Raymond Shares Fall 3% After 52-Week High, Defence Order And ₹645 Warrant Issue In Focus
Add Preferred News Source
Raymond shares slipped after touching a 52-week high, with the stock falling as much as 3.4% during Wednesday’s session. The focus now shifts to its aerospace and defence order, proposed ₹214.71 crore fundraise and October 3 EGM.
Raymond shares fell more than 3% on Wednesday after hitting a fresh 52-week high in the previous session, reversing some of the gains from its sharp recent rally. The stock's movement comes as the market tracks its growing aerospace and defence business and a proposed preferential issue of convertible warrants.
Raymond shares fell as much as 3.4% to ₹1,075.10 on the BSE during Wednesday's session and remained down more than 3% at 1:23 pm IST. By 1:24 pm, the stock had recovered to ₹1,110.85 on the NSE, down ₹6.10 or 0.55% from the previous close.
The stock had touched a 52-week high of ₹1,195.30 on September 22. Raymond shares have risen 10% in one week, 70% in one month, 84% in three months and 214% in the last six months. Over the past one year, the stock has gained 74%, highlighting the sharp rally ahead of Wednesday's decline.
Why Are Raymond Shares Falling Today?
The decline comes after the stock's strong run, while developments in Raymond's aerospace and defence business have continued to keep the company in focus.
Raymond's Aerospace & Defence business recently secured a ₹33 crore multi-programme order from an Indian aerospace and defence major. The order covers more than 300 parts across precision machining, aerospace castings, structural components and complex assemblies, with production expected to begin progressively during 2026 and 2027.
The business has also recorded strong growth in the June quarter. Aerospace & Defence revenue rose 40.4% year on year to ₹123 crore from ₹87 crore, while EBITDA increased 25.4% to ₹26 crore from ₹21 crore.
The aerospace business has therefore become an important contributor to Raymond's recent operating performance, alongside its Precision Technology & Auto Components operations.
Raymond ₹645 Warrant Issue, October 3 EGM
Raymond is also seeking shareholder approval for a preferential issue of 33.28 lakh convertible warrants to Minerva Ventures Fund at ₹645 per warrant. The proposed issue would raise around ₹214.71 crore if fully subscribed.
The proposal will be considered at an Extraordinary General Meeting scheduled for October 3. Each warrant can be converted into one equity share, subject to the terms of the issue and applicable approvals.
Raymond's June quarter results also showed improvement in its financial performance. Total income rose 13% year on year to ₹628 crore from ₹555 crore, while EBITDA stood at ₹77.3 crore compared with ₹75.5 crore in the previous quarter.
Net profit came in at ₹21 crore, compared with ₹1.13 crore in the preceding quarter. The Aerospace & Defence and Precision Technology & Auto Components businesses contributed to the company's operating performance during the quarter.
With Raymond shares having recorded gains across one week, one month, three months, six months and one year, the market is now tracking the company's aerospace order pipeline, proposed warrant issue and operating performance following the latest correction.
Also Read - Ola Electric Shares Rise Over 10% After Sharp Recovery From March Low
This article is for informational purposes only and should not be considered investment advice from Kotak Neo. For compliance T&C and disclaimers, Visit www.kotakneo.com/disclaimer
Rochelle Britto has spent 8+ years decoding India's markets, businesses, and consumer economy, reporting for ET Prime and Times Internet along the way, covering the stories behind the numbers.
A Mumbai native and perpetual planner of the next holiday, she stays far, far away from the eternal question, “Where are we going next?” When she's not chasing headlines, she's chasing new cultures, open roads, and a bit of quiet in nature.
Right Tools, Rich Insights
