Bharat Gears Limited (BHARATGEAR) AI Stock Analysis

• Market Cap: ₹2.14B
• Dividend Yield: N/A
• Average Volume (3M): 32.61K
• Price to Earnings (P/E): 32.2
• Beta (1Y): 0.57
• Revenue Growth: 0.42%
• EPS Growth: N/A
• Country: IN
• Employees: 1,157
• Sector: Industrials
• Sector Strength: 72
• Industry: Auto - Parts
• EPS (TTM): 1.07
• Shares Outstanding: 15,355,058
• 10 Day Avg. Volume: 78,314
• 30 Day Avg. Volume: 32,608
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹129.00
• Price Target Upside: -7.50% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 65 Neutral
• Price Target: ₹129.00 ▼(-7.50% Downside)

Bharat Gears Limited's stock score is primarily driven by strong technical indicators, suggesting bullish momentum. However, the high P/E ratio and lack of dividend yield present valuation concerns. Financial performance shows stability but highlights risks due to high leverage and inconsistent revenue growth.

Bharat Gears Limited Business Overview & Revenue Model

Company Description

Bharat Gears Limited manufactures and supplies automotive gears in India, the United States, Mexico, Spain, and internationally. The company operates through Gears, Automotive Components, and Furnaces segments. It offers gear products, such as ring gears and pinions, transmission gears and shafts, differential gears, and gear boxes; and heat treatment furnaces and equipment, such as endothermic gas generators, rotary hearth atmosphere hardening, conveyor and pusher type furnace lines, sealed quench furnace lines, and pusher continuous gas carburising furnaces for utility vehicles, tractors, and off highway vehicles, as well as heavy, medium, and light trucks. The company also provides automotive components, including crown wheel pinions, transmission gears, straight bevel parts, steering components, fly wheel assemblies and rings, axle shafts, ceramic buttons, cover assemblies, lever and spring kits, clutch components, differential cages, propeller shaft components, crankshafts, turbo charger kits, and turbos charger core and rotor products. It serves original equipment manufacturers. Bharat Gears Limited was incorporated in 1971 and is based in Mumbai, India.

How the Company Makes Money

Bharat Gears Limited generates revenue through the sale of its gear products, which include automotive gears, gearboxes, and differential assemblies. The company supplies its products to original equipment manufacturers (OEMs) as well as the aftermarket, providing components for passenger cars, commercial vehicles, tractors, and industrial machinery. The company's revenue streams are bolstered by its diverse customer base, strong relationships with key OEMs, and its ability to provide customized solutions. Additionally, Bharat Gears benefits from its manufacturing capabilities and technological expertise, which enable it to maintain competitiveness in the global market. Strategic partnerships and collaborations with leading automotive companies also play a significant role in enhancing its market reach and revenue generation.

Bharat Gears Limited Financial Statement Overview

Summary

Bharat Gears Limited shows stable financial performance with strong cash flow management and efficient cost control. However, high leverage and inconsistent revenue growth pose risks. Improvements in profitability and debt reduction are needed for enhanced stability.

Income Statement

Bharat Gears Limited has shown a mixed performance in terms of revenue and profitability. The gross profit margin is strong, suggesting efficient cost management. However, the net profit margin has been volatile, with recent improvements after past losses. The EBIT and EBITDA margins suggest stable operational performance, though not exceptionally high. Revenue growth has been inconsistent, with recent declines indicating market challenges or competitive pressures.

Balance Sheet

The balance sheet reflects moderate financial health. The debt-to-equity ratio indicates a high level of leverage, which could pose risks if cash flows fluctuate. Return on equity has been inconsistent, impacted by fluctuations in net income. The equity ratio shows a reasonable proportion of assets funded by shareholders' equity, but there is room for improvement in reducing debt reliance.

Cash Flow

Cash flow analysis shows a positive trend, with free cash flow growth indicating effective cash management. The operating cash flow to net income ratio is favorable, suggesting cash earnings are supporting net income. The free cash flow to net income ratio further supports the company's ability to generate cash relative to its earnings, though improvements in net income stability would enhance long-term sustainability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.43B	6.48B	6.63B	7.66B	7.12B	4.91B
Gross Profit	2.29B	3.04B	410.39M	2.98B	2.84B	2.03B
EBITDA	362.19M	446.46M	242.09M	519.48M	701.02M	354.06M
Net Income	-2.68M	31.88M	-97.38M	134.85M	258.39M	-77.01M
Balance Sheet
Total Assets	0.00	3.64B	3.85B	4.07B	4.04B	3.84B
Cash, Cash Equivalents and Short-Term Investments	123.00M	93.42M	35.08M	3.79M	41.15M	18.56M
Total Debt	0.00	796.63M	1.13B	1.16B	1.07B	1.18B
Total Liabilities	-1.22B	2.52B	2.75B	2.87B	2.95B	3.10B
Stockholders Equity	1.22B	1.13B	1.11B	1.21B	1.08B	738.13M
Cash Flow
Free Cash Flow	0.00	350.25M	321.04M	159.58M	255.22M	548.91M
Operating Cash Flow	0.00	489.74M	465.95M	419.59M	302.79M	590.28M
Investing Cash Flow	0.00	22.99M	-131.48M	-262.55M	-49.57M	-22.47M
Financing Cash Flow	0.00	-510.44M	-374.55M	-28.02M	-322.21M	-567.05M

Bharat Gears Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 139.46
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:BHARATGEAR, the sentiment is Positive. The current price of 139.46 is above the 20-day moving average (MA) of 101.32, above the 50-day MA of 95.72, and above the 200-day MA of 87.74, indicating a bullish trend. The MACD of 7.78 indicates Negative momentum. The RSI at 82.10 is Negative, neither overbought nor oversold. The STOCH value of 85.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:BHARATGEAR.

Bharat Gears Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GNA	70 Outperform	13.36B	13.05	11.90%	0.96%	-3.10%	8.21%
INDNIPPON	68 Neutral	21.15B	24.21	11.57%	1.35%	17.61%	28.12%
BHARATGEAR	65 Neutral	₹2.14B	32.20	―	―	0.42%	―
TALBROAUTO	64 Neutral	18.34B	19.10	14.93%	0.40%	3.71%	-15.16%
HITECHGEAR	63 Neutral	14.11B	43.87	8.35%	0.67%	-20.12%	-73.06%
RICOAUTO	58 Neutral	12.62B	39.40	2.93%	0.54%	2.34%	-15.64%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Bharat Gears Limited Corporate Events

Bharat Gears Limited Receives SEBI Compliance Certificate for Q1 2025

Bharat Gears Limited announced the receipt of a certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018, for the quarter ended March 31, 2025. This confirmation from MUFG Intime India Private Limited ensures that the securities received for dematerialization have been processed correctly, maintaining compliance with regulatory requirements. This announcement reinforces Bharat Gears’ commitment to adhering to regulatory standards, which is crucial for maintaining investor confidence and operational transparency.