Wheels India
Stock Snapshot
Price Performance
Vista Outlook
View Technicals Analysis →Basis of our Recommendation
Wheels India Limited's recent performance reflects strong demand across various automotive segments, particularly in passenger cars and commercial vehicles, with management reporting over 10% growth in the second half of FY26. This growth is supported by strategic investments in capacity and partnerships aimed at enhancing their hydraulic cylinder and cast aluminum wheel businesses, which are expected to drive international expansion. Vista's financial outlook anticipates stable profit margins and moderate revenue growth, aligning with management's cautious optimism for FY27, despite potential headwinds from geopolitical tensions and commodity price fluctuations. The tyre industry is experiencing robust export growth, which could benefit Wheels India, although the company must navigate rising costs and the risk of adverse weather impacting agricultural demand. Over the next 12-24 months, key opportunities include expanding export markets and leveraging R&D for product innovation, while watchpoints include managing cost pressures and geopolitical uncertainties that could affect overall performance
Why We Like This Stock
- Strong demand growth in automotive segments, particularly in passenger cars and commercial vehicles
- Strategic partnerships and investments in capacity are expected to enhance international growth
- Commitment to ambitious ESG goals may improve operational efficiencies and brand reputation
Things To Watch Out For
- Global uncertainties and geopolitical tensions could impact economic growth and inflation
- Potential increases in oil and commodity prices may pressure margins
- Risk of below-normal monsoon due to El Nino could adversely affect agricultural demand
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 4,977 | 4,744 | 5,465 | 5,871 | 6,159 |
| Profit Before Tax (Cr.) | 75 | 149 | 209 | 249 | 255 |
| PBT Margin | 1.5% | 3.1% | 382.4% | 4.2% | 4.1% |
| Net Profit (Cr.) | 63 | 120 | 168 | 201 | 202 |
| Earnings Per Share | 27.3 | 48.9 | 67.6 | 81.0 | 82.9 |
Analyst Recommendations
No analyst recommendations available.
Company Overview
Show Company Profile
Wheels India Limited, together with its subsidiary, manufactures and sells automotive and industrial components in India and internationally. The company provides steel, cast aluminum, forged aluminum, and wire wheel for use in passenger and light cargo vehicles, trucks, trailers, buses, agriculture and farm equipment, off-road vehicles, and defense vehicles; vehicle chassis and suspensions; wind turbines; fabricated and precision products for construction, mining vehicle, and other equipment; hydraulic cylinders for energy equipment and off-road vehicles; and railway products, such as bogie frames and bolsters. It also offers components and structures for windmill, railways, and thermal power plants. The company was incorporated in 1960 and is headquartered in Chennai, India.