Leather Stocks In India – Leather Stocks

Leather stocks in India refer to shares of companies involved in the production, manufacturing, and export of leather products, including footwear, accessories, and goods. Prominent companies include Bata India, Mirza International, and Relaxo Footwear. These stocks are influenced by demand, export trends, and raw material prices in the global market.

The table below shows the leather stocks in India based on the highest market capitalisation and 1-year return.

Introduction to Leather Stocks India

Metro Brands Ltd

The Market Cap of Metro Brands Ltd is Rs. 33,899.30 crores. The stock’s monthly return is -6.12%. Its one-year return is 13.55%. The stock is 15.62% away from its 52-week high.

Metro Brands Limited is an India-based retailer specializing in footwear and accessories. The company offers a wide range of branded products for men, women, and children, suitable for both casual and formal occasions. 

It sells its own brands, including Metro, Mochi, Walkway, Da Vinchi, and J. Fontini, along with third-party brands like Crocs, Skechers, Clarks, Fitflop, Proline, and Fila. With around 739 stores across 174 cities in 31 states and union territories, Metro Brands also offers accessories such as belts, bags, socks, and shoe care items.  

Relaxo Footwears Ltd

The Market Cap of Relaxo Footwears Ltd is Rs. 20,849.85 crores. The stock’s monthly return is 2.90%. Its one-year return stands at -6.96%. The stock is currently 14.50% away from its 52-week high.

Relaxo Footwears Limited, an Indian footwear manufacturing company, operates in three primary categories: Relaxo & Bahamas (rubber slippers), Flite, and Sparx (sports shoes, canvas shoes, sandals, and sporty slippers). The company’s portfolio includes a range of well-known brands such as Relaxo, Flite, Sparx, Bahamas, Boston, Mary Jane, and Kid’s Fun. 

Relaxo is a popular brand known for its rubber slippers catering to all customer segments, while Flite offers a selection of semi-formal slippers. Sparx specializes in sports shoes, sandals, and slippers, Bahamas offers flip flops, Boston provides formal footwear for men, Mary Jane offers modern women’s footwear, and Kid’s Fun offers footwear for children.  

Bata India Ltd

The Market Cap of Bata India Ltd is Rs. 18,329.31 crores. The stock’s monthly return is -0.32%. Its one-year return is -14.50%. The stock is 20.91% away from its 52-week high.

Bata India Limited is a footwear retailer and manufacturer based in India. The company focuses on manufacturing and trading footwear and accessories through both retail and wholesale networks. Bata offers a variety of brands, such as Bata, Bata Comfit, Hush Puppies, North Star, Power, Bata Red Label, Scholl, and Weinbrenner. 

Its non-retail division includes multi-brand outlets, key accounts, industrial and institutional businesses, and exports. The company provides products for men, women, and children, including shoes, bags, apparel, and accessories, catering to both retail and institutional customers.

Liberty Shoes Ltd

The Market Cap of Liberty Shoes Ltd is Rs. 832.23 crores. The stock’s monthly return is -2.35%. Its one-year return is 95.67%. The stock is 13.64% away from its 52-week high.

Liberty Shoes Limited, an India-based company, is engaged in the manufacturing and trading of footwear, accessories, and lifestyle products through its retail, e-commerce, and wholesale networks. Its brands include AHA, Coolers, Footfun, Force10, Fortune, Gliders, Healers, Leap7x, Prefect, and Senorita. 

The company offers a variety of accessories such as shoe-care items, backpacks, and ladies’ handbags, alongside stylish and quality shoe-care products. Liberty markets its products across India through 4,000 retail partners and exports to over 25 countries. Its manufacturing plants are located in Haryana, Uttarakhand, and Himachal Pradesh.

Khadim India Ltd

The Market Cap of Khadim India Ltd is Rs. 672.10 crores. The monthly return is -3.06%. Over the past year, the stock has yielded a return of 37.97%. Additionally, the stock is 20.32% away from its 52-week high.

