V2 Retail Limited (V2RETAIL) AI Stock Analysis

• Market Cap: ₹72.83B
• Dividend Yield: N/A
• Average Volume (3M): 14.37K
• Price to Earnings (P/E): 68.5
• Beta (1Y): 1.07
• Revenue Growth: 65.91%
• EPS Growth: 139.39%
• Country: IN
• Employees: 3,338
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): N/A
• Shares Outstanding: 36,463,757
• 10 Day Avg. Volume: 10,037
• 30 Day Avg. Volume: 14,373
• PEG Ratio: 0.53
• Price to Book (P/B): 17.22
• Price to Sales (P/S): 3.16
• P/FCF Ratio: 265.42
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: ₹2,118.00 ▼(-13.04% Downside)

V2 Retail Limited's stock score is primarily driven by its strong financial performance and positive technical indicators. However, the high P/E ratio suggests overvaluation, which negatively impacts the overall score. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Strong Revenue Growth

Sustained double-digit revenue expansion demonstrates strong market traction in the value-fashion segment. Durable top-line growth supports scale benefits, improves fixed-cost absorption, and provides runway for reinvestment in stores, merchandising and supply-chain improvements over months.

Improving Profitability and Margins

Rising net and operating margins indicate better cost control, procurement and operational efficiency. Sustained margin improvement increases resilience to input cost swings, enhances cash generation per rupee of sales, and supports ongoing profitability even as volume normalizes.

Healthy Operating Cash Generation

Consistent operating cash flow and a return to positive free cash flow show the business can fund working capital and some investment internally. Durable cash generation reduces reliance on external funding and supports capex and store rollouts over the medium term.

Negative Factors

High Financial Leverage

Material reliance on debt increases interest and refinancing risk, constraining financial flexibility. In a retail environment with margin pressure or slower sales, high leverage can force cost cuts or limit strategic investments, elevating downside risk over the coming quarters.

Capex Pressures Reduce Free Cash Flow

Elevated capital spending depresses free cash flow despite operating profits, creating potential liquidity strain. If capex remains high to expand store footprint, financing needs may persist and restrict shareholder returns or require additional debt issuance over the medium term.

Heavy Reliance on Brick-and-Mortar; E‑commerce Unclear

Dependence on physical stores exposes the company to long-term shifts toward online retail and changing consumer habits. Lack of a clear e-commerce or omnichannel position limits market reach and may pressure same-store sales growth and customer acquisition economics over time.

V2 Retail Limited Business Overview & Revenue Model

Company Description

V2 Retail Limited engages in the retail trade of garments, textiles, and accessories in India. The company sells its products under the Godspeed, Herrlich, Glamora, ebellia, and Honey Brats brands. As of May 05, 2021, it operated 93 retail stores. The company was incorporated in 2001 and is based in New Delhi, India.

How the Company Makes Money

V2 Retail Limited generates revenue primarily through the sale of consumer products in its retail locations and online platforms. The company employs a multi-channel retail strategy, allowing it to reach customers through both brick-and-mortar stores and e-commerce. Key revenue streams include direct sales of apparel, home goods, and electronics, as well as potential partnerships with other brands for exclusive product lines and collaborations. Additionally, V2RETAIL may benefit from loyalty programs and promotions that encourage repeat purchases, enhancing customer retention and increasing overall sales. Seasonal sales and clearance events also contribute significantly to revenue, as they attract customers looking for discounts on popular items.

V2 Retail Limited Financial Statement Overview

Summary

V2 Retail Limited shows strong growth and improving profitability, driven by revenue expansion and operational efficiency. However, high leverage poses financial risk, and cash flows, while positive, require careful management of capital expenditures to ensure liquidity.

Income Statement

V2 Retail Limited's income statement reflects a robust growth trajectory with a significant revenue increase over the years, highlighted by a 62.3% growth from 2024 to 2025. The gross profit margin has been stable, while the net profit margin improved to 3.8% in 2025, indicating better cost control and profitability. The steady increase in EBIT and EBITDA margins also showcases enhanced operational efficiency. However, the company experienced losses in prior years, which should be monitored for sustained profitability.

Balance Sheet

The balance sheet shows a moderately leveraged financial position with a debt-to-equity ratio of 2.45 in 2025, which suggests significant reliance on debt financing. The equity ratio is 21.3%, indicating a lower reliance on equity. Return on Equity (ROE) improved to 20.8% in 2025, showcasing efficient use of shareholders' equity to generate profit. Despite improvements, high debt levels might pose risks in adverse market conditions.

