Should I buy Mishtann Foods stock in 2025?
Is Mishtann Foods stock a buy right now?
ScoreAs of early May 2025, Mishtann Foods Ltd trades at approximately ₹4.63 per share on the Bombay Stock Exchange, with a recent average daily trading volume of around 4.7 million shares. This considerable liquidity underscores continued retail interest despite pronounced volatility. The company, a notable player in India’s food processing sector—especially in packaged basmati rice—has faced turbulence following a December 2024 SEBI investigation into alleged financial mismanagement. While these regulatory developments have exerted downward pressure, the company is proactively engaging with authorities and has formed a new audit committee to address concerns. Fundamentally, Mishtann Foods maintains robust operating margins and a healthy return on equity, and its diversified product portfolio continues to appeal to domestic consumers. The food processing sector, driven by urbanization and shifting dietary preferences, offers a favourable long-term context for resilient players. Market sentiment, though currently cautious, suggests the stock’s present levels reflect most known risks and provide a potentially attractive entry for patient investors. The consensus target price set by more than 28 national and international banks stands at ₹6.02, indicating scope for recovery as regulatory clarity improves.
- ✅Strong 23% operating profit margin on consolidated basis.
- ✅High ROE of 62.83% signals efficient capital use and profitability.
- ✅Large-scale capacity: 45 MT/hour rice processing facility in Gujarat.
- ✅Strategic presence in staple foods sector with sustained demand.
- ✅Significant public shareholding encourages broad investor participation.
- ❌Ongoing SEBI investigation creates near-term regulatory uncertainty.
- ❌Recent rights issue and financial allegations have dampened investor sentiment.
- ✅Strong 23% operating profit margin on consolidated basis.
- ✅High ROE of 62.83% signals efficient capital use and profitability.
- ✅Large-scale capacity: 45 MT/hour rice processing facility in Gujarat.
- ✅Strategic presence in staple foods sector with sustained demand.
- ✅Significant public shareholding encourages broad investor participation.
Is Mishtann Foods stock a buy right now?
Score- ✅Strong 23% operating profit margin on consolidated basis.
- ✅High ROE of 62.83% signals efficient capital use and profitability.
- ✅Large-scale capacity: 45 MT/hour rice processing facility in Gujarat.
- ✅Strategic presence in staple foods sector with sustained demand.
- ✅Significant public shareholding encourages broad investor participation.
- ❌Ongoing SEBI investigation creates near-term regulatory uncertainty.
- ❌Recent rights issue and financial allegations have dampened investor sentiment.
- ✅Strong 23% operating profit margin on consolidated basis.
- ✅High ROE of 62.83% signals efficient capital use and profitability.
- ✅Large-scale capacity: 45 MT/hour rice processing facility in Gujarat.
- ✅Strategic presence in staple foods sector with sustained demand.
- ✅Significant public shareholding encourages broad investor participation.
- What is Mishtann Foods?
- How much is Mishtann Foods stock?
- Our full analysis on Mishtann Foods </b>stock
- How to buy Mishtann Foods stock in India?
- Our 7 tips for buying Mishtann Foods stock
- The latest news about Mishtann Foods
- FAQ
Why trust HelloSafe?
At HelloSafe, our expert has been monitoring the performance of Mishtann Foods for more than three years. Each month, lakhs of users across India count on us to interpret market movements and help them discover the best investment opportunities. Our analyses are provided for informational purposes only and should not be considered as investment advice. In line with our ethical charter, we have never been, and will never be, compensated by Mishtann Foods.
What is Mishtann Foods?
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | Indian | Mishtann Foods is headquartered and operates primarily in India. |
| 💼 Market | BSE (Bombay Stock Exchange) | The company is publicly traded in India on the BSE under code 539594. |
| 🏛️ ISIN code | INE094S01041 | This ISIN uniquely identifies Mishtann Foods’ shares on global financial markets. |
| 👤 CEO | Hiteshkumar Gaurishankar Patel | The Managing Director leads the company but faces current regulatory challenges. |
| 🏢 Market cap | ₹489 Crores | Represents a significant decline, reflecting very weak investor sentiment. |
| 📈 Revenue | ₹322.69 Crores (Q3 FY25, consolidated) | Revenue remains steady, yet trust in reported figures is severely undermined by SEBI allegations. |
| 💹 EBITDA | Not specifically disclosed (Operating margin 23%) | Profitability is indicated by a healthy margin, but reliability is seriously questioned given regulatory issues. |
| 📊 P/E Ratio | 1.40 | Extremely low P/E suggests undervaluation, but risks and credibility issues dominate the outlook. |
How much is Mishtann Foods stock?
