GNA Axles Ltd (GNA) AI Stock Analysis

• Market Cap: ₹13.75B
• Dividend Yield: 0.95%
• Average Volume (3M): 2.09K
• Price to Earnings (P/E): 13.1
• Beta (1Y): 1.14
• Revenue Growth: -4.65%
• EPS Growth: 9.95%
• Country: IN
• Employees: 1,489
• Sector: Industrials
• Sector Strength: 72
• Industry: Auto - Parts
• EPS (TTM): 7.30
• Shares Outstanding: 42,930,800
• 10 Day Avg. Volume: 1,088
• 30 Day Avg. Volume: 2,093
• PEG Ratio: 1.94
• Price to Book (P/B): 1.65
• Price to Sales (P/S): 0.98
• P/FCF Ratio: -78.96
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: ₹361.00 ▲(13.79% Upside)

GNA Axles Ltd's overall stock score is driven by strong financial performance and fair valuation. The company's consistent revenue growth and solid profitability margins are significant strengths. Technical analysis indicates moderate bullish momentum. However, challenges in cash flow management and a modest dividend yield slightly temper the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for GNA's products and effective market strategies, supporting long-term business expansion.

Profitability Margins

Healthy profit margins reflect GNA's ability to manage costs and maintain pricing power, crucial for sustaining profitability in competitive markets.

Balance Sheet Health

A stable balance sheet with manageable leverage enhances GNA's financial resilience and capacity to invest in growth opportunities.

Negative Factors

Negative Free Cash Flow

Negative free cash flow may limit GNA's ability to fund new projects or return capital to shareholders, impacting long-term financial flexibility.

Revenue Decline

A previous revenue decline suggests potential vulnerabilities in market demand or competitive pressures, which could affect future growth.

Debt Increase

Rising debt levels can strain financial resources, increasing interest obligations and reducing flexibility for strategic investments.

GNA Axles Ltd Business Overview & Revenue Model

Company Description

GNA Axles Ltd (GNA) is a leading manufacturer and supplier of automotive axles, primarily serving the commercial vehicle sector. The company specializes in the design and production of a wide range of axle products, including front and rear axles, for trucks, buses, and trailers. With a commitment to innovation and quality, GNA leverages advanced manufacturing techniques and a robust research and development framework to meet the evolving needs of its clients in the transportation industry.

How the Company Makes Money

GNA Axles Ltd generates revenue primarily through the sale of its axle products to original equipment manufacturers (OEMs) and aftermarket distributors. The company has established long-term contracts with key players in the commercial vehicle sector, which provide a stable and recurring revenue stream. Additionally, GNA benefits from partnerships with leading automotive suppliers and manufacturers, allowing it to leverage synergies in production and distribution. The company also explores opportunities in export markets, enhancing its revenue potential. Moreover, GNA invests in research and development to create innovative axle solutions that cater to emerging trends in fuel efficiency and sustainability, further driving sales growth.

GNA Axles Ltd Financial Statement Overview

Summary

GNA Axles Ltd demonstrates strong financial health with consistent revenue growth and solid profitability margins. The balance sheet is stable with manageable leverage and a strong equity base. However, cash flow management presents challenges, particularly with negative free cash flow, though operational cash generation remains robust.

Income Statement

GNA Axles Ltd has shown consistent revenue growth over the years, with a notable increase of 3.31% from 2024 to 2025. The gross profit margin for 2025 stands at a healthy 34.5%, indicating efficient cost management. The net profit margin is also robust at 6.96% for 2025. EBIT and EBITDA margins are strong at 9.97% and 13.85% respectively, reflecting good operational efficiency. The company’s revenue trajectory is positive, although there was a decline from 2023 to 2024, the overall growth trend is upward.

Balance Sheet

The balance sheet of GNA Axles Ltd is stable with a debt-to-equity ratio of 0.29 in 2025, indicating manageable leverage. The equity ratio is strong at 65.93%, showing a solid capital structure. Return on equity (ROE) is at 11.9%, demonstrating a good return on shareholders’ investments. There is a gradual increase in stockholders' equity over the years, contributing to financial stability. However, the total debt has increased, which could pose a risk if not managed well.

Cash Flow

GNA Axles Ltd has faced challenges with its free cash flow, reporting a negative free cash flow in 2025. However, the operating cash flow to net income ratio is strong at 0.86 in 2025, showing good cash conversion from earnings. Although the free cash flow growth rate has been negative, indicating potential cash flow management issues, the company’s ability to generate operating cash flow remains solid.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	14.84B	15.12B	14.91B	15.60B	12.43B	8.68B
Gross Profit	3.97B	3.74B	3.64B	2.85B	3.33B	2.45B
EBITDA	2.09B	2.13B	1.98B	2.34B	1.80B	1.45B
Net Income	1.02B	1.07B	999.64M	1.30B	887.60M	706.24M
Balance Sheet
Total Assets	0.00	13.65B	12.19B	11.71B	10.42B	9.60B
Cash, Cash Equivalents and Short-Term Investments	321.74M	322.21M	325.93M	272.17M	48.56M	194.96M
Total Debt	0.00	2.59B	2.13B	2.03B	2.22B	1.97B
Total Liabilities	-9.00B	4.65B	4.17B	4.56B	4.47B	4.42B
Stockholders Equity	9.00B	9.00B	8.01B	7.15B	5.95B	5.18B
Cash Flow
Free Cash Flow	0.00	-188.32M	97.33M	299.83M	-41.91M	13.15M
Operating Cash Flow	0.00	920.79M	984.09M	1.05B	413.75M	314.45M
Investing Cash Flow	0.00	-1.11B	-856.03M	-664.65M	-459.31M	-267.59M
Financing Cash Flow	0.00	262.22M	-128.86M	-388.83M	44.55M	-45.83M

GNA Axles Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 317.25
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:GNA, the sentiment is Positive. The current price of 317.25 is above the 20-day moving average (MA) of 314.08, above the 50-day MA of 313.42, and below the 200-day MA of 317.45, indicating a neutral trend. The MACD of 0.10 indicates Negative momentum. The RSI at 53.65 is Neutral, neither overbought nor oversold. The STOCH value of 63.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:GNA.

GNA Axles Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GNA	76 Outperform	₹13.75B	13.10	―	0.95%	-4.65%	9.95%
AUTOAXLES	68 Neutral	₹25.12B	15.99	―	1.71%	-2.78%	2.55%
MMFL	68 Neutral	₹14.93B	13.46	―	1.22%	-4.47%	-17.62%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
STERTOOLS	62 Neutral	₹11.07B	22.59	―	0.88%	-19.33%	-26.30%
HITECHGEAR	60 Neutral	₹14.53B	45.18	―	0.74%	-17.86%	-49.46%

GNA Axles Ltd Corporate Events

GNA Axles Ltd Announces Trading Window Closure

GNA Axles Ltd has announced the closure of its trading window in compliance with SEBI’s Prohibition of Insider Trading Regulations, effective from October 1, 2025. The window will remain closed until 48 hours after the company’s unaudited financial results for the second quarter and half year ending September 30, 2025, are approved and made public. This move is part of the company’s adherence to regulatory requirements, impacting stakeholders by temporarily restricting trading activities.