Uno Minda Limited

Consumer Cyclical — Auto Parts · NSE

₹1,108.00−₹9.70 (−0.87%)

DalalBaazaar Score

71 / 100

🟢 Good

Verdict

REASONABLE

Risk

Low

Driven by a very high earnings multiple, which leaves little margin for disappointment.

In simple words: Strong business and financial position, with modest growth. Valuation is currently the main factor to watch.

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 Uno Minda Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Uno Minda Limited, together with its subsidiaries, manufactures and supplies auto components and systems in India and internationally.

IndustryAuto Parts

SectorConsumer Cyclical

Employees14,608

Annual revenue₹19,385 Cr

How does it make money?

Turns over ₹19,385 Cr a year. Of every ₹100 of sales, about ₹6 reaches shareholders as profit, with ₹13 left at the operating level before interest, tax and depreciation. Each of its 14,608 employees supports ₹1.33 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹1.33 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 20.5%. Returns that high normally get competed away; when they persist, something is protecting them, and its ROE of 17.5% 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?

18 analysts covering the stock expect revenue to grow about 16.9% and earnings to grow about 27.0% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+16.9%

Est. earnings growth+27.0%

Analysts18

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 +75% while net margin moved +5% 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+75%

Margin effect+5%

DalalBaazaar Score

71/ 100

Good

Weighted across six categories. Every point is explained below.

✗ P/E of 52.8x is demanding — it needs sustained high growth to justify
✓ P/E is 21% below its own historical median of 66.5x — cheap by its own standards
✗ P/B of 9.37x is a steep premium to book

Quality vs. Valuation

Company Quality

76/ 100

Good

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

Valuation

50/ 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

52.8x

3Y Median

66.5x

40 monthly readings · mean 66.8x · range 51.2x–96.0x

Sector Median

45.7x

median of 4 sector peers

🟢Current valuation is approximately 21% below its 3y median of 66.5x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

⚠️Against its sector it trades 15% above the peer median of 45.7x.

vs. its own history

Cheap

66.5x median over 40 months · -21%

vs. sector peers

Fair

45.7x median of 4 peers · +15%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

26.4x

PEG

2.36

What's Good / What's Bad

🟢 What's Going Well4

Cash flow has turned positive
Free cash flow moved from negative to positive over 3 years.
Return on capital is rising
ROCE has improved from 16.5% to 20.5%.
High return on capital employed
ROCE of 20.5% is the mark of a business that converts capital into profit efficiently.
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

1 item require attention · 1 high

🔴Debt has risen sharplyFinancial
Total debt is up 96% over 3 years, from ₹1,395 Cr to ₹2,740 Cr.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 20.5% 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.
Priced below its own history
The stock trades 21% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹148 Cr alongside low debt means growth, buybacks or dividends need no outside money — and a downturn can be absorbed rather than refinanced.
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?

No clear risk case emerges from the available numbers — which is not the same as there being none.

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

1Revenue growth stays above 15% a year✓ 20.5% CAGR
Latest reported year was 23.8%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 11%✓ 13.0%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✓ ₹148 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 1.1x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 18%✓ 20.5%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

9 / 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

6 good · 3 neutral · 2 weak

Market Cap

₹63,983 Cr

Mid Cap

Mid-sized — more growth headroom, but sharper swings than large caps

P/E (Trailing)

52.8x

Expensive

Expensive — verify against sector peers

P/B Ratio

9.37x

Rich

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

EPS (TTM)

₹20.99

Profitable

Profitable on a per-share basis

ROE

17.5%

Strong

Strong capital efficiency

ROCE

20.5%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.38x

Low

Conservative leverage

Revenue Growth (YoY)

23.8%

Healthy

Healthy top-line growth

Profit Growth (YoY)

1.2%

Modest

Slow profit growth

Dividend Yield

0.24%

Modest

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

Free Cash Flow

₹148 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

35.4x

Improving

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

Operating Margin

7.1%

Average

Average margins

Net Margin

5.8%

Average

Average bottom-line conversion

Current Ratio

1.20

Adequate

Adequate, but no real cushion

Beta (vs Nifty)

0.31

Defensive

Steadier than the market

52W Range Position

32%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

1154.1 / 1211.4

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

27.9

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹11,084 Cr	₹13,910 Cr	₹16,581 Cr	₹19,385 Cr	+20.5%
EBITDA	₹1,359 Cr	₹1,792 Cr	₹2,071 Cr	₹2,513 Cr	+22.7%
EBITDA Margin	12.3%	12.9%	12.5%	13.0%	—
PAT (Net Profit)	₹654 Cr	₹875 Cr	₹943 Cr	₹1,197 Cr	+22.4%
EPS	₹11.37	₹15.24	₹16.37	₹20.75	+22.2%
ROE	15.7%	17.7%	16.5%	17.5%	—
ROCE	16.5%	20.8%	19.1%	20.5%	—
Total Debt	₹1,395 Cr	₹1,706 Cr	₹2,473 Cr	₹2,740 Cr	+25.2%
Free Cash Flow	-₹172 Cr	-₹70 Cr	-₹584 Cr	₹148 Cr	—

🟢 Revenue has grown at 20.5% a year over 3 years.

🟢 EBITDA has grown at 22.7% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 13.0% over 3 years.

🟢 PAT (Net Profit) has grown at 22.4% a year over 3 years.

🟢 EPS has grown at 22.2% a year over 3 years.

🟢 ROE has risen from 15.7% to 17.5% over 3 years (+1.8 pts).

🟢 ROCE has risen from 16.5% to 20.5% over 3 years (+4.0 pts).

🔴 Total Debt has grown at 25.2% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹172 Cr to ₹148 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹13,705 Cr

Total Liabilities

₹6,445 Cr

Cash & Equivalents

₹277 Cr

Operating Cash Flow

₹1,720 Cr

Capex

-₹1,572 Cr

Shareholding (proxy)

Institutional Holding

20.0%

Insider Holding

68.5%

Corporate Actions

Next Earnings

05 Nov 2026

Dividend Rate

₹2.65

Ex-Dividend Date

29 May 2026

Analyst Consensus

Recommendations

13 Buy · 2 Hold · 3 Sell

Target Price (Mean)

₹1,321.28

+19.2% vs CMP

Target Range

₹970 – ₹1,532

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

5 mixed1 general

UNOMINDA 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.

Uno Minda Unveils ₹1,415 Cr Expansion

HDFC Sky, 15 SeptCapacity

🟡Mixed / dependsCapacity additions can raise revenue over two to three years, but the capital spend usually pressures free cash flow first. Worth checking whether the capex is funded from operations or from borrowing.

Uno Minda Q4 FY26 results: PAT rises 22% to INR 326 crore, revenue grows 18%

Goodreturns, 14 OctResults

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

Uno Minda Acquires 19% Stake In Minda Onkyo India, Raising Ownership To 99%

Sahi, 30 Jul

Uno Minda board approves Rs 320cr greenfield seating systems plant; share price falls

Moneycontrol.com, 08 JulCapacity

UNO Minda Share Price Fall Streak and Price Action

Univest, 05 OctPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.
RSI is in oversold territory — could mean either a bargain or a stock still falling for good reason. Check the 'why' before assuming reversal.

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Growth · Profitability · Risk

WeakValuation

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. 1 high-severity red flag sits above this conclusion and should be read first.

All 5 tripwires holding · see Key things to watch ↑