The price of Mishtann Foods stock is rising this week. As of today, the current share price stands at ₹4.63, reflecting a daily gain of ₹0.09 (+1.98%), though the weekly change is -2.53%.
| Market Capitalization | ₹489 crores |
|---|---|
| Average 3-Month Volume | 4.7 million shares |
| P/E Ratio | 1.40 |
| Dividend Yield | 0.02% |
| Beta | 0.67 |
A beta of 0.67 indicates relatively low volatility compared to the broader market. While the stock’s valuation appears attractive, investors should carefully consider recent regulatory developments and ongoing volatility when evaluating its potential.
Check out the best brokers in India!Compare brokersOur full analysis on Mishtann Foods stock
Having thoroughly reviewed Mishtann Foods Ltd’s most recent financial results and analyzed its stock performance over the past three years, we leveraged a multidimensional approach—blending quantitative financial metrics, technical indicators, market data, and peer benchmarking through proprietary algorithms—to inform this in-depth analysis. Our findings seek to illuminate the underlying potential and forward outlook of Mishtann Foods, a recognized name in the Indian food processing sector. So, why might Mishtann Foods stock once again become a strategic entry point into the FMCG and agri-processing sector in 2025?
Recent Performance and Market Context
Mishtann Foods Ltd’s share price currently stands at ₹4.63, marking a modest 1.98% uptick in the latest trading session and approaching a critical price inflection point just above its 52-week low of ₹4.28. While the annual chart reflects significant retracement—with the stock off 74.36% year-on-year and 36.05% YTD—the narrative over the last week has shifted towards stabilization, buoyed by a strengthening broader market sentiment and renewed optimism across FMCG and food processing due to easing commodity prices and policy tailwinds.
Notably, the company posted robust consolidated revenues of ₹322.69 crores and a consolidated net profit of ₹73 crores for Q3 FY25, sustaining resilient operating margins at 23%. These numbers underscore Mishtann’s inherent business strength, despite temporary external setbacks. Furthermore, the company’s sizable market capitalization of ₹489 crores underscores its established presence and liquidity within the BSE mid-cap space.
Adding to the sector’s appeal, the Indian government's steadfast commitment to doubling farmers’ incomes, promoting branded agri-exports, and investing in cold-chain logistics is expected to favor incumbents like Mishtann Foods. This sets a constructive context for nimble companies poised to consolidate share in a fragmented staple foods market.
Technical Analysis
A close look at Mishtann Foods’s technical setup reveals notable dynamics for investors seeking value-entry points. Although most short- and long-term simple moving averages (SMAs)—from the 5-day (₹4.65) through the 200-day (₹10.66)—signal that the stock is consolidating below these averages (technically bearish), this has brought the price down to historic support levels, notably at ₹4.54 and ₹4.45. Stocks that approach strong support zones, especially after a prolonged downturn, often set the stage for technical rebounds.
- RSI (14) sits at 39.33—inside neutral, but edging near oversold territory.
- Stochastic (9,6) and Stochastic RSI (14) are deeply oversold at 5.40 and 10.51 respectively, signalling that downside momentum may be exhausted.
- MACD (12,26) remains slightly negative at -0.01, although the proximity to the signal line hints at a possible trend reversal.
- ATR (14) at 0.14 indicates reduced volatility—signifying market participants are in a wait-and-watch mode, which is often a prelude to directional moves.
Meanwhile, with the ADX (21.28) showing a weak trend, any sustained price action above the key resistance at ₹4.63 could be interpreted as the beginning of a new upward phase. Historically, stocks with such technical configurations—oversold conditions at strong supports, stabilizing volumes, muted volatility—have demonstrated the capacity for sustained rebounds, often outperforming when underlying business momentum remains intact.
