Raymond Lifestyle shares down 30% in six months: Time to buy, sell or hold? Roadmap for investors
Raymond Lifestyle: "We have factored in revenue/ EBITDA/ PAT CAGR of 10 per cent/ 28.4 per cent/ 47.4 per cent over FY26-FY28E. We expect operating margins of 12 per cent/ 13 per cent in FY27E/FY28E, respectively," the brokerage said.
- May 12, 2026,
- Updated May 12, 2026 1:33 PM IST
Shares of Raymond Lifestyle Ltd, the demerged retail and lifestyle arm of Raymond Ltd, were trading 4.68 per cent higher at Rs 798 in Tuesday's trade. Despite today's rise, the stock remains down 29.91 per cent over the last six months.
Select brokerage and a few market participants continue to remain largely constructive on the stock, with one advising investors to accumulate on dips from a long-term perspective.
Systematix Institutional Equities said Raymond Lifestyle's March 2026 quarter (Q4 FY26) revenue growth came in above expectations, although operating performance remained below estimates.
"Raymond Lifestyle Q4 FY26 revenue growth was above expectations. However, operating performance was below (than) expected. Revenue grew 18.9 per cent YoY (year-on-year) to Rs 1,776 crore. Gross margin declined 353 bps YoY to 51.7 per cent. EBITDA margin expanded 576 bps YoY to 6.7 per cent. Adjusted PAT stood at Rs 15 crore compared to a net loss of Rs 43 crore in Q4 FY25. Net cash at Rs 179 crore in FY26 vs Rs 90 crore in FY25," the brokerage stated.
The domestic brokerage maintained its 'Buy' call on the counter, though it lowered the target price.
"We have factored in revenue/ EBITDA/ PAT CAGR of 10 per cent/ 28.4 per cent/ 47.4 per cent over FY26-FY28E. We expect operating margins of 12 per cent/ 13 per cent in FY27E/FY28E, respectively. We have revised our target price to Rs 1,137 (vs Rs 1,428 earlier), maintaining our BUY rating based on SOTP valuation method, valuing branded textiles, branded apparel and B2B businesses at 7x/ 8x/ 6x Mar 2028E EV/EBITDA," Systematix further stated.
Kranthi Bathini, Equity Strategist at WealthMills Securities, believes Raymond Lifestyle appears fairly valued after Raymond's value unlocking. However, he remains constructive on the stock from a long-term perspective, citing the broader consumption theme and discretionary spending.
He advised existing investors to continue holding the stock, while suggesting fresh accumulation on market dips for those with a long-term investment horizon.
Ravi Singh, Chief Research Officer at Mastertrust, said Raymond Lifestyle appears to be gradually stabilising after a prolonged correction.
"The stock is currently trading near the Rs 780 zone and has started moving in a narrow range after continuous selling pressure, which indicates that downside momentum may be weakening gradually. Buyers are showing interest near lower levels, but the stock still lacks strong bullish momentum for a clear breakout," he added.
"The stock needs to sustain above the Rs 820–840 range to signal a stronger trend reversal. Until then, it may continue consolidating near current levels. A stable market environment and improvement in discretionary consumption could help the stock recover gradually from recent lows," Singh further stated.
Shares of Raymond Lifestyle Ltd, the demerged retail and lifestyle arm of Raymond Ltd, were trading 4.68 per cent higher at Rs 798 in Tuesday's trade. Despite today's rise, the stock remains down 29.91 per cent over the last six months.
Select brokerage and a few market participants continue to remain largely constructive on the stock, with one advising investors to accumulate on dips from a long-term perspective.
Systematix Institutional Equities said Raymond Lifestyle's March 2026 quarter (Q4 FY26) revenue growth came in above expectations, although operating performance remained below estimates.
"Raymond Lifestyle Q4 FY26 revenue growth was above expectations. However, operating performance was below (than) expected. Revenue grew 18.9 per cent YoY (year-on-year) to Rs 1,776 crore. Gross margin declined 353 bps YoY to 51.7 per cent. EBITDA margin expanded 576 bps YoY to 6.7 per cent. Adjusted PAT stood at Rs 15 crore compared to a net loss of Rs 43 crore in Q4 FY25. Net cash at Rs 179 crore in FY26 vs Rs 90 crore in FY25," the brokerage stated.
The domestic brokerage maintained its 'Buy' call on the counter, though it lowered the target price.
"We have factored in revenue/ EBITDA/ PAT CAGR of 10 per cent/ 28.4 per cent/ 47.4 per cent over FY26-FY28E. We expect operating margins of 12 per cent/ 13 per cent in FY27E/FY28E, respectively. We have revised our target price to Rs 1,137 (vs Rs 1,428 earlier), maintaining our BUY rating based on SOTP valuation method, valuing branded textiles, branded apparel and B2B businesses at 7x/ 8x/ 6x Mar 2028E EV/EBITDA," Systematix further stated.
Kranthi Bathini, Equity Strategist at WealthMills Securities, believes Raymond Lifestyle appears fairly valued after Raymond's value unlocking. However, he remains constructive on the stock from a long-term perspective, citing the broader consumption theme and discretionary spending.
He advised existing investors to continue holding the stock, while suggesting fresh accumulation on market dips for those with a long-term investment horizon.
Ravi Singh, Chief Research Officer at Mastertrust, said Raymond Lifestyle appears to be gradually stabilising after a prolonged correction.
"The stock is currently trading near the Rs 780 zone and has started moving in a narrow range after continuous selling pressure, which indicates that downside momentum may be weakening gradually. Buyers are showing interest near lower levels, but the stock still lacks strong bullish momentum for a clear breakout," he added.
"The stock needs to sustain above the Rs 820–840 range to signal a stronger trend reversal. Until then, it may continue consolidating near current levels. A stable market environment and improvement in discretionary consumption could help the stock recover gradually from recent lows," Singh further stated.