Bata hits 52-wk high as management charms foreign investors

Shoemaker Bata India on Tuesday scaled a new peak as analysts see the improvement in growth visibility on the back of a few major initiatives being taken by the company’s management.

The stock rose 5% to Rs 555, before hitting a 52-week high of Rs 569.5 intra-day in a flat market on the day. The counter attracted significantly higher volumes of 9.4 lakh shares, compared with the twoweek average of one lakh on the BSE.

Broking firm Microsec’s Navin Vyas attributes the sharp gain to the management’s initiatives including brand repositioning with operational efficiency, stylish layout and the launch of trendy shoe designs. The company is also in the process of expanding its outlet network to enhance its reach to retail customers. All these factors have helped to attract foreign institutional investors to the counter, said Vyas.