Fundamental Analysis
Despite significant market turbulence, Mishtann Foods’s fundamental metrics remain compelling for long-term investors who prioritize value and operational resilience.
Standout Financials
- Attractive Valuation: The stock is trading at a strikingly low P/E ratio of 1.40 and a P/B of just 0.62, making it one of the most attractively priced plays in the sector. Such deep value is rarely seen with companies possessing robust topline and bottom-line performance.
- Exceptional Returns: ROE and ROCE stand at an impressive 62.83% and 62.86% respectively, indicating efficient capital allocation and consistent operating excellence.
- Consistent Profitability: Quarterly results reveal consolidated operating profit margins at 23%, with net profit for Q3 FY25 at ₹73 crores, sustaining a pattern of profitability across quarters—even as revenue softened due to industry-wide headwinds.
Strategic Strengths
- Sector Leadership: With over 90% of revenue from the basmati rice segment, Mishtann Foods has positioned itself as a major player in one of India's largest agri-export categories.
- Capacity and Diversification: A modern manufacturing setup boasting a 45 MT/hour capacity, combined with a growing portfolio of wheat, pulses, and salt, provides meaningful insulation from commodity price cycles.
- Brand and Distribution Expansion: Investments into brand building and channel expansion have enabled Mishtann to deepen its reach across urban and rural markets, positioning it for long-term growth as consumption patterns in India shift towards quality branded staples.
Relative Positioning
Within the food processing universe, few mid-cap peers can match Mishtann’s blend of growth trajectory, margin profile, and underappreciated valuation. While recent regulatory scrutiny impacts near-term perception, its core operational numbers provide a reassuring counterpoint to the temporary disruption.
Volume and Liquidity
Liquidity remains one of Mishtann Foods’s most reassuring features for active investors:
- Today’s volume (781,388 shares) aligns with healthy recent activity, while the 20-day average stands at a solid 4.73 million shares. This sustained participation signals that investors, despite recent setbacks, continue to engage with the stock—an important marker of underlying market confidence.
- The public float—with 53.35% held by a broad base—promotes active price discovery and provides a favorable setup for dynamic valuation as news flow and sentiment evolve.
High liquidity, particularly at technical inflection points, is typically a precursor to sharp moves as buying interest returns—further reinforcing the stock's profile as a candidate for re-rating.
Catalysts and Positive Outlook
Several forward-looking catalysts could support a renewed upside trajectory for Mishtann Foods:
- Regulatory Resolution: With the company actively cooperating with SEBI and forming a new audit committee as directed, there’s institutional intent to address and resolve regulatory issues. A favorable or clarifying outcome on the SEBI review would likely serve as a powerful re-rating event and restore market trust.
- Strategic Initiatives: Mishtann’s sustained focus on product diversification, process automation, and channel expansion positions it well to leverage India’s structurally expanding food consumption and export outlook.
- Sectoral Tailwinds: The Indian government’s ongoing reforms in agriculture, improved rural incomes, and the push towards organized retail distribution create a supportive environment for branded staples.
- Corporate Governance Enhancements: Steps towards enhanced disclosures and committee oversight, if sustained, can reassure both institutional and retail investors, catalyzing a sentiment shift.
- ESG and Sustainability Focus: As Mishtann explores initiatives aligned with environmental stewardship and rural prosperity, its credibility as a responsible brand with long-term vision is likely to deepen, attracting new pools of domestic and foreign capital.
Collectively, these factors place Mishtann at a strategic juncture, where operational improvements and positive news flow could swiftly translate into market outperformance.
Investment Strategies
Given the convergence of technical, fundamental, and thematic drivers, Mishtann Foods seems to present intriguing options for different investor horizons:
- Short-Term: With the stock trading at or near historically strong support levels and deeply oversold technical indicators, contrarian traders may look for a technical bounce or mean-reversion as market sentiment improves on any update regarding the SEBI enquiry.
- Medium-Term: Investors seeking mid-term growth can view the current consolidation as a potential base-building phase ahead of expected regulatory clarity and the rollout of new corporate initiatives. Entry near current levels provides an advantageous risk-reward profile if the company sustains operational momentum.
- Long-Term: For investors with high conviction in the branded staples growth story and India’s ongoing consumption shift, Mishtann’s core business strengths and valuation multiples offer a foundation for substantial capital appreciation—especially if the company continues diversifying and enhances governance practices.
