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Divgi TorqTransfer Systems Ltd. (IN:DIVGIITTS)
:DIVGIITTS
India Market
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Divgi TorqTransfer Systems Ltd. (DIVGIITTS) AI Stock Analysis

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IN:DIVGIITTS

Divgi TorqTransfer Systems Ltd.

(DIVGIITTS)

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Outperform 76 (OpenAI - 5.2)
Rating:76Outperform
Price Target:
₹880.00
▲(42.39% Upside)
Action:UpgradedDate:04/16/26
The score is driven primarily by strong financial quality (especially balance sheet strength and solid profitability) and supportive technical momentum with price above key moving averages. The main constraint is valuation, with a high P/E and minimal dividend yield, alongside some risk from recent revenue softness and volatile free cash flow.
Positive Factors
Balance sheet strength
Low leverage and a high equity ratio indicate durable financial flexibility. This reduces refinancing risk, supports investment to win and scale OEM programs, and provides a buffer through automotive cycles, enabling sustained capex and R&D funding without stressing liquidity.
Negative Factors
Recent revenue decline
A recent drop in revenue suggests near-term demand softness or loss of share on some platforms. For a supplier tied to OEM volumes, lower top-line reduces fixed-cost absorption and can strain margins and investment plans until new program awards or market recovery restore volume visibility.
Read all positive and negative factors
Positive Factors
Negative Factors
Balance sheet strength
Low leverage and a high equity ratio indicate durable financial flexibility. This reduces refinancing risk, supports investment to win and scale OEM programs, and provides a buffer through automotive cycles, enabling sustained capex and R&D funding without stressing liquidity.
Read all positive factors

Divgi TorqTransfer Systems Ltd. (DIVGIITTS) vs. iShares MSCI India ETF (INDA)

Divgi TorqTransfer Systems Ltd. Business Overview & Revenue Model

Company Description
Divgi TorqTransfer Systems Limited designs, develops, manufactures, and supplies engineered, turnkey solutions, and components to automotive OEMs in India, the United States, China, Korea, Russia, and internationally. It manufactures and supplies ...
How the Company Makes Money
Divgi TorqTransfer Systems makes money primarily by supplying torque-transfer and drivetrain components to automotive original equipment manufacturers (OEMs). Its core revenue streams are: (1) Sale of products—manufacturing and selling transfer ca...

Divgi TorqTransfer Systems Ltd. Financial Statement Overview

Summary
Strong overall fundamentals supported by a very solid balance sheet (low leverage, high equity ratio, strong ROE) and healthy profitability/margins. Key offsets are the recent revenue decline (2024–2025) and volatile free cash flow, including periods of negative FCF.
Income Statement
78
Positive
Balance Sheet
85
Very Positive
Cash Flow
72
Positive
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue2.65B2.19B2.50B2.69B2.30B1.81B
Gross Profit1.62B1.31B1.35B1.47B692.08M1.08B
EBITDA691.73M585.69M727.91M822.23M739.43M605.14M
Net Income302.66M243.92M397.35M511.62M461.51M380.44M
Balance Sheet
Total Assets6.89B6.60B6.41B6.42B4.05B3.63B
Cash, Cash Equivalents and Short-Term Investments2.93B2.98B2.64B3.11B1.73B1.59B
Total Debt15.92M10.75M15.63M25.37M4.76M11.22M
Total Liabilities809.29M636.81M610.47M907.15M653.55M670.06M
Stockholders Equity6.08B5.97B5.80B5.51B3.40B2.96B
Cash Flow
Free Cash Flow-61.72M87.10M-452.72M-276.10M111.51M13.97M
Operating Cash Flow165.64M352.13M324.61M408.21M510.77M269.65M
Investing Cash Flow-1.36M-425.29M60.69M-2.13B-510.78M-245.78M
Financing Cash Flow-83.53M-88.22M-117.15M1.60B-29.33M-26.23M

Divgi TorqTransfer Systems Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price618.00
Price Trends
50DMA
692.17
Positive
100DMA
645.56
Positive
200DMA
643.24
Positive
Market Momentum
MACD
16.45
Negative
RSI
65.56
Neutral
STOCH
85.73
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DIVGIITTS, the sentiment is Positive. The current price of 618 is below the 20-day moving average (MA) of 683.12, below the 50-day MA of 692.17, and below the 200-day MA of 643.24, indicating a bullish trend. The MACD of 16.45 indicates Negative momentum. The RSI at 65.56 is Neutral, neither overbought nor oversold. The STOCH value of 85.73 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:DIVGIITTS.

Divgi TorqTransfer Systems Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
₹22.01B39.750.44%34.43%30.27%
72
Outperform
₹20.54B15.600.32%1.88%-15.78%
70
Outperform
₹12.64B18.862.86%4.72%9.38%
68
Neutral
₹28.00B18.331.63%-0.78%1.76%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
60
Neutral
₹11.81B378.450.74%-10.44%-53.46%
52
Neutral
₹12.20B98.190.57%-2.83%-48.13%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:DIVGIITTS
Divgi TorqTransfer Systems Ltd.
719.75
264.32
58.04%
IN:AUTOAXLES
Automotive Axles Limited
1,852.90
205.59
12.48%
IN:HITECHGEAR
Hi-Tech Gears Limited
628.00
53.90
9.39%
IN:IGARASHI
Igarashi Motors India Limited
387.45
-73.93
-16.02%
IN:IMPAL
India Motor Parts & Accessories Limited
1,012.50
41.50
4.27%
IN:TALBROAUTO
Talbros Automotive Components Limited
332.75
74.77
28.98%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Apr 16, 2026