Khadim India Limited is a company headquartered in India that specializes in branded footwear. The company’s primary focus is on footwear and accessories. It conducts its operations through two distinct business divisions: retail and distribution. Each division targets specific customer segments and utilizes different sales channels and product offerings.

Sreeleathers Ltd

The Market Cap of Sreeleathers Ltd is Rs. 667.56 crores. The monthly return for the stock is -2.57%. Its one-year return stands at 22.81%. The stock is 50.43% away from its 52-week high.

Sreeleathers Limited, an India-based company, operates in the footwear and leather accessories business. The company functions as both a retailer and wholesaler, offering a wide range of products including shoes, sandals, chappals, nagra, belts, wallets, bags, special boxes, socks, and masks. 

Catering to men’s, women’s, and kids’ segments, the company provides formal, casual, and canvas shoes. Sreeleathers has three operational units—two in Kolkata’s New Market area and one in Panchavati, Jaipur. It operates over 40 stores across India.

Mirza International Ltd

The Market Cap of Mirza International Ltd is Rs. 611.82 crores. The stock’s monthly return is 1.12%. Its one-year return is 0.27%. The stock is 43.66% away from its 52-week high.

Mirza International Limited is an India-based company specializing in the manufacturing, marketing, and export of leather footwear. The company operates through two main segments: the Export Division and the Domestic Division, both focused on producing finished footwear, leather, and related items. 

Its Private Label/White Label business handles the design, development, manufacturing, and sale of leather footwear to various private labels across the UK, US, Europe, and beyond. The Branded Business/Redtape Business focuses on designing, marketing, and retailing leather shoes, sports shoes, garments, and accessories under the REDTAPE brand and others.  

Super House Ltd

The Market Cap of Super House Ltd is Rs. 251.90 crores. The stock’s monthly return is 0.09%. Its one-year return is 5.83%. The stock is 20.36% away from its 52-week high.

Superhouse Limited is an India-based company involved in the manufacturing and export of leather, leather goods, and textile products. Its business offerings include footwear for men, women, and children, safety footwear, leather accessories, safety wear, and equestrian products. 

The company operates around 22 manufacturing units across various Indian cities, with subsidiaries in the US, UK, Germany, France, Spain, and the UAE. Its product range includes men’s, women’s, and children’s footwear, rubber vulcanized boots, industrial workwear, safety helmets, fall protection equipment, bags, belts, wallets, saddle pads, protective jackets, and textile garments. 

Phoenix International Ltd

The Market Cap of Phoenix International Ltd is Rs. 128.41 crores. The stock’s monthly return is 46.66%. Its one-year return is 174.10%. The stock is 5.78% away from its 52-week high.

Phoenix International Limited is an India-based company involved in the leasing of buildings and the manufacturing and supply of shoe uppers in Chennai, India. The company operates through two key segments: Shoe Uppers Manufacturing and Rental Services for Immovable Properties. Its subsidiaries include Phoenix Industries Limited and Phoenix Cement Limited. The company operates a shoe uppers manufacturing facility located in Chennai, India.

What Are Leather Stocks In India?

Leather stocks in India refer to shares of companies involved in the production, processing, and distribution of leather goods and raw materials. The sector encompasses various types of businesses, including tanneries, manufacturers of leather products, and retailers. Investing in leather stocks can provide exposure to the thriving leather industry within India, which has a significant global presence. 

The country’s rich tradition in leather craftsmanship, combined with increasing demand for leather products both domestically and internationally, makes these stocks an attractive option for investors seeking growth opportunities.

Features Of Best Leather Stocks in India

The key features of the best leather stocks in India highlight their strong market presence, global reach, and focus on quality. These companies are leaders in the leather industry, with well-established reputations for manufacturing and exporting premium products.

