NDR Auto Components
Stock Snapshot
Price Performance
Vista Outlook
View Technicals Analysis →Basis of our Recommendation
NDR Auto Components Limited is positioned to benefit from the ongoing transition towards electric vehicles, as highlighted by management's positive outlook on leveraging domestic demand and government incentives. The company's focus on operational excellence and customer-centric innovation is expected to support revenue growth, which is forecasted to accelerate beyond historical levels. Despite challenges such as supply chain volatility and the need for enhanced competitiveness in high-precision components, the stable margin outlook and conservatively financed balance sheet provide a solid foundation for future growth. The auto ancillaries sector's favorable dynamics, including improving pricing power and a shift towards electric mobility, further bolster Vista's expectations for NDR Auto. Over the next 12-24 months, key opportunities include expanding market share in the electric vehicle segment and enhancing product offerings, while watchpoints include potential commodity inflation and geopolitical tensions that could impact margins. Overall, Vista's forecast reflects a balanced view, with expected upside supported by a fair valuation and constructive investor sentiment
Why We Like This Stock
- Management's focus on operational excellence and innovation aligns with the accelerating revenue growth forecast
- The company's conservatively financed balance sheet enhances financial stability, allowing for strategic investments
- The auto ancillaries sector's shift towards electric vehicles and improving pricing power presents significant growth opportunities
Things To Watch Out For
- Supply chain volatility and raw material costs pose risks to margin stability
- The need for improved competitiveness in high-precision components could hinder market positioning
- Geopolitical tensions and inflationary pressures may impact consumer sentiment and overall demand
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 602 | 713 | 823 | 864 | 1,040 |
| Profit Before Tax (Cr.) | 49 | 68 | 81 | 90 | 107 |
| PBT Margin | 8.1% | 9.5% | 980.0% | 10.4% | 10.3% |
| Net Profit (Cr.) | 40 | 53 | 62 | 70 | 83 |
| Earnings Per Share | 16.6 | 22.3 | 26.1 | 29.6 | 35.1 |
Analyst Recommendations
No analyst recommendations available.
Company Overview
Show Company Profile
NDR Auto Components Limited manufactures, fabricates, assembles, sells, and trades in automotive components for passenger cars and utility vehicles in India. The company provides seat frames and trims for two-wheeler and four-wheeler vehicles, as well as other accessories relating to car seats; and spare parts and components for seats. NDR Auto Components Limited was founded in 1930 and is based in Gurugram, India.