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  4. /Redtape Ltd
MomentumDeep Value

Redtape Ltd: Why Is It Outperforming Nifty 500?

Active
RS +11.2%Strong4w StreakRe-Entry

In Week of Jun 27, 2026, Redtape Ltd (Footwear) is outperforming Nifty 500 with +11.2% relative strength. Fundamentals: Strong. On a 4-week streak.

Redtape Ltd Key Facts

PE Ratio
31.5x
Market Cap
₹7,568 Cr
PAT Growth YoY
+71%
Revenue Growth YoY
+34%
OPM
16.0%
RS vs Nifty 500
+11.2%
Strong Opportunity

What's Happening

💎PE falling while earnings hold — value emerging
📊Debt increased 29% YoY — leverage rising
🌐FII stake increased 0.5% this quarter
💰Trading 28% below estimated fair value

Key Numbers

PAT Growth YoY
+71%
Stable
Revenue YoY
+34%
Accelerating
Operating Margin
16.0%
+700 bps YoY
PE Ratio
31.5
Current Price
₹137
Dividend Yield
1.46%
Fundamental Score
61/100
Strong
3Y PAT CAGR
+19%
Market Cap
7.6K Cr
Valuation
Undervalued

12-Week Performance

Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.

12 weeks agoThis week

How Fast Is Redtape Ltd Growing?

Revenue, profit and margin growth rates

MetricYoY3Y CAGRTrend
Revenue+34%+18%Accelerating
PAT (Net Profit)+71%+19%Stable
OPM16.0%+700 bpsVolatile

Other Top Footwear Stocks Beating Nifty 500

Sreeleathers Ltd
Average
+11.1%
← Back to FootwearDashboard

Frequently Asked Questions: Redtape Ltd

Based on publicly available financial data. This is educational research, not investment advice.

What were Redtape Ltd's latest quarterly results?

Redtape Ltd's latest quarterly results (Mar 2026) show

  • PAT Growth YoY: +70.7% (stable)
  • Revenue Growth YoY: +33.6%
  • Operating Margin: 16.0% (volatile)

Is Redtape Ltd's profit growing or declining?

Redtape Ltd's profit is growing with an stable trend.

  • PAT Growth YoY: +70.7% (latest quarter)
  • PAT Growth QoQ: -33.3% (sequential)
  • 3-Year PAT CAGR: +19.3%
  • Trend: Stable — consistent growth pattern

What is Redtape Ltd's revenue growth trend?

Redtape Ltd's revenue growth trend is accelerating.

  • Revenue Growth YoY: +33.6%
  • Revenue Growth QoQ: -14.1% (sequential)
  • 3-Year Revenue CAGR: +18.1%

How is Redtape Ltd's operating margin trending?

Redtape Ltd's operating margin is volatile.

  • Current OPM: 16.0%
  • OPM Change YoY: +7.0% basis points
  • OPM Change QoQ: -3.0% basis points

What is Redtape Ltd's 3-year profit and revenue CAGR?

Redtape Ltd's long-term compounding rates

  • 3-Year Profit CAGR: +19.3%
  • 3-Year Revenue CAGR: +18.1%

Is Redtape Ltd's growth accelerating or decelerating?

Redtape Ltd's earnings growth is stable with mixed signals on a sequential basis.

  • YoY Acceleration: +26.9% bps
  • Sequential Acceleration: -83.3% bps

What is Redtape Ltd's trailing twelve month (TTM) performance?

Redtape Ltd's trailing twelve month (TTM) performance

  • TTM PAT: ₹242 Cr
  • TTM PAT Growth: +42.4% YoY
  • TTM Revenue: ₹2,000 Cr
  • TTM Revenue Growth: +19.5% YoY
  • TTM Operating Margin: 17.0%

Is Redtape Ltd overvalued or undervalued?

Redtape Ltd appears undervalued based on our fair value analysis.

  • Valuation Signal: Undervalued
  • Current PE: 31.5x
  • Price-to-Book: 7.4x

What is Redtape Ltd's current PE ratio?

Redtape Ltd's current PE ratio is 31.5x.

  • Current PE: 31.5x
  • Market Cap: 7.6K Cr
  • Dividend Yield: 1.46%

How does Redtape Ltd's valuation compare to its history?

Redtape Ltd's current PE is 31.5x.

  • Current PE: 31.5x
  • Valuation Assessment: Undervalued

What is Redtape Ltd's price-to-book ratio?

Redtape Ltd's price-to-book ratio is 7.4x.

  • Price-to-Book (P/B): 7.4x
  • Book Value per Share: ₹19
  • Current Price: ₹137

Is Redtape Ltd a fundamentally strong company?

Redtape Ltd is rated Strong with a fundamental score of 61/100. This score is calculated from objective financial metrics

  • Revenue Growth YoY: +33.6% (10% weight)
  • PAT Growth YoY: +70.7% (10% weight)
  • PAT Growth QoQ: -33.3% (10% weight)
  • Margins stable (10% weight)

Is Redtape Ltd debt free?

Redtape Ltd has a debt-to-equity ratio of N/A.

  • Total Debt: ₹720 Cr

What is Redtape Ltd's return on equity (ROE) and ROCE?

Redtape Ltd's return ratios over recent years

  • FY2024: ROCE 29.0%
  • FY2025: ROCE 22.0%
  • FY2026: ROCE 24.0%

Is Redtape Ltd's cash flow positive?

Redtape Ltd's operating cash flow is positive (FY2026).

  • Cash from Operations (CFO): ₹174 Cr
  • Free Cash Flow (FCF): ₹90 Cr
  • CFO/PAT Ratio: 72% (adequate)

What is Redtape Ltd's dividend yield?

Redtape Ltd's current dividend yield is 1.46%.

  • Dividend Yield: 1.46%
  • Current Price: ₹137

Who holds Redtape Ltd shares — promoters, FII, DII?

Redtape Ltd's shareholding pattern (Mar 2026)

  • Promoters: 71.8%
  • FII (Foreign): 3.8%
  • DII (Domestic): 11.0%
  • Public: 13.4%

Is promoter holding increasing or decreasing in Redtape Ltd?

Redtape Ltd's promoter holding has increased recently.

  • Current Promoter Holding: 71.8% (Mar 2026)
  • Previous Quarter: 71.8% (Dec 2025)
  • Change: +0.04% (increasing — positive signal)

How long has Redtape Ltd been outperforming Nifty 500?

Redtape Ltd has been outperforming Nifty 500 for 4 consecutive weeks, indicating building momentum.

Is Redtape Ltd a new momentum entry or an established outperformer?

Redtape Ltd is a re-entry — it briefly dropped off the outperformance list but has now returned. Re-entries can signal renewed strength.

Is Redtape Ltd worth studying for long term investment?

Based on quantitative research signals, here is why Redtape Ltd may be worth studying

  • Earnings growing at +70.7% YoY
  • Revenue growth is accelerating — +33.6% YoY
  • Valuation: appears undervalued
  • Cash flow is positive — CFO ₹174 Cr

What is the investment thesis for Redtape Ltd?

Redtape Ltd investment thesis summary:

Research Signals (Bull Case)

  • Revenue growing at +33.6% YoY
  • Appears undervalued

What is the future outlook for Redtape Ltd?

Redtape Ltd's forward outlook based on current data signals

  • Earnings Trend: stable
  • Revenue Trend: accelerating
  • Margin Trend: volatile
  • Valuation: Undervalued

The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.