Foreign Institutional Investors (FIIs) are consistently buying shares in the stock market, leading to a significant surge in a specific stock. This share has risen approximately 35% in the last three months, while it has seen an increase of over 100% in a year.
In the stock market, one name has been consistently making headlines in recent months: LT Foods. This company, the owner of the rice brand 'Daawat,' is becoming the preferred choice not only for domestic but also for global investors. The speed at which the shareholding of FIIs and DIIs has increased in the company's shares has surprised even market analysts.
A 560% jump in three years, a 100% increase in one year
LT Foods shares have recorded a tremendous gain of 560% in the last three years. Considering only the past year, the share has seen a rise of approximately 100%. According to the latest data, this share touched its all-time high of ₹508.9 on July 3, 2025.
Interest from FII and DII
Continuous buying is being observed from both Foreign Institutional Investors (FIIs) and Domestic Institutional Investors (DIIs). Data released on the exchange indicates that while FII holding was 5.14% in March 2024, it increased to 9.79% by March 2025, which is an increase of about 90% in one year.
On the other hand, the DII holding, which was 4.08% in March 2024, steadily increased to cross 6.16% in March 2025. This means that institutional investors' confidence in LT Foods has strengthened with each passing quarter.
Mukul Agarwal is also a shareholder
A prominent name has also been added to the list of LT Foods investors: the well-known investor, Mukul Mahavir Agarwal. At the end of the March 2025 quarter, his portfolio held 3.9 million shares of the company, which is 1.12% of the company's total shareholding. This is considered a significant indication of his confidence.
26% rally in 8 days, 76% rise in 3 months
Talking about the recent performance of the share, LT Foods shares have seen a rise of up to 26% in the last eight trading sessions. The share was around ₹290 in April 2025, and has now reached ₹509. This translates to a remarkable 76% jump in just three months.
Increased momentum due to high volume and positive sentiment
Two major reasons are being attributed to this surge:
Heavy trading volume and b market sentiment. The recent news of a ceasefire between Iran and Israel has also somewhat reduced international instability, increasing investor confidence.
Growing Basmati Rice Market
Basmati rice is a GI-tagged product, grown only in India and Pakistan. It is considered an expensive and high-quality rice. Its consumption in India is only 2 to 3%, but as the income of the general public increases, the demand for branded Basmati rice is also increasing.
LT Foods is taking advantage of this changing trend. Brokerages like Motilal Oswal believe that the company's growth strategy, margin improvements, and the trend towards health-conscious products can open up further opportunities for the company.
Company released new estimates for FY26
LT Foods recently shared its estimates for FY26. According to these:
- Consolidated Revenue: Approximately ₹10,000 crore
- EBITDA Margin: Approximately 13%
- ROE: Approximately 20%
- Capital Expenditure (Capex): ₹340 crore, emphasizing warehouses and ready-to-heat units in the US
Increasing dominance in the US, not much impact from tariffs
The US has emerged as a major and important market for the company. LT Foods has captured more than 50% market share through the 'Royal' brand. The company says that the impact of any potential tariffs can be balanced by the cheaper prices of raw materials.
More than 30% market share in India
LT Foods has a market share of more than 30% in India through the 'Daawat' brand. Additionally, the company has established a b international presence through a processing unit in Rotterdam, Europe, and packaging and ready-to-heat units in the US.
LT Foods is now not just rice, but a global brand
The company's strategy, global expansion, increasing demand, and investor confidence – all these aspects have transformed LT Foods into not just a food company, but a b global brand. Its current performance in the stock market and future plans keep it in the discussion among investors.
