Raymond hits new high

Raymond group stocks were among the key gainers on the BSE today, with Raymond Ltd rising 9.60% to Rs. 847.00 and touching a fresh 52-week high of Rs. 852.00 against its previous close of Rs. 772.80. Raymond Lifestyle also gained 7.36% to Rs. 721.50, against its previous close of Rs. 672.05. Raymond’s market-cap stood at around Rs. 5,638.80 crore, while Raymond Lifestyle’s market-cap was around Rs. 4,395.64 crore.

Trigger

• Raymond board meeting scheduled today to consider fundraising plans.
• Fundraising may be through equity or convertible securities.
• Post-demerger re-rating continues, with Raymond Ltd being viewed more as a focused engineering and precision-manufacturing play.
• Investor interest is building around aerospace, defence and auto-component exposure.
• Q1 FY27 performance also supported sentiment, with total income rising 13% YoY to Rs. 628 crore and EBITDA up 14% to Rs. 100 crore.
• Group sentiment also lifted Raymond Lifestyle, though the immediate fundraising trigger is more relevant to Raymond Ltd.

The larger market story is the post-demerger re-rating. Raymond Ltd is no longer being looked at merely as the old textile-led parent; investors are now assigning higher value to its engineering, auto-components, aerospace and defence-facing businesses. That is why the stock has moved sharply and is now near a 52-week high.

Raymond Lifestyle’s rally appears more sentiment-led, riding on the broader group move. However, the business is very different - it is the branded apparel, textiles and lifestyle-facing play. Its stock is still far below its 52-week high of Rs. 1,349, which suggests that the market is selectively re-rating Raymond Ltd more aggressively than the lifestyle arm.

Raymond Ltd is trading at a consolidated PE of around 88 times, while Raymond Lifestyle is even richer at around 101 times consolidated PE and over 237 times standalone PE.