Cash Flow

The cash flow statement reveals a decline in operating cash flow compared to the previous year, which could impact liquidity. The free cash flow growth rate is negative, with a significant decrease from the previous year. The operating cash flow to net income ratio is 0.70, indicating that operating cash flow is covering net income adequately. The free cash flow to net income ratio is 0.61, reflecting a moderate capacity to generate free cash flow relative to net income.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	12.33B	12.39B	12.11B	11.37B	14.68B	13.09B
Gross Profit	3.57B	6.56B	5.91B	5.30B	8.34B	6.91B
EBITDA	1.32B	1.48B	1.31B	1.06B	2.78B	2.65B
Net Income	744.07M	832.92M	697.77M	537.32M	1.92B	1.75B
Balance Sheet
Total Assets	15.11B	15.12B	14.46B	13.88B	15.77B	11.66B
Cash, Cash Equivalents and Short-Term Investments	2.42B	1.96B	2.21B	1.13B	1.23B	1.18B
Total Debt	2.51B	2.38B	2.39B	2.61B	3.70B	1.61B
Total Liabilities	4.97B	4.94B	4.88B	4.76B	6.95B	4.37B
Stockholders Equity	10.14B	10.18B	9.58B	9.12B	8.82B	7.30B
Cash Flow
Free Cash Flow	190.00M	508.30M	1.46B	1.54B	-1.53B	1.88B
Operating Cash Flow	230.56M	586.16M	1.56B	1.85B	-1.16B	2.11B
Investing Cash Flow	-171.50M	-102.47M	-794.49M	-240.92M	-336.19M	-1.37B
Financing Cash Flow	-197.13M	-425.88M	-679.61M	-1.58B	1.51B	-717.33M

Rupa & Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 161.55
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:RUPA, the sentiment is Negative. The current price of 161.55 is above the 20-day moving average (MA) of 135.88, above the 50-day MA of 146.74, and below the 200-day MA of 183.79, indicating a bearish trend. The MACD of -6.43 indicates Positive momentum. The RSI at 27.07 is Positive, neither overbought nor oversold. The STOCH value of 11.09 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:RUPA.

Rupa & Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CANTABIL	70 Outperform	₹20.70B	13.08	―	0.39%	19.90%	27.94%
MONTECARLO	64 Neutral	₹10.55B	3.10	―	2.83%	8.10%	59.25%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
RUPA	58 Neutral	₹9.73B	19.56	―	1.82%	0.78%	0.54%
INDTERRAIN	48 Neutral	₹1.39B	17.32	―	―	-5.67%	71.26%
SPENCERS	41 Neutral	₹2.70B	-1.59	―	―	-21.05%	8.16%

Rupa & Co. Ltd. Corporate Events

Rupa & Co. Announces Trading Window Closure Ahead of Q3 FY26 Results

Rupa & Company Limited has announced that, in line with its Code of Conduct and the SEBI (Prohibition of Insider Trading) Regulations, 2015, it will close its trading window for designated persons and their immediate relatives from January 1, 2026 until 48 hours after the announcement of its unaudited financial results for the quarter ended December 31, 2025. This temporary trading restriction, a standard compliance measure ahead of financial disclosures, aims to prevent insider trading and enhance governance transparency, signaling continued adherence to regulatory norms for investors and market participants, while the exact board meeting date for approval of the results will be communicated later.