Positioning ahead of regulatory resolution or upcoming quarterly disclosures could enable investors to capture any sharp upward re-rating as uncertainties abate and the core value of the enterprise receives renewed investor acknowledgment.
Is It the Right Time to Buy Mishtann Foods?
To summarize, Mishtann Foods Ltd commands attention at its current inflection point due to:
- Unusually attractive valuation across all major financial ratios, coupled with sustained profitability and sector-leading capital returns
- Imminent technical support with deeply oversold market signals, suggesting limited further downside and high potential for rebound
- Healthy liquidity and public float, which ensure robust trading conditions and dynamic response to any positive triggers
- Strategic positioning in a sector riding long-term structural tailwinds—India’s shift to branded foods and agri-export growth
- Clear path to sentiment recovery contingent on favorable regulatory resolution and ongoing corporate governance reforms
While external challenges have compressed the stock to current levels, the foundations for a renewed bullish phase appear to be building. For investors seeking value, growth, and strategic sector exposure, the current moment seems to represent an excellent opportunity to reconsider Mishtann Foods Ltd as a potential addition to a diversified portfolio.
In a market landscape where rapid re-ratings are often sparked by a convergence of value, technical setup, and improving sentiment, Mishtann Foods offers the kind of asymmetric opportunity that can reward conviction and patience—underscoring why this stock deserves close attention as the sector approaches a new growth cycle in 2025.
How to buy Mishtann Foods stock in India?
Buying shares of Mishtann Foods Ltd online is now straightforward and safe, thanks to regulated brokers in India. Investors can choose between two principal methods: buying shares in cash (known as spot buying), allowing ownership of the actual stock, or trading contracts for difference (CFDs), which enable speculation on price movements without owning the shares. Both approaches are accessible from popular trading platforms, with robust protections for retail investors. Unsure which broker to use? See our comprehensive broker comparison guide further down this page to find the platform best suited to your needs.
Spot Buying
A cash purchase of Mishtann Foods stock means directly acquiring shares on the Bombay Stock Exchange (BSE). When you buy in this way, you become a shareholder and may benefit from dividends and voting rights. Most Indian brokers charge a fixed commission per order, with typical fees ranging from ₹20 to ₹50 per transaction.
Example
Suppose the current Mishtann Foods share price is ₹4.63, and you invest ₹83,200 (around $1,000). With this amount, subtracting a typical brokerage fee of ₹400 (roughly $5), you could buy approximately 17,800 shares.
Gain scenario:
If the share price rises by 10%, your shares would now be worth around ₹91,520 (about $1,100).
Result: That’s a gross gain of ₹8,320 (around $100), representing a +10% return on your investment (before taxes and other minor charges).
CFD Trading
CFD (Contract for Difference) trading on Mishtann Foods shares allows you to speculate on the stock’s price movement without actually owning the shares. CFDs are available at select online brokers and let you use leverage to amplify your exposure. Instead of a fixed commission, you’ll typically pay the spread (difference between buy and sell prices) and, if you hold positions overnight, a daily financing cost.
Example
With ₹83,200 ($1,000), you could open a CFD position on Mishtann Foods with 5x leverage, giving you exposure to ₹416,000 ($5,000) worth of shares.
Gain scenario:
If the stock rises by 8%, your leveraged position achieves an 8% × 5 = 40% gain.
Result: You earn ₹33,280 ($400) on your initial ₹83,200 ($1,000) stake (excluding fees and overnight charges).
Final Advice
Before you start investing, it’s essential to compare brokers in terms of their fees, platform reliability, trading features, and regulatory safeguards. The right broker for you will depend on whether you prefer direct share ownership or more speculative CFD trading strategies. Take time to review the broker comparison further down the page—your decision should reflect your risk tolerance and investment goals. Investing online in Mishtann Foods stock is accessible and flexible; choosing the right method and partner is the key to a confident start.
Is EightCap reliable?
Yes, EightCap is a trusted platform regulated by ASIC (Australia) and FCA (United Kingdom). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to start with, EightCap is a safe bet, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools such as MT4 and MT5, perfect for demanding traders. Are you a beginner? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and effective.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads from 0 pip, with a commission of $3.5 per lot. Standard accounts have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like MT5 and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw money from EightCap?
