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Fundamentals for Metro Brands Limited
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Fundamentals for Metro Brands Limited
Business Operations:
Sector: Consumer CyclicalIndustry: Apparel Retail
Metro Brands Limited operates as a footwear specialty retailer in India. The company offers footwear for men, women, unisex, and kids under its own brands, including the Metro, Mochi, Walkway, and daVinchi, as well as third-party brands, such as Crocs, Foot Locker, FILA, FitFlop, Cheemo, Proline, Vans, and Biofoot. It also offers accessories, such as belts, bags, socks, wallets, and clutches; and footcare and shoe-care products. In addition, the company provides its products through stores and distributors, as well as through online channels. Metro Brands Limited was formerly known as Metro Shoes Limited and changed its name to Metro Brands Limited in September 2018. Metro Brands Limited was founded in 1955 and is headquartered in Mumbai, India.
Revenue projections:
Investors are expected to be cautious with METROBRAND, as its revenues are projected to fall compared to last year. A decline in revenue often results in a negative impact on profitability, prompting concerns about the company's financial stability and making investors more conservative in their approach.
Financial Ratios:
| currentRatio | 2.56800 |
|---|---|
| forwardPE | 54.40405 |
| debtToEquity | 77.87400 |
| earningsGrowth | -0.02700 |
| revenueGrowth | 0.11200 |
| grossMargins | 0.57676 |
| operatingMargins | 0.14178 |
| trailingEps | 12.97000 |
| forwardEps | 18.77250 |
Metro Brands Limited's current ratio of 2.568 indicates strong liquidity, meaning the company can comfortably meet its short-term debt obligations. This financial position reflects Metro Brands Limited's ability to use its cash reserves and current assets to cover liabilities without facing any cash flow issues.
With METROBRAND's forward PE ratio being elevated, the stock may see limited price appreciation and face correction risks. It's essential to assess this metric alongside other fundamentals to determine the sustainability of the stock's current valuation.
Metro Brands Limited's low growth in earnings and revenue points to a likely reduction in profits. This signals a weakening financial performance, indicating the company might face difficulties in staying profitable.
METROBRAND's negative gross and operating margins suggest that the company is currently facing financial difficulties, as it is unable to cover production and operational costs. This could result in significant losses if not addressed.
Metro Brands Limited's forward EPS surpassing its trailing EPS signals that the company is anticipated to be more profitable this year than last. This growth expectation highlights Metro Brands Limited's potential for increased earnings and a stronger financial performance in the upcoming year.
Price projections:
METROBRAND's stock price has repeatedly hovered near the lower end of projections. This trend indicates that the company may be facing obstacles in achieving the growth anticipated by analysts.
Recommendation changes over time:
Recent analysis shows a strong buy bias for Metro Brands Limited, encouraging investors to view it as a solid investment option. The positive sentiment surrounding Metro Brands Limited suggests it could be an attractive place to allocate funds, motivating potential investors to consider the stock as a valuable part of their portfolio.
DISCLAIMER: We provide information and our musings based on events, but nothing on this site can be considered professional advice of any kind.
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