1. Global Export Focus: Many top leather stocks in India cater to international markets, with a strong focus on exports to Europe, the US, and other regions, driving revenue growth and expanding their global footprint.
2. Diverse Product Range: Leading leather companies offer a broad range of products, including footwear, leather accessories, garments, and safety gear, providing diversified revenue streams and reducing dependence on a single product category.
3. Established Brands: Top leather stocks are often associated with well-known brands, both domestically and internationally. This brand strength enhances customer loyalty, contributing to sustained demand and market stability.
4. Manufacturing Excellence: Companies with advanced manufacturing facilities, often equipped with modern technology, ensure high-quality production standards, leading to efficient operations and competitive advantage in the leather industry.
5. Government Support: The Indian leather sector benefits from government initiatives, including export incentives and skill development programs, which help companies in this industry stay competitive and grow both domestically and globally.

Top Leather Stocks India Based on 6 Month Return

The table below shows the top leather stocks in India based on 6-month returns.

Best Leather Stocks India Based on 5 Year Net Profit Margin

The table below shows the best leather stocks in India based on 5-year net profit margin.

Leather Industry Stocks In India Based on 1M Return

The table below shows the leather industry stocks in India based on a 1-month return.

High Dividend Yield Leather Sector Stocks List

The table below shows the high dividend yield leather sector stocks list.

Historical Performance of Leather Company In India

The table below shows the historical performance of leather companies in India based on 5-year CAGR.

Factors To Consider When Investing In Leather Industry Stocks in India

The factor to consider when investing in leather industry stocks in India is the global demand for leather products. Companies in this sector are influenced by international markets, economic trends, and evolving consumer preferences, making market research crucial.

1. Export Dependency: Many leather companies rely heavily on exports for revenue. Investors should assess global economic conditions, trade policies, and demand from key markets like Europe and the US, which can affect profitability.
2. Raw Material Costs: Leather manufacturing is dependent on raw material availability and prices, especially hides and skins. Fluctuations in raw material costs can significantly impact profit margins for companies in this sector.
3. Environmental Regulations: Stricter environmental regulations, both in India and globally, could lead to higher compliance costs for leather companies. Investors should evaluate how well companies manage environmental standards and their sustainability practices.
4. Technological Innovation: Companies investing in modern manufacturing technologies and processes, such as eco-friendly leather tanning and advanced automation, can gain a competitive edge. Investors should consider the innovation potential of a company.
5. Consumer Trends: Changing consumer preferences, including the growing demand for vegan or synthetic alternatives to leather, can influence the growth prospects of traditional leather companies. Monitoring these trends is crucial for long-term investment.

How To Invest In Top Leather Stocks In India NSE?

Investing in leading leather stocks in India, particularly those listed on the NSE, can be a strategic opportunity for wealth growth. Start by researching top companies in the leather industry, and analyzing their financial health, market trends, and growth potential. Utilize investment platforms like Alice Blue to facilitate your trading experience and access valuable insights.  

Impact of Government Policies on Best Leather Stocks In India NSE

Government policies have a significant impact on the performance of the best leather stocks in India listed on the NSE. Export incentives, such as duty drawbacks and favorable trade agreements, boost the global competitiveness of Indian leather companies, leading to increased revenue from international markets.

On the other hand, stricter environmental regulations, particularly concerning pollution control and waste management, can raise operational costs for leather manufacturers. Companies that fail to comply may face penalties, which could negatively affect their profitability.

Additionally, government initiatives aimed at boosting manufacturing, such as “Make in India,” provide support to the leather sector through infrastructure development, skill enhancement, and investment opportunities, enhancing long-term growth prospects for top leather companies.

How Leather Sector Stocks Perform in Economic Downturns?

Typically, leather goods are considered luxury items, which can lead to decreased demand when consumers tighten their budgets. Nevertheless, some leather companies may adapt by offering more affordable options or diversifying their product lines.  