Cash Flow

Cash flow analysis reveals a fluctuating but generally positive cash flow situation, with free cash flow turning positive in 2025 after a decline in the previous year. Operating cash flow remains healthy, supporting the company's operational needs. The free cash flow to net income ratio is low due to the high capital expenditures, which could strain liquidity if not managed carefully. The operating cash flow to net income ratio reflects good cash generation relative to profits.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	21.02B	18.84B	11.61B	8.39B	6.28B	5.37B
Gross Profit	4.99B	2.93B	1.21B	2.86B	586.29M	1.47B
EBITDA	2.96B	2.65B	1.54B	913.18M	819.19M	720.92M
Net Income	803.56M	720.32M	278.11M	-128.17M	-116.77M	-128.43M
Balance Sheet
Total Assets	0.00	16.28B	10.27B	7.94B	7.92B	8.13B
Cash, Cash Equivalents and Short-Term Investments	94.04M	94.04M	94.48M	62.28M	74.13M	225.05M
Total Debt	0.00	8.50B	5.25B	4.24B	3.98B	3.96B
Total Liabilities	-3.46B	12.82B	7.52B	5.47B	5.34B	5.44B
Stockholders Equity	3.46B	3.46B	2.75B	2.47B	2.58B	2.69B
Cash Flow
Free Cash Flow	0.00	224.64M	539.16M	732.76M	418.49M	-242.13M
Operating Cash Flow	0.00	1.57B	934.25M	863.57M	586.14M	33.72M
Investing Cash Flow	0.00	-1.31B	-392.98M	-122.73M	-157.11M	-203.00M
Financing Cash Flow	0.00	-265.06M	-495.98M	-757.02M	-582.92M	-216.36M

V2 Retail Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2435.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:V2RETAIL, the sentiment is Negative. The current price of 2435.5 is above the 20-day moving average (MA) of 2035.47, above the 50-day MA of 2211.20, and above the 200-day MA of 1997.02, indicating a bearish trend. The MACD of -97.94 indicates Negative momentum. The RSI at 42.47 is Neutral, neither overbought nor oversold. The STOCH value of 69.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:V2RETAIL.

V2 Retail Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ARVIND	73 Outperform	₹82.03B	20.23	―	1.18%	8.84%	41.74%
V2RETAIL	62 Neutral	₹72.83B	68.54	―	―	65.91%	139.39%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
VMART	60 Neutral	₹50.27B	36.28	―	―	16.45%	―
GOKEX	57 Neutral	₹40.33B	35.75	―	―	22.27%	7.09%
ARVINDFASN	56 Neutral	₹63.06B	-356.47	―	0.31%	10.72%	-115.52%
ABFRL	48 Neutral	₹80.70B	-14.13	―	―	-32.83%	31.19%

V2 Retail Limited Corporate Events

V2 Retail Files SEBI Compliance Certificate for December 2025 Quarter

V2 Retail Limited has informed the stock exchanges that it has submitted a confirmation certificate from its Registrar and Transfer Agent for the quarter ended December 31, 2025, in compliance with Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018. The filing underscores the company’s adherence to regulatory requirements governing dematerialised securities and depository operations, providing comfort to investors and other stakeholders about its ongoing compliance and governance standards in the capital markets.

V2 Retail Limited Releases Q2 2025 Financial Results with Pending Asset Reconciliation

V2 Retail Limited announced its unaudited standalone and consolidated financial results for the quarter and half-year ending September 30, 2025. The report, reviewed by independent auditors, highlighted a pending reconciliation of physical verification of assets, which may affect the carrying value of property, plant, and equipment. This announcement is crucial for stakeholders as it reflects the company’s financial health and operational transparency, although the pending reconciliation introduces an element of uncertainty.

V2 Retail Secures ₹400 Crore via QIP to Fuel Growth

V2 Retail Limited has successfully raised ₹400 crore through a Qualified Institutions Placement (QIP), marking a significant milestone in its growth journey. The funds were raised by issuing equity shares, and the initiative received strong interest from both domestic and foreign institutional investors, indicating confidence in the company’s long-term growth prospects. This capital infusion will strengthen V2 Retail’s balance sheet and support its strategic initiatives to expand its retail presence, enhance supply chain and digital capabilities, and drive sustainable value creation for stakeholders.

V2 Retail Limited Completes Successful QIP, Boosting Capital

V2 Retail Limited has successfully completed a qualified institutions placement (QIP) of equity shares, raising approximately ₹39,999.99 lakhs. This move increases the company’s paid-up equity share capital and is expected to strengthen its financial position, potentially enhancing its market competitiveness and providing more value to its stakeholders.