Lumax Auto
Stock Snapshot
Price Performance
Vista Outlook
View Technicals Analysis →Basis of our Recommendation
Lumax Auto Technologies is strategically positioned for robust growth, driven by management's ambitious target of achieving Rs. 10,860 Cr. in revenue by FY31, supported by a strong order pipeline and a focus on clean mobility solutions. The company's proactive approach to the electric vehicle (EV) transition, with 40% of its order book linked to EVs, underscores its commitment to innovation and market adaptation. Additionally, the recent acquisition of Greenfuel Energy Solutions enhances its capabilities in the alternative fuels segment, aligning with industry trends towards sustainability. Vista's financial outlook reflects stable revenue growth and margins, with a fair valuation that supports a cautious yet optimistic investment stance. The automotive ancillary sector is experiencing a sunrise phase, characterized by improving pricing power and a shift towards value-added services, which bodes well for Lumax's future. However, potential headwinds include rising raw material costs and execution risks associated with ambitious growth targets. Over the next 12-24 months, key opportunities lie in expanding product offerings and deepening OEM relationships, while watchpoints include the integration of acquisitions and maintaining competitive positioning amidst evolving market dynamics
Why We Like This Stock
- Management's target of Rs. 10,860 Cr. in revenue by FY31, supported by a strong order pipeline and focus on clean mobility
- 40% of the order book linked to electric vehicles, indicating alignment with industry trends
- Acquisition of Greenfuel Energy Solutions enhances capabilities in the alternative fuels market
Things To Watch Out For
- Rising raw material costs may pressure profit margins
- Execution risks associated with ambitious growth targets could impact performance
- Limited plans for critical EV components in certain segments may restrict market penetration
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 2,822 | 3,637 | 4,870 | 5,302 | 6,508 |
| Profit Before Tax (Cr.) | 226 | 302 | 420 | 565 | 665 |
| PBT Margin | 8.0% | 8.3% | 862.4% | 10.7% | 10.2% |
| Net Profit (Cr.) | 171 | 224 | 308 | 414 | 395 |
| Earnings Per Share | 19.6 | 25.4 | 36.7 | 49.3 | 57.9 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| Anand Rathi | ▲ Buy | 2,150 | 11-Jun-2026 |
| ICICI Securities | ▲ Buy | 2,035 | 02-Jun-2026 |
Company Overview
Show Company Profile
Lumax Auto Technologies Limited, together with its subsidiaries, manufactures and sells automotive components in India. The company offers advanced plastics, such as cockpit and consoles, door panels, air intake systems, urea and plastic fuel tanks, headliners, trims, louvers, head lamps, tail lamps, and front and rear fenders; mechatronics, including power window switches, oxygen sensors, telematics control units, shark fin antennas, telematics antennas, LF antennas, and throttle position sensors; structures and control systems comprising gear shifter, control housing, monostable e-shifter, frames, swing arms, and seating structure; aftermarket products, such as lighting, horns, wiper blades, filters, engine oils and lubricants, car care products, gear knob, mirrors, and door visor; and alternate fuels consists of pre-bend tubes, electronic pressure regulator, CNG manifold, NGV filling valve, H2 receptacle, CNG cylinder and cylinder valve, H2 re-fueling panel, and safety kit. It also sells various automotive parts and components, as well as moulds and tools for PV, CV and two/three-wheelers. The company serves two, three, and four-wheeler commercial vehicles; and original equipment manufacturers. It also exports its products. The company was formerly known as Dhanesh Auto Electricals Limited and changed its name to Lumax Auto Technologies Limited in 2006. Lumax Auto Technologies Limited was incorporated in 1981 and is based in Gurugram, India.