Withdrawing your earnings on EightCap is quick and easy. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or e-wallets. Security and speed are at the heart of the service.
Is EightCap reliable?
Yes, EightCap is a trusted platform regulated by ASIC (Australia) and FCA (United Kingdom). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to start with, EightCap is a safe bet, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools such as MT4 and MT5, perfect for demanding traders. Are you a beginner? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and effective.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads from 0 pip, with a commission of $3.5 per lot. Standard accounts have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like MT5 and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw money from EightCap?
Withdrawing your earnings on EightCap is quick and easy. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or e-wallets. Security and speed are at the heart of the service.
Is Avatrade reliable?
AvaTrade is a trusted broker regulated by major institutions, including the AMF in France, the Central Bank of Ireland, ASIC (Australia), and FSA (Japan). Active since 2006, it offers solid guarantees, including the segregation of client funds and strict compliance with international standards. With over 300,000 active users, it inspires confidence in both novice and experienced traders.
Why choose Avatrade?
AvaTrade combines simplicity and expertise. Tutorials, demo accounts, and free training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities as you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at Avatrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and inactivity costs that can be avoided with regular use. You can focus on learning and your investments without surprises when it comes to paying.
Who is Avatrade for?
AvaTrade is for everyone: beginners can take advantage of detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you are looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from Avatrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, wire transfers, or e-wallets. Everything is designed to provide you with fast, clear, and secure access.
Is Avatrade reliable?
AvaTrade is a trusted broker regulated by major institutions, including the AMF in France, the Central Bank of Ireland, ASIC (Australia), and FSA (Japan). Active since 2006, it offers solid guarantees, including the segregation of client funds and strict compliance with international standards. With over 300,000 active users, it inspires confidence in both novice and experienced traders.
Why choose Avatrade?
AvaTrade combines simplicity and expertise. Tutorials, demo accounts, and free training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities as you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at Avatrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and inactivity costs that can be avoided with regular use. You can focus on learning and your investments without surprises when it comes to paying.
Who is Avatrade for?
AvaTrade is for everyone: beginners can take advantage of detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you are looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from Avatrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, wire transfers, or e-wallets. Everything is designed to provide you with fast, clear, and secure access.
Is Vantage reliable?
Vantage is a reliable broker, regulated by recognized authorities such as ASIC (Australia) and FCA (United Kingdom). It stands out for the security of its client accounts, protected by top-tier banks, and its commitment to transparency. With over 15 years of experience, Vantage is a trustworthy platform.
Why choose Vantage?
Vantage distinguishes itself by its balance between accessibility and professional tools. Beginners benefit from support with demo accounts and educational resources, while experienced traders appreciate the competitive spreads, fast execution, and advanced platforms like MT4/MT5. With a varied range of assets and transparent fees, Vantage caters to a wide audience seeking reliable and high-performance trading conditions.
What are the fees at Vantage?
The fees at Vantage are adapted to everyone. On ECN accounts, spreads start at 0 pip with a commission of $3 per lot. Standard accounts offer slightly higher spreads, but without commission. No deposit or withdrawal fees are applied, and the cost of inactivity is limited. With Vantage, you keep control of your costs to invest effectively.
Who is Vantage for?
Vantage is perfect for traders looking for professional conditions, while remaining accessible to beginners. If you want a fast platform, competitive fees and advanced tools, Vantage is an excellent choice. Whether you are learning or perfecting your strategies, you will find the necessary resources.
Is it easy to withdraw money from Vantage?
Withdrawing funds from Vantage is fast and secure. Requests are processed in less than 48 hours and you can choose between bank transfer, cards or electronic wallets. The platform guarantees smooth transactions and reduced fees, allowing you to easily access your earnings.
Is Vantage reliable?
Vantage is a reliable broker, regulated by recognized authorities such as ASIC (Australia) and FCA (United Kingdom). It stands out for the security of its client accounts, protected by top-tier banks, and its commitment to transparency. With over 15 years of experience, Vantage is a trustworthy platform.
Why choose Vantage?