In contrast, during economic slumps, essential leather goods, such as footwear and accessories, often maintain steady demand. Investors should closely monitor market trends and consumer behavior to gauge how different segments of the leather sector navigate economic challenges.

Advantages Of Investing In Leather Stock?

The primary advantage of investing in leather stocks is their exposure to both domestic and international markets, offering growth potential due to the global demand for leather products such as footwear, accessories, and garments.

1. Strong Export Market: Many Indian leather companies have a strong export focus, tapping into international markets like Europe and the US, which helps generate significant foreign revenue and adds to their growth potential.
2. Diverse Product Portfolio: Leather stocks often represent companies that offer a wide range of products, from footwear and bags to accessories and garments. This diversification reduces risks associated with dependence on a single product line.
3. Government Support: The leather industry benefits from favorable government policies, such as export incentives and infrastructure development initiatives, enhancing the sector’s competitiveness and providing growth opportunities for leather stocks.
4. Brand Recognition: Leading leather companies often possess strong brand recognition, both domestically and internationally. This brand strength can contribute to long-term customer loyalty, stable demand, and sustained business performance.
5. Growing Domestic Demand: With rising disposable incomes and changing lifestyle preferences in India, domestic demand for high-quality leather products is increasing, offering additional growth opportunities for companies in the leather sector.

Risks Of Investing In Leather Stock?

The main risk of investing in leather stocks is their vulnerability to fluctuating global demand and raw material costs. Changes in international trade policies, consumer preferences, or environmental regulations can significantly impact the leather industry’s profitability.

1. Volatile Raw Material Prices: Leather production relies heavily on hides and skins, and fluctuations in raw material prices can squeeze profit margins. Rising costs or supply disruptions could affect production and profitability.
2. Environmental Compliance Costs: Stricter environmental regulations, particularly around pollution and waste management, can increase operational costs for leather companies. Non-compliance may result in fines or factory shutdowns, posing financial risks.
3. Changing Consumer Preferences: The growing popularity of synthetic and vegan leather alternatives can reduce demand for traditional leather products. Companies that fail to adapt to these shifts risk losing market share.
4. Currency Fluctuations: As many leather companies depend on exports, fluctuations in currency exchange rates can impact revenue and profitability. A strong rupee, for instance, can make exports less competitive globally.
5. Economic Downturns: Global or domestic economic slowdowns can reduce consumer spending on luxury or non-essential leather goods, negatively impacting sales and the overall performance of leather stocks.

Leather Sector Stocks GDP Contribution

The leather sector in India plays a significant role in contributing to the country’s GDP, particularly through exports. As one of the world’s largest producers and exporters of leather goods, the sector supports economic growth by generating foreign exchange and creating employment across manufacturing, retail, and related industries.

Additionally, the leather industry supports several ancillary sectors, including chemicals, machinery, and textiles, further enhancing its economic impact. Government initiatives aimed at promoting manufacturing and exports, such as “Make in India,” boost the sector’s contribution to the overall GDP, making it a vital part of India’s industrial landscape.

Who Should Invest in Leather Stocks In NSE?

Investing in leather stocks on the NSE is ideal for those looking to benefit from India’s strong position in the global leather market. These stocks offer exposure to both domestic and international markets and can be attractive for long-term investors.

1. Long-Term Investors: Individuals seeking long-term growth can benefit from leather stocks, as these companies often have strong export markets and established brands, providing steady returns over time.
2. Export-Oriented Investors: Investors focused on sectors with significant export potential can consider leather stocks, as a large portion of Indian leather products are sold in international markets, generating foreign exchange revenue.
3. Dividend Seekers: Many established leather companies offer consistent dividends, making them suitable for investors looking for regular income in addition to potential capital appreciation.
4. Value Investors: Those looking for undervalued stocks with growth potential may find opportunities in the leather sector, especially as companies innovate with new products and expand into emerging markets. 

Top Leather Companies in India FAQs

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Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change concerning time.