Bata India falls as Citi cuts target after weak Q2
In short
Bata India shares fell after Citi cut its target after a weak second quarter. Citi said EBITDA fell 1% from a year earlier and was 21% below its estimate. Adjusted net profit fell 12% and missed estimates by 65%.
The cut hurt sentiment on the stock and raised worries about more valuation pressure. The reporting does not state the new target or the full results.
What the reporting says
Bata India shares fell after Citi cut its target following a weak Q2, warning of further valuation de-rating. Citi cited operating profitability weakness, with EBITDA down 1% year on year and 21% below its estimate, while adjusted net profit fell 12% year on year and missed estimates by 65%. The immediate market reaction was negative, but the reporting does not state the new target or full Q2 figures.
Why it matters
Bata India shares weakened after Citi downgraded its view on the stock post-Q2, pointing to softer operating profit and a large earnings miss versus estimates. The broker’s warning about further valuation de-rating suggests investors may reassess the stock’s pricing after the disappointing quarter. The reporting does not state the revised target price or any management response.