Jamna Auto Industries Limited

Consumer Cyclical — Auto Parts · NSE

₹140.99−₹1.55 (−1.09%)

DalalBaazaar Score

69 / 100

🟢 Good

Verdict

REASONABLE

Risk

Low

Driven by small-cap size, which brings sharper price swings.

In simple words: Strong business and financial position, with modest growth. Nothing on this snapshot stands out as an immediate concern — the usual checks on business quality and management still apply.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:03 pm

Understanding the Business

Company site ↗

The 60-second version of Jamna Auto Industries Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Jamna Auto Industries Limited engages in manufacturing and selling of tapered leaf, parabolic springs, and lift axles in India and internationally. It offers parabolic and conventional leaf springs for commercial vehicles.

IndustryAuto Parts

SectorConsumer Cyclical

Employees1,107

Annual revenue₹2,564 Cr

How does it make money?

Turns over ₹2,564 Cr a year. Of every ₹100 of sales, about ₹9 reaches shareholders as profit, with ₹16 left at the operating level before interest, tax and depreciation. Each of its 1,107 employees supports ₹2.32 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹2.32 Cr

Who are its competitors?

The closest listed comparisons in its industry are BOSCH LIMITED, MARUTI SUZUKI INDIA LTD., TVS MOTOR COMPANY LTD, EICHER MOTORS LTD. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?The numbers suggest a real one

ROCE has stayed above 15% in every year available and stands at 28.0%. Returns that high normally get competed away; when they persist, something is protecting them, and its ROE of 20.1% against a peer median of 23.0% is consistent with that. What that something is — brand, scale, switching costs, regulation — the accounts cannot tell you.

Peer median ROE23.0%

What is the outlook?

1 analysts covering the stock expect revenue to grow about 9.3% and earnings to grow about 17.6% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+9.3%

Est. earnings growth+17.6%

Analysts1

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +13% while net margin moved +22% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+13%

Margin effect+22%

DalalBaazaar Score

69/ 100

Good

Weighted across six categories. Every point is explained below.

✗ Revenue CAGR of only 4.1% — barely ahead of inflation
• Profit CAGR of 11.1%

Quality vs. Valuation

Company Quality

70/ 100

Good

How good the business is, ignoring the share price entirely.

Valuation

63/ 100

Fair

What you are being asked to pay, ignoring how good the business is.

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

24.1x

3Y Median

25.4x

40 monthly readings · mean 24.6x · range 13.9x–34.7x

Sector Median

45.7x

median of 4 sector peers

🟡Currently trading close to its 3y median of 25.4x — the market is paying about what it usually pays for this company.

🟢Against its sector it trades 47% below the peer median of 45.7x.

vs. its own history

Fair

25.4x median over 40 months · -5%

vs. sector peers

Cheap

45.7x median of 4 peers · -47%

vs. generic bands

Fair

15x–35x

EV/EBITDA

13.7x

PEG

2.17

What's Good / What's Bad

🟢 What's Going Well5

Margins are improving
EBITDA margin is up from 12.0% to 15.8% over 3 years.
Debt is being paid down
Total debt is down 61% over 3 years.
High return on capital employed
ROCE of 28.0% is the mark of a business that converts capital into profit efficiently.
Very low debt
Debt/Equity of 0.13x leaves the balance sheet with plenty of headroom.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

No automated checks triggered

None of the automated financial checks below were triggered on the years of data available. That is not the same as a clean bill of health — see what could not be checked.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 28.0% means each rupee reinvested earns well above what capital costs. If the company can keep deploying at this rate, growth creates value rather than just consuming cash.
Margin expansion has further to run
EBITDA margin has risen from 12.0% to 15.8%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Deleveraging frees up earnings
Debt is down 61% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Cheaper than its peers
It trades 47% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹254 Cr alongside low debt means growth, buybacks or dividends need no outside money — and a downturn can be absorbed rather than refinanced.

🔴 Bear CaseWhat could go wrong?

