Shares of Liberty Shoes hit a fresh four-year high at Rs 270.40, as the stock surged 8 per cent on the BSE in Wednesday’s intra-day trade, in an otherwise weak market. The stock has now zoomed 25 per cent in the last two trading sessions and quoted at its highest level since January 2018. It had hit a record high of Rs 351 on July 22, 2014.
At 09:38 AM, the stock traded 7 per cent higher at Rs 267.30, as compared to 0.65 per cent decline in the S&P BSE Sensex. The average trading volumes at the counter jumped 1.5 times today with 1.78 million equity shares changing hands on the NSE and BSE.
Thus far in the month of September, the stock has outperformed the market by surging 60 per cent, as compared to 4.5 per cent decline in the S&P BSE Sensex. Further, in the past three months, it has zoomed nearly 90 per cent, as against 6 per cent rise in the benchmark index.
“The significant increase in the volume of our security is completely related to market oriented and driven due to the reasons not under the control of the company,” Liberty Shoes had said on September 21, in respect of increase in volume.
Liberty Shoes is currently having capacity of manufacturing over 50,000 pairs a day. It caters to all sections of the society and makes ten different brands to market in the domestic and international markets. Leap 7X, Healers, Lucy & Luke and Aha are the company owned brands that have done well in the market and their share in the overall sales of the company is rising.
Liberty Shoes said the company is confident of achieving Pre- Covid numbers in terms of revenue & profitability and PAT & EPS are expected to be even better than Pre Covid figures.
Already the first quarter figures of current financial year have shown improved performance at all front including profits and there is a confidence of sustaining this trajectory. The company is all set to grow and register show a very robust and profitable future, it said.
Meanwhile, the footwear sector is undergoing a transformative phase wherein addition to design and comfort features on aspects related to functionality are also gaining prominence in the mind of the consumer. The World Footwear market size is currently around $ 224.6 billion and is expected to grow at a handsome rate of 4 per cent. India is the 2nd largest footwear manufacturer in the world behind China.
Rising discretionary income, improvement in living standards, increased brand consciousness; growing work force has resulted in shift from the unorganized sector to the organized sector market in India. The demand for high fashion products is pushing revenues, higher trade volumes and increased employment avenues.