Samvardhana Motherson International Limited (MOTHERSON) AI Stock Analysis

• Market Cap: ₹1.12T
• Dividend Yield: 0.54%
• Average Volume (3M): 1.33M
• Price to Earnings (P/E): 26.6
• Beta (1Y): 1.51
• Revenue Growth: 9.43%
• EPS Growth: -13.28%
• Country: IN
• Employees: 93,971
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 0.48
• Shares Outstanding: 10,554,077,000
• 10 Day Avg. Volume: 1,254,789
• 30 Day Avg. Volume: 1,328,162
• 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: ₹99.40
• Price Target Upside: -5.92% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 5

• Rating: 68 Neutral
• Price Target: ₹107.00 ▲(1.27% Upside)

Samvardhana Motherson International Limited's overall stock score is driven by strong financial performance, despite concerns over cash flow stability and increasing liabilities. Technical analysis indicates mixed signals with a slight bearish momentum. Valuation suggests the stock is fairly priced, with a modest dividend yield.

Samvardhana Motherson International Limited Business Overview & Revenue Model

Company Description

Samvardhana Motherson International Limited engages in the manufacture and sale of components for automotive original equipment manufacturers in India and internationally. The company offers interior and exterior mirrors, and camera-based detection systems; modules and polymer products; cutting and gear cutting tools, and machining of high precision metal machined components; and technology, engineering, and manufacturing solutions. It also provides exterior lighting and electronics, passenger car HVAC and compressors, body control module, struts, shock absorbers, and backyard integration products; logistics solutions; and health and medical products, solutions, and services, as well as integrated solutions for aerospace industry. In addition, the company offers industrial park; manufacturing engineering, consultation, project management, and turnkey supplies to the automotive industry; and machine tools and hydraulic products trading. Further, it designs, manufactures, and integrates electrical distribution systems, electronics, and related components for commercial vehicle industries, rolling stock manufacturers, and other related segments. The company was formerly known as Motherson Sumi Systems Limited and changed its name to Samvardhana Motherson International Limited in May 2022. The company was incorporated in 1986 and is headquartered in Noida, India.

How the Company Makes Money

MOTHERSON makes money through the production and sale of automotive components and solutions to original equipment manufacturers (OEMs) in the automotive industry. The company's key revenue streams include the manufacturing and distribution of wiring harnesses, rearview mirrors, polymer products, lighting systems, and other automotive components. MOTHERSON also generates revenue from its technology and industrial solutions sectors, which provide specialized products and services to various industries. Significant partnerships with global automotive giants and a strategic focus on expanding its product portfolio and geographic presence contribute to its earnings. The company's ability to innovate and adapt to changing industry demands, along with its extensive manufacturing capabilities, underpin its robust revenue model.

Samvardhana Motherson International Limited Financial Statement Overview

Summary

Samvardhana Motherson International Limited has shown strong growth and profitability with a notable increase in revenue and margins. The balance sheet remains stable with moderate leverage, although increasing liabilities warrant monitoring. Cash flow stability is a concern due to reduced operational inflows, though the company still maintains positive free cash flow.

Income Statement

Samvardhana Motherson International Limited demonstrated strong revenue growth with an increase from 977.794 billion to 1.1254 trillion, representing a growth rate of 15.8% in the most recent year. The gross profit margin improved significantly to 45.8%, indicating improved cost efficiency. Net profit margin and EBIT margin were stable at 3.4% and 5.4% respectively, showing consistent profitability. EBITDA margin was robust at 10.3%, reflecting strong operational efficiency.

Balance Sheet

The company maintains a healthy balance sheet with an equity ratio of 37.6%, indicating a solid equity base. The debt-to-equity ratio is manageable at 0.49, suggesting moderate leverage. Return on equity improved to 10.9%, reflecting efficient use of equity capital. However, the total liabilities have increased, which is a point of concern for future leverage risk.

Cash Flow

The cash flow statement shows a decline in operating cash flow from 75.689 billion to 62.8618 billion, impacting the operating cash flow to net income ratio, which stood at 1.65. Free cash flow decreased significantly by 49.9% from the previous period, reflecting higher capital expenditures, yet it remains positive, indicating sound cash management. The free cash flow to net income ratio is at 0.45, showing adequate coverage.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.11T	1.13T	977.79B	778.71B	634.93B	569.51B
Gross Profit	354.02B	514.89B	160.16B	311.64B	267.56B	232.86B
EBITDA	117.64B	116.37B	83.25B	63.88B	48.89B	45.22B
Net Income	41.24B	38.03B	27.16B	14.96B	8.74B	10.39B
Balance Sheet
Total Assets	0.00	928.47B	850.22B	618.52B	562.70B	480.85B
Cash, Cash Equivalents and Short-Term Investments	124.79B	63.58B	76.81B	46.95B	51.93B	59.83B
Total Debt	0.00	172.22B	199.22B	137.92B	141.30B	119.30B
Total Liabilities	-347.40B	557.19B	568.06B	374.75B	339.06B	315.01B
Stockholders Equity	347.40B	348.80B	261.55B	224.51B	205.88B	125.61B
Cash Flow
Free Cash Flow	-11.80B	17.25B	34.44B	24.22B	-454.00M	30.81B
Operating Cash Flow	8.14B	62.86B	75.69B	46.43B	24.63B	50.51B
Investing Cash Flow	-31.28B	-48.62B	-66.62B	-22.45B	-23.12B	-18.93B
Financing Cash Flow	73.15B	-25.51B	12.81B	-27.34B	-12.17B	-20.98B