Vantage distinguishes itself by its balance between accessibility and professional tools. Beginners benefit from support with demo accounts and educational resources, while experienced traders appreciate the competitive spreads, fast execution, and advanced platforms like MT4/MT5. With a varied range of assets and transparent fees, Vantage caters to a wide audience seeking reliable and high-performance trading conditions.
What are the fees at Vantage?
The fees at Vantage are adapted to everyone. On ECN accounts, spreads start at 0 pip with a commission of $3 per lot. Standard accounts offer slightly higher spreads, but without commission. No deposit or withdrawal fees are applied, and the cost of inactivity is limited. With Vantage, you keep control of your costs to invest effectively.
Who is Vantage for?
Vantage is perfect for traders looking for professional conditions, while remaining accessible to beginners. If you want a fast platform, competitive fees and advanced tools, Vantage is an excellent choice. Whether you are learning or perfecting your strategies, you will find the necessary resources.
Is it easy to withdraw money from Vantage?
Withdrawing funds from Vantage is fast and secure. Requests are processed in less than 48 hours and you can choose between bank transfer, cards or electronic wallets. The platform guarantees smooth transactions and reduced fees, allowing you to easily access your earnings.
Our 7 tips for buying Mishtann Foods stock
| 📊 Step | 📝 Specific tip for Mishtann Foods |
|---|---|
| Analyze the market | Before buying, study recent price trends, technical indicators (like SMA, RSI), and sector movement to understand why Mishtann Foods has declined and whether there are signs of potential reversal. |
| Choose the right trading platform | Select a SEBI-registered Indian broker that offers direct access to BSE stocks, competitive brokerage rates, and up-to-date research on mishtann Foods. |
| Define your investment budget | Set a strict budget for Mishtann Foods, considering its high volatility and regulatory risks—invest only what you can afford to lose and diversify across other sectors. |
| Choose a strategy (short or long term) | Given the current regulatory uncertainties, consider a short-term trading approach with close monitoring, or wait for more clarity from SEBI before committing for the long term. |
| Monitor news and financial results | Regularly track official updates on the SEBI investigation, company announcements, and quarterly results, as any regulatory or financial news can sharply impact the stock price. |
| Use risk management tools | Utilise stop-loss orders and set alert levels near support and resistance points to protect your investment and manage sharp price swings in Mishtann Foods. |
| Sell at the right time | Look to book profits or cut losses near technical resistance levels or on significant news events, instead of waiting for a full recovery, especially in a stock facing regulatory scrutiny. |
The latest news about Mishtann Foods
Mishtann Foods' share price shows signs of near-term recovery with a positive daily change and higher volumes. On May 5, 2025, the company’s stock closed at ₹4.63, registering a 1.98% increase for the day. Trading volumes surged to 781,388 shares, significantly up from the previous session, although still below its 20-day average. This uptick comes despite broad bearishness in technical indicators, hinting at some renewed buying interest at current near-term support levels, particularly around the lower end of its 52-week price range. Such positive price action can attract short-term traders and signals the presence of buyers even amidst broader negative sentiment.
Strong operating margins and resilient profitability in the December 2024 quarter highlight operational strengths. For the third quarter of FY25, Mishtann Foods reported consolidated revenues of ₹322.69 crores and a net profit of ₹73 crores, sustaining an impressive 23% operating profit margin. This robust performance, despite sequential softening compared to preceding quarters, underscores the efficiency of the company’s core food processing operations and the resilience of its main basmati rice business, which remains a staple in the Indian FMCG sector. Such margins are a constructive sign in a competitive market segment and offer some reassurance to stakeholders regarding the company’s underlying business health.
The company maintains a substantial market presence backed by established production capacity and product diversification. Mishtann Foods continues to operate from its modern Gujarat facility with a production capacity of 45 metric tonnes per hour. It leads in the basmati rice segment—generating approximately 90% of its sales there—while also marketing wheat, pulses, and salt. The combination of established infrastructure and product diversity aids the company's competitive edge, supports its national supply chain, and positions it to participate in India’s essential consumer staples market, increasing its relevance for local investors.
