Vishal Mega Mart's stock slips ahead of quarterly results
Vishal Mega Mart's stock slipped 2.16% to ₹141.43 in Friday's session, just before its board meets to review quarterly results.
This drop comes as a surprise since the company posted impressive numbers for FY25—revenue jumped 20% to ₹10,716 crore and net profit climbed nearly 37% to ₹632 crore.
P/E ratio nearly 100
Even with zero debt and solid growth, Vishal's shares seem pricey, trading at a P/E ratio nearly 100.
For younger investors or anyone watching the market, it's a reminder that strong earnings don't always guarantee happy shareholders—especially when there haven't been any dividends for three years.
Good news isn't enough to move the needle
The lack of dividends and high valuation might be making investors cautious, despite healthy fundamentals like a 49% jump in standalone net profit and steady operating margins.
Sometimes good news isn't quite enough to move the needle on Wall Street—or Dalal Street!