5 main automotive ancillary actions based on M-Capitalization

1. Motherson Sumi:

Locally made, preferred around the world. The company is the world’s largest manufacturer of components for the automotive and transportation industries. Company operations began in 1989 and began manufacturing wire harness components and plastic parts as part of an upstream integration.

Over the one year period, the script yielded almost 93% return compared to the Sensex which generated a 49% return. Nonetheless, over the past month, it has underperformed.

M-Capitalization-Rs. 69,616 crores

A high RoCE indicates high management efficiency within the company. In addition, the company is efficient at servicing debt with a debt-to-equity ratio of just over 1.

LTP of the share: Rs. 220.15 per share

2. Bosch:

2. Bosch:

The company is a leading provider of technologies and services in areas such as mobility solutions, industrial technology, consumer goods, and energy and building technology. Additionally, Bosch has the largest development center outside of Germany in India for end-to-end engineering and technology solutions.

Bosch’s script has underperformed the Sensex with a 12% return over the past year.

The company’s debt ratio is 0.26 times.

M-capitalization- Rs. 41,069 crores.

LTP: Rs. 13906

3. Sona BLW precision forgings:

3. Sona BLW precision forgings:

An innovation-driven MNC company focuses on the design as well as the development of advanced electric transmission systems for automotive applications. The company only made its debut recently.

Cap M: Rs. 29 167 crores

LTP: Rs. 498.3

4. Endurance technologies:

4. Endurance technologies:

Since 1985, the company has specialized in aluminum die-casting, the company’s manufacturing units are strategically located near the company’s equipment manufacturers. The focus of the company is on QCDDM (Quality, Cost, Development, Delivery and Management).

Scrip since last year, the company has delivered a 58.5% return.

The company has a very low debt ratio of 0.02 times.

M-capitalization: Rs. 23,660 crores

LTP: Rs. 169.85

5. Minda Industries:

5. Minda Industries:

The company incorporated in 1992 is the flagship company of the Minda group. The company manufactures automotive electrical parts as well as components including automotive electrical parts such as switches, lights, batteries, etc.

The company over a one-year period generated multibagger returns of over 100 percent, outperforming the Sensex.

Other positive points of the stock are the high RoCE of 18.66%, the low leverage ratio as well as healthy long-term growth, with an increase in net sales at an annual rate of 21.69% and operating profit at 26.51%.



Note that while Indian automakers, such as major auto giant Maruti, are facing a crisis in semiconductors and the like, and have reduced their production target for the current month, brokers in all areas consider auto ancillary companies to be better bets given their global market. positioning and market share.


Previous Maritime transport leaves a huge ecological footprint
Next New York City closes rail service as Ida crosses region

No Comment

Leave a reply

Your email address will not be published. Required fields are marked *