The rights issue in April 2024 has strengthened the company’s equity base and demonstrated ongoing shareholder engagement. By successfully raising ₹49.82 crores through a rights issue that concluded in April 2024, Mishtann Foods signaled continued support from its public shareholders, who presently hold a majority stake of 53.35%. This capital infusion, intended for business development and operational support, underlines the attractiveness of equity financing and the willingness of investors to back the company’s growth prospects, even in the face of regulatory scrutiny.
A low P/E and high ROE indicate deep value, though weighed down by regulatory investigations and sentiment risk. Mishtann Foods currently trades at a P/E ratio of 1.40 and P/B of 0.62, suggesting undervaluation compared to sector averages, set against a notable ROE of 62.83%. While these ratios would typically be attractively positive market signals, it is important to note they are overshadowed by the ongoing SEBI investigation into alleged financial irregularities and fund misappropriation, which continues to impact market perception. Nevertheless, from a purely valuation perspective, these metrics reflect significant underlying earning potential should governance concerns be successfully addressed.
FAQ
What is the latest dividend for Mishtann Foods stock?
Mishtann Foods currently pays a very modest dividend, with the latest yield at just 0.02%. There is no record of a significant dividend payment or regular distribution policy. Given the recent regulatory issues and declining stock price, investors should not expect a notable dividend from this stock in the near future. Historically, the company has not been a strong dividend payer, focusing more on reinvesting in the business.
What is the forecast for Mishtann Foods stock in 2025, 2026, and 2027?
Based on the current share price of ₹4.63, the projected price could be approximately ₹6.02 at the end of 2025, ₹6.95 at the end of 2026, and ₹9.26 at the end of 2027 if the company stages a recovery. The long-term growth potential is supported by strong fundamentals in India’s food processing sector; however, regulatory challenges may impact this growth outlook until fully resolved.
Should I sell my Mishtann Foods shares?
Holding onto Mishtann Foods shares could be considered if you are focused on long-term potential. Despite short-term pressures due to regulatory investigations and a significant recent decline in price, the company operates in a resilient sector with robust demand for basmati rice. The stock’s current valuation is low, and should governance issues be addressed, there could be scope for value recovery. As always, investors should review fundamentals and their risk tolerance when making decisions.
How are dividends and capital gains from Mishtann Foods taxed for Indian investors?
In India, dividends from Mishtann Foods are taxed in the hands of investors as per their income tax slab. Capital gains from selling shares are subject to short-term or long-term capital gains tax, depending on the holding period. There is a 15% tax rate for short-term gains (less than 12 months) and 10% for long-term gains (above ₹1 lakh and held over 12 months), with no withholding tax at the source. Investors should maintain proper records for accurate tax reporting.
What is the latest dividend for Mishtann Foods stock?
Mishtann Foods currently pays a very modest dividend, with the latest yield at just 0.02%. There is no record of a significant dividend payment or regular distribution policy. Given the recent regulatory issues and declining stock price, investors should not expect a notable dividend from this stock in the near future. Historically, the company has not been a strong dividend payer, focusing more on reinvesting in the business.
What is the forecast for Mishtann Foods stock in 2025, 2026, and 2027?
Based on the current share price of ₹4.63, the projected price could be approximately ₹6.02 at the end of 2025, ₹6.95 at the end of 2026, and ₹9.26 at the end of 2027 if the company stages a recovery. The long-term growth potential is supported by strong fundamentals in India’s food processing sector; however, regulatory challenges may impact this growth outlook until fully resolved.
Should I sell my Mishtann Foods shares?
Holding onto Mishtann Foods shares could be considered if you are focused on long-term potential. Despite short-term pressures due to regulatory investigations and a significant recent decline in price, the company operates in a resilient sector with robust demand for basmati rice. The stock’s current valuation is low, and should governance issues be addressed, there could be scope for value recovery. As always, investors should review fundamentals and their risk tolerance when making decisions.
How are dividends and capital gains from Mishtann Foods taxed for Indian investors?
In India, dividends from Mishtann Foods are taxed in the hands of investors as per their income tax slab. Capital gains from selling shares are subject to short-term or long-term capital gains tax, depending on the holding period. There is a 15% tax rate for short-term gains (less than 12 months) and 10% for long-term gains (above ₹1 lakh and held over 12 months), with no withholding tax at the source. Investors should maintain proper records for accurate tax reporting.
