SPR Auto Technologies Limited

Consumer Cyclical — Auto Parts · NSE

₹4,690.00+₹357.00 (+8.24%)

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, 8:27 pm

Understanding the Business

Company site ↗

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

What does this company do?

SPR Auto Technologies Limited manufactures and sells automotive components in India. The company offers pistons, piston pins, piston rings, and engine valves.

IndustryAuto Parts

SectorConsumer Cyclical

Employees3,827

Annual revenue₹4,409 Cr

How does it make money?

Turns over ₹4,409 Cr a year. Of every ₹100 of sales, about ₹13 reaches shareholders as profit, with ₹22 left at the operating level before interest, tax and depreciation. Each of its 3,827 employees supports ₹1.15 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹1.15 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?Some evidence

ROCE of 18.0% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

Peer median ROE23.0%

What is the outlook?

3 analysts covering the stock expect revenue to grow about 12.9% and earnings to grow about 35.3% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+12.9%

Est. earnings growth+35.3%

Analysts3

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +72% while net margin moved +10% 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+72%

Margin effect+10%

DalalBaazaar Score

69/ 100

Good

Weighted across six categories. Every point is explained below.

• P/E of 36.7x already prices in growth
✗ P/E is 24% above its own historical median of 29.5x — expensive by its own standards
✗ P/B of 7.12x is a steep premium to book

Quality vs. Valuation

Company Quality

77/ 100

Good

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

Valuation

37/ 100

Expensive

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

A good business, but the price already reflects that. The quality is real; the question is whether you are overpaying for it today.

Historical Valuation

Current P/E

36.7x

3Y Median

29.5x

40 monthly readings · mean 32.5x · range 17.9x–61.4x

Sector Median

45.7x

median of 4 sector peers

⚠️Current valuation is approximately 24% above its 3y median of 29.5x. Paying more than usual needs a reason — faster growth, a better balance sheet, or a re-rating you believe in.

🟢Against its sector it trades 20% below the peer median of 45.7x.

vs. its own history

Expensive

29.5x median over 40 months · +24%

vs. sector peers

Fair

45.7x median of 4 peers · -20%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

24.2x

PEG

1.56

What's Good / What's Bad

🟢 What's Going Well3

Margins are improving
EBITDA margin is up from 19.5% to 22.2% over 3 years.
Cash generation is improving
Free cash flow is up 62% over 3 years.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention1

Return on capital is falling
ROCE has declined from 22.7% to 18.0% — often a sign of competition or overexpansion.

Red Flags

2 items require attention · 1 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 491% over 3 years, from ₹333 Cr to ₹1,968 Cr.
🟡Receivables growing faster than salesFinancial
Receivables up 110% against revenue up 72% — sales are being booked faster than they are collected.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 18.0% 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 19.5% to 22.2%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Sales are being booked faster than collected
Receivables are up 110% against revenue up 72%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
The price already assumes success
The stock trades 24% above its own median multiple. At this level the business has to deliver just to stand still, and a stumble is repriced twice — lower earnings on a lower multiple.
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

1Revenue growth stays above 15% a year✓ 19.8% CAGR
Latest reported year was 53.1%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 20%✓ 22.2%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA stays below 2x✗ 2.0x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4Free cash flow remains positive✓ ₹434 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 15%✓ 18.0%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

10 / 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 · 5 neutral · 1 weak

Market Cap

₹21,755 Cr

Small Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

36.7x

Fair

Fairly valued against the generic band

P/B Ratio

7.12x

Rich

Steep premium to book — needs high, durable returns to justify

EPS (TTM)

₹127.94

Profitable

Profitable on a per-share basis

ROE

19.0%

Strong

Strong capital efficiency

ROCE

18.0%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.65x

Moderate

Moderate leverage

Revenue Growth (YoY)

53.1%

Healthy

Healthy top-line growth

Profit Growth (YoY)

