Shares of Metro Brands, a footwear retailer backed by investor Rekha Jhunjhunwala, have remained under pressure in 2026, declining 27.11% year-to-date (YTD).
Metro Brands share price has also seen selling pressure across multiple time frames, falling 7.03% over the past week, 0.63% over two weeks, 6.67% over one month, and 18.13% over three months. Over the past six months, the stock has declined 13.98%.
Rekha Jhunjhunwala holds a 14.4% stake in Metro Brands, making the stock a key holding in her portfolio.
Metro Brands share price today opened at ₹846.20 apiece on the BSE, the stock touched an intraday high of ₹880.20 per share, and an intraday low of ₹844.60 apiece.
Metro Brands share price: What is driving the outlook?
Despite the recent share price correction, analysts expect Metro Brands to report healthy revenue and earnings growth in the second quarter of FY27. Elara Capital’s Q2FY27 estimates indicate that revenue could grow 13.2% year-on-year (YoY), supported by volume growth of around 10.5% and realisation growth of approximately 2.5%. The company’s premium portfolio is expected to remain a key contributor to revenue growth.
The brokerage also expects operating profitability to improve, with EBITDA margin expanding 78 basis points YoY to 27%. Adjusted profit after tax (PAT) is projected to rise 21.9% YoY.
Elara Capital has maintained a ‘Buy’ rating on Metro Brands, with a target price of ₹1,510, implying an upside potential of around 72% from the current market price. The target reflects the brokerage’s positive view of the company’s growth prospects, although actual returns will depend on business performance and market conditions.
Should you buy, sell or hold Metro Brands? Here’s what experts say
Fundamental outlook: Long-term earnings growth remains key
Sunny Agrawal, Head of Fundamental Research at SBI Securities, said investors looking to participate in the footwear category could gradually accumulate Metro Brands from a long-term perspective. He expects the company to have the potential to deliver an earnings compound annual growth rate (CAGR) of 14–15% over the next two years.
However, Agrawal cautioned that the company’s investments in brand-building and the incubation of new formats could weigh on margins in the near term. He noted that management has guided for EBITDA margins of around 30% and PAT margins of 13–15%.
On valuations, Agrawal said Metro Brands was trading at around 45 times its estimated FY28 earnings at the current market price. He also highlighted that, within the discretionary consumption segment, jewellery and hotel businesses could deliver relatively stronger earnings growth than footwear.
His assessment suggests that while Metro Brands offers a long-term earnings growth opportunity, investors should also consider its valuation and the possibility of near-term margin pressure.
Technical outlook: Bearish trend persists
From a technical perspective, Sudeep Shah, Head of Technical and Derivatives Research at SBI Securities, said Metro Brands continues to exhibit weakness on the charts.
Shah noted that the stock has been forming a lower-high and lower-low pattern on the daily chart, signalling persistent selling pressure. Following a distribution phase on the weekly chart, the stock appears to be entering a markdown phase.
He added that the rising Average Directional Index (ADX) on the daily chart indicates strengthening bearish momentum, while the Moving Average Convergence Divergence (MACD) line remains well below the zero line, reinforcing the negative technical outlook.
According to Shah, the ₹800–805 zone is likely to act as immediate support. A decisive breakdown below this level could extend the stock’s decline. On the upside, the ₹890–900 range is expected to act as a key resistance zone.
Osho Krishan, Chief Manager – Technical and Derivative Research at Angel One, said Metro Brands Ltd has remained under sustained selling pressure since its correction in January 2026. Repeated rejections near the 100-day exponential moving average (DEMA) and 200-day simple moving average (DSMA) have reinforced the stock’s bearish trend.
He noted that technical indicators have entered oversold territory, suggesting a possible easing in selling pressure. However, the broader price structure remains weak, with the stock continuing to form lower highs and lower lows. According to Krishan, a sustained breakout above the ₹950–1,000 resistance zone would be crucial to reversing the bearish outlook and reviving buying momentum. On the downside, the ₹805–810 range, near the stock’s 52-week low, remains a key support zone. A decisive breach of this level could trigger further weakness.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