Growth barely outpaces inflation
Revenue compounding at 4.1% a year is close to the rate prices rise, so the business is gaining little ground in real terms. That leaves the share price dependent on a re-rating rather than on earnings growth.
Size brings its own risk
Small Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1EBITDA margin holds above 14%✓ 15.8%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Revenue growth stays above 4% a year✓ 4.1% CAGR
Latest reported year was 6.7%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
3Free cash flow remains positive✓ ₹254 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 0.0x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 25%✓ 28.0%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

11 / 12 checks passed

✓ Strong return on equity (ROE ≥ 15%)
✓ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Analyst consensus isn't majority-sell
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

5 good · 6 neutral · 0 weak

Market Cap

₹5,639 Cr

Small Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

24.1x

Fair

Fairly valued against the generic band

P/B Ratio

4.90x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹5.85

Profitable

Profitable on a per-share basis

ROE

20.1%

Strong

Strong capital efficiency

ROCE

28.0%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.13x

Low

Conservative leverage

Revenue Growth (YoY)

6.7%

Modest

Modest growth

Profit Growth (YoY)

6.1%

Modest

Slow profit growth

Dividend Yield

1.77%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

₹254 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

17.6x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

10.9%

Average

Average margins

Net Margin

8.8%

Average

Average bottom-line conversion

Current Ratio

1.31

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.29

Defensive

Steadier than the market

52W Range Position

80%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

138.9 / 130.9

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

52.4

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹2,272 Cr	₹2,372 Cr	₹2,224 Cr	₹2,564 Cr	+4.1%
EBITDA	₹274 Cr	₹334 Cr	₹311 Cr	₹405 Cr	+14.0%
EBITDA Margin	12.0%	14.1%	14.0%	15.8%	—
PAT (Net Profit)	₹168 Cr	₹205 Cr	₹180 Cr	₹231 Cr	+11.1%
EPS	₹4.21	₹5.14	₹4.51	₹5.77	+11.1%
ROE	21.5%	22.7%	18.2%	20.1%	—
ROCE	28.3%	30.7%	25.2%	28.0%	—
Total Debt	₹30 Cr	₹170 Cr	₹140 Cr	₹12 Cr	-26.7%
Free Cash Flow	₹285 Cr	-₹73 Cr	₹93 Cr	₹254 Cr	-3.8%

🟢 Revenue has grown at 4.1% a year over 3 years.

🟢 EBITDA has grown at 14.0% a year over 3 years.

🟢 EBITDA Margin has risen from 12.0% to 15.8% over 3 years (+3.8 pts).

🟢 PAT (Net Profit) has grown at 11.1% a year over 3 years.

🟢 EPS has grown at 11.1% a year over 3 years.

🔴 ROE has fallen from 21.5% to 20.1% over 3 years (-1.3 pts).

🟡 ROCE has held roughly flat at 28.0% over 3 years.

🟢 Total Debt has shrunk at 26.7% a year over 3 years.

🔴 Free Cash Flow has shrunk at 3.8% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹1,648 Cr

Total Liabilities

₹501 Cr

Cash & Equivalents

₹102 Cr

Operating Cash Flow

₹510 Cr

Capex

-₹257 Cr

Shareholding (proxy)

Institutional Holding

8.3%

Insider Holding

48.1%

Corporate Actions

Dividend Rate

₹2.5

Ex-Dividend Date

22 Sept 2026

Analyst Consensus

Recommendations

1 Buy · 0 Hold · 0 Sell

Target Price (Mean)

₹242

+71.6% vs CMP

Target Range

₹242 – ₹242

Peer Comparison

Company	P/E	ROE
BOSCH LIMITED	56.9x	15.9%
MARUTI SUZUKI INDIA LTD.	25.2x	13.4%
TVS MOTOR COMPANY LTD	56.8x	35.8%
EICHER MOTORS LTD	34.7x	23.0%

Recent News

3 mixed1 negative2 general

JAMNAAUTO Forecast — Price Target — Prediction for 2027

TradingView, 25 JunAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Stocks to buy: Nagaraj Shetti recommends Jamna Auto, Hindustan Copper shares to buy in the short-term

Livemint, 06 Aug

Jamna Auto Industries promoter releases pledge on 30.3 lakh shares

scanx.trade, 05 OctOwnership

🔴Potentially negativePromoter selling or pledging is a signal worth understanding, though the reason is often personal rather than about the business.

Do Jamna Auto Industries' (NSE:JAMNAAUTO) Earnings Warrant Your Attention?

Simply Wall Street, 28 MayResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Jamna Auto Industries to acquire UK-based Owen Springs

Business Standard, 24 JulM&A

🟡Mixed / dependsAcquisitions change the balance sheet before they change the earnings. Look at what was paid, how it was funded, and whether debt rose.

Jamna Auto Standalone June 2026 Net Sales at Rs 602.40 crore, up 7.52% Y-o-Y

Moneycontrol.com, 11 Aug

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Profitability · Risk

MiddlingGrowth · Valuation

Points for each in the Score ↑

Good business at a fair price

A sound business at a reasonable valuation. Suitable for a long-term holding, with the valuation and the direction of margins worth watching rather than the business itself.

All 5 tripwires holding · see Key things to watch ↑