8.0%

Modest

Slow profit growth

Dividend Yield

0.21%

Modest

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

Free Cash Flow

₹434 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

24.7x

Improving

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

Operating Margin

13.9%

Average

Average margins

Net Margin

11.3%

Good

Strong bottom-line conversion

Current Ratio

1.71

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.79

Defensive

Steadier than the market

52W Range Position

93%

Near high

Near its 52-week high

Technical Snapshot

SMA 20 / SMA 50

4484.5 / 4487.7

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

45.1

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹2,564 Cr	₹3,043 Cr	₹3,498 Cr	₹4,409 Cr	+19.8%
EBITDA	₹501 Cr	₹723 Cr	₹828 Cr	₹977 Cr	+25.0%
EBITDA Margin	19.5%	23.7%	23.7%	22.2%	—
PAT (Net Profit)	₹293 Cr	₹443 Cr	₹507 Cr	₹553 Cr	+23.5%
EPS	₹33.31	₹100.47	₹115.02	₹125.43	+55.6%
ROE	19.2%	23.0%	21.2%	19.0%	—
ROCE	22.7%	26.5%	25.5%	18.0%	—
Total Debt	₹333 Cr	₹487 Cr	₹508 Cr	₹1,968 Cr	+80.8%
Free Cash Flow	₹268 Cr	₹340 Cr	₹260 Cr	₹434 Cr	+17.4%

🟢 Revenue has grown at 19.8% a year over 3 years.

🟢 EBITDA has grown at 25.0% a year over 3 years.

🟢 EBITDA Margin has risen from 19.5% to 22.2% over 3 years (+2.6 pts).

🟢 PAT (Net Profit) has grown at 23.5% a year over 3 years.

🟢 EPS has grown at 55.6% a year over 3 years.

🟡 ROE has held roughly flat at 19.0% over 3 years.

🔴 ROCE has fallen from 22.7% to 18.0% over 3 years (-4.7 pts).

🔴 Total Debt has grown at 80.8% a year over 3 years.

🟢 Free Cash Flow has grown at 17.4% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹6,153 Cr

Total Liabilities

₹3,134 Cr

Cash & Equivalents

₹105 Cr

Operating Cash Flow

₹625 Cr

Capex

-₹191 Cr

Shareholding (proxy)

Institutional Holding

16.6%

Insider Holding

61.9%

Corporate Actions

Dividend Rate

₹10

Ex-Dividend Date

20 Jul 2026

Analyst Consensus

Recommendations

2 Buy · 0 Hold · 0 Sell

Target Price (Mean)

₹5,500

+17.3% vs CMP

Target Range

₹4,850 – ₹6,150

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 mixed3 general

SPR Auto Technologies to host Q2FY27 earnings call on Nov 2

scanx.trade, 16 OctResults

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

Compare with RANE MADRAS

Equitymaster, 16 Oct

SPR Auto Technologies Ltd is Rated Hold by MarketsMOJO

MarketsMojo, 16 Oct

SPR Auto Technologies (NSEI:SHRIPISTON) Stock Forecast & Analyst Predictions

Simply Wall Street, 05 OctAnalyst view

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

Buy SPR Auto Technologies; target of Rs 6150: Motilal Oswal

Moneycontrol.com, 24 Sept

SPR Auto Shares May Rally 37%, Says Motilal Oswal As It Initiates Coverage — Check Target Price

NDTV Profit, 24 SeptPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Watch Items

Trading very close to its 52-week high — momentum-driven entries here carry more mean-reversion risk.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Growth · Profitability

MiddlingRisk

WeakValuation

Points for each in the Score ↑

Good business, demanding price

The quality is real and the price already reflects it. Buying here is a bet that the business keeps compounding for long enough to grow into the multiple — which good businesses often do, but it removes the margin for error that a lower price would have given you. 1 high-severity red flag sits above this conclusion and should be read first.

1 of 5 tripwires tripped — Debt / EBITDA stays below 2x · see Key things to watch ↑