JTEKT India Limited (JTEKTINDIA) AI Stock Analysis

• Market Cap: ₹41.56B
• Dividend Yield: 0.45%
• Average Volume (3M): 11.25K
• Price to Earnings (P/E): 56.1
• Beta (1Y): 1.12
• Revenue Growth: 4.44%
• EPS Growth: -25.67%
• Country: IN
• Employees: 1,592
• Sector: Industrials
• Sector Strength: 72
• Industry: Auto - Parts
• EPS (TTM): 0.70
• Shares Outstanding: 277,314,200
• 10 Day Avg. Volume: 7,909
• 30 Day Avg. Volume: 11,249
• PEG Ratio: -1.39
• Price to Book (P/B): 3.50
• Price to Sales (P/S): 1.29
• P/FCF Ratio: -38.27
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: ₹163.00 ▲(3.85% Upside)

JTEKT India Limited's overall stock score is driven by strong financial performance, particularly in revenue growth and balance sheet strength. However, concerns about declining profit margins and negative free cash flow, combined with mixed technical indicators and high valuation, moderate the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and the company's ability to expand its market reach, supporting long-term business sustainability.

Balance Sheet Strength

A strong balance sheet with low leverage and high equity ratio provides financial stability and flexibility to invest in growth opportunities.

Strategic Partnerships

Strategic alliances with major global firms strengthen market position and drive revenue growth, ensuring competitive advantage in the industry.

Negative Factors

Declining Profit Margins

Decreasing profit margins can impact long-term profitability, indicating potential operational inefficiencies or increased cost pressures.

Negative Free Cash Flow

Negative free cash flow indicates potential cash management issues, limiting the company's ability to invest in growth or return capital to shareholders.

Earnings Decline

A decline in earnings per share suggests challenges in maintaining profitability, which could affect investor confidence and future growth prospects.

JTEKT India Limited Business Overview & Revenue Model

Company Description

JTEKT India Limited manufactures and sells steering systems and other auto components for the passenger car and utility vehicle manufacturers in the automobile sector in India. The company offers steering gears, columns and RPS assemblies, axle assemblies, and other auto ancillaries. It also exports its precision products to the United States, Europe, and Japan. The company was formerly known as Sona Koyo Steering Systems Limited and changed its name to JTEKT India Limited in April 2018. The company was incorporated in 1984 and is headquartered in Gurugram, India. JTEKT India Limited is a subsidiary of JTEKT Corporation.

How the Company Makes Money

JTEKT India Limited generates revenue primarily through the production and sale of automotive components, including steering systems and bearings, to original equipment manufacturers (OEMs) in the automotive industry. The company also supplies precision machinery and components for industrial applications, contributing to its revenue streams. Key revenue sources include long-term contracts with major automotive companies, which provide a stable income base. Additionally, JTEKT India benefits from strategic partnerships with global automotive firms that enhance its market presence and expand its customer base. The company's emphasis on research and development allows it to innovate and maintain competitiveness, further driving sales and profitability.

JTEKT India Limited Financial Statement Overview

Summary

JTEKT India Limited shows solid revenue growth and a strong balance sheet, with a low debt-to-equity ratio and high equity ratio. However, declining profit margins and negative free cash flow raise concerns about operational efficiency and cash management.

Income Statement

JTEKT India Limited shows a consistent upward trend in revenue, with a revenue growth rate of 6.84% in the most recent year, indicating strong market demand. The gross profit margin stands at 27.47%, reflecting efficient cost management. However, the net profit margin decreased to 3.14%, suggesting rising expenses or cost pressures affecting profitability. The EBIT and EBITDA margins also show some decline, which could indicate operational challenges.

Balance Sheet

The company's balance sheet is robust, with a low debt-to-equity ratio of 0.18, indicating conservative leverage and low financial risk. The equity ratio of 60.14% demonstrates a strong capital base and financial stability. The return on equity (ROE) is 8.55%, showcasing effective use of shareholder equity, although there is room for improvement.

Cash Flow

Cash flow analysis reveals a concerning free cash flow growth rate of -250.61%, primarily due to high capital expenditures. The operating cash flow to net income ratio of 2.58 suggests good cash generation relative to net income, yet the negative free cash flow to net income ratio points to potential cash flow management issues needing attention.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	24.12B	23.99B	22.45B	20.44B	15.89B	13.33B
Gross Profit	6.61B	6.59B	6.26B	5.98B	4.06B	3.53B
EBITDA	1.89B	1.85B	2.33B	1.91B	1.31B	1.08B
Net Income	712.03M	752.63M	1.07B	871.17M	369.05M	117.26M
Balance Sheet
Total Assets	0.00	14.63B	12.75B	10.74B	10.00B	9.33B
Cash, Cash Equivalents and Short-Term Investments	163.08M	163.08M	753.64M	572.83M	789.12M	728.84M
Total Debt	0.00	1.56B	1.15B	617.64M	709.92M	485.16M
Total Liabilities	-8.80B	5.83B	4.53B	3.41B	3.39B	3.09B
Stockholders Equity	8.80B	8.80B	8.22B	7.03B	6.32B	5.99B
Cash Flow
Free Cash Flow	0.00	-805.75M	-229.80M	-21.36M	-140.67M	541.61M
Operating Cash Flow	0.00	1.94B	1.72B	952.00M	1.08B	912.58M
Investing Cash Flow	0.00	-2.72B	-1.72B	-844.43M	-1.26B	-401.99M
Financing Cash Flow	0.00	180.24M	279.91M	-279.73M	143.89M	-444.61M

JTEKT India Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 156.95
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:JTEKTINDIA, the sentiment is Positive. The current price of 156.95 is above the 20-day moving average (MA) of 156.58, below the 50-day MA of 159.52, and above the 200-day MA of 140.13, indicating a neutral trend. The MACD of -1.57 indicates Positive momentum. The RSI at 51.74 is Neutral, neither overbought nor oversold. The STOCH value of 50.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:JTEKTINDIA.

JTEKT India Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AUTOAXLES	68 Neutral	₹25.12B	15.99	―	1.71%	-2.78%	2.55%
NRBBEARING	64 Neutral	₹26.77B	30.92	―	2.33%	9.63%	-64.21%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
JTEKTINDIA	62 Neutral	₹41.56B	56.13	―	0.45%	4.44%	-25.67%
STERTOOLS	62 Neutral	₹11.07B	22.59	―	0.88%	-19.33%	-26.30%
ROTO	59 Neutral	₹12.93B	37.90	―	0.43%	2.00%	-20.08%
WHEELS	58 Neutral	₹22.41B	18.05	―	1.34%	2.22%	29.00%

JTEKT India Limited Corporate Events

JTEKT India Limited Announces Trading Window Closure

JTEKT India Limited has announced the closure of its trading window in compliance with SEBI regulations, effective from October 1, 2025, until 48 hours after the release of its un-audited financial results for the quarter ending September 30, 2025. This move is part of the company’s adherence to insider trading regulations, ensuring transparency and compliance in its financial operations.