Samvardhana Motherson International Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 105.66
• 50DMA: Positive
• 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:MOTHERSON, the sentiment is Positive. The current price of 105.66 is above the 20-day moving average (MA) of 103.91, above the 50-day MA of 99.48, and above the 200-day MA of 95.81, indicating a bullish trend. The MACD of 2.80 indicates Positive momentum. The RSI at 58.22 is Neutral, neither overbought nor oversold. The STOCH value of 22.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:MOTHERSON.

Samvardhana Motherson International Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LGBBROSLTD	75 Outperform	₹44.97B	14.73	15.86%	1.42%	11.99%	6.85%
UNOMINDA	72 Outperform	₹729.76B	70.34	16.46%	0.18%	18.23%	13.98%
VARROC	69 Neutral	₹94.64B	70.68	3.91%	0.16%	8.55%	-74.55%
MOTHERSON	68 Neutral	₹1.12T	26.55	―	0.54%	9.43%	-13.28%
SUPREMEIND	66 Neutral	₹537.86B	60.45	16.98%	0.80%	0.16%	-21.08%
ENDURANCE	66 Neutral	₹384.71B	44.79	14.63%	0.37%	13.54%	19.14%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Samvardhana Motherson International Limited Corporate Events

Samvardhana Motherson to Fully Acquire Motherson Technology Services

Samvardhana Motherson International Limited’s Board of Directors has approved a scheme for the reduction of share capital by its subsidiary, Motherson Technology Services Limited (MTSL). This move will result in MTSL becoming a wholly-owned subsidiary of SAMIL, as the company plans to reduce the shareholding of certain minority shareholders. The process involves a payout of approximately INR 335.25 million, with INR 150.76 million attributable to the promoters and promoter group. This strategic decision aims to consolidate SAMIL’s control over MTSL, potentially enhancing operational synergies and streamlining management within the group.

Samvardhana Motherson to Acquire Majority Stake in Yutaka Giken

Samvardhana Motherson International Limited has announced the approval of its Board of Directors to acquire an 81% stake in Yutaka Giken Co., Ltd., a company listed on the Tokyo Stock Exchange, and an 11% stake in Shinnichi Kogyo Co., Ltd. through its subsidiary, Motherson Global Investments B.V. Additionally, the company plans to acquire 100% of the shares and voting rights in Yutaka Autoparts India Private Limited from Yutaka Giken. This strategic acquisition is expected to enhance Samvardhana Motherson’s market presence in Japan and India, potentially strengthening its position in the automotive components sector.

Samvardhana Motherson Expands Stake in Youngshin Motherson Auto Tech

Samvardhana Motherson International Limited has announced the approval by its Board of Directors to acquire an additional 20% stake in Youngshin Motherson Auto Tech Limited, making it a wholly owned subsidiary. This strategic move is part of SAMIL’s ongoing efforts to consolidate its holdings and enhance its operational capabilities, particularly in the auto clutch product segment. The acquisition does not require any governmental or regulatory approvals and follows a previous increase in stake from June 2023. This development is expected to bolster SAMIL’s market position and operational efficiency, benefiting stakeholders by potentially increasing the company’s competitive edge in the automotive components industry.

Samvardhana Motherson Announces AGM Voting Results

Samvardhana Motherson International Limited announced the results of its 38th Annual General Meeting held on August 28, 2025, through video conferencing. The meeting included the presentation of voting results and a scrutinizer’s report on remote e-voting and voting conducted at the AGM, in compliance with SEBI regulations. This announcement reflects the company’s adherence to regulatory requirements and its ongoing efforts to maintain transparency and engagement with its stakeholders.

Samvardhana Motherson Schedules 38th AGM and Releases Annual Report

Samvardhana Motherson International Limited announced the scheduling of its 38th Annual General Meeting (AGM) on August 28, 2025, to be conducted via video conferencing in line with regulatory guidelines. The company has released its Annual Report for the financial year 2024-25, which is accessible on its website, reflecting its commitment to transparency and regulatory compliance.

Samvardhana Motherson Announces Bonus Share Issue

Samvardhana Motherson International Limited announced the successful passing of a resolution to issue bonus shares in a 1:2 ratio, meaning one fully paid-up equity share will be issued for every two existing shares. This move, approved through a postal ballot, is expected to enhance shareholder value and reflects the company’s commitment to rewarding its investors.

Samvardhana Motherson Announces Dividend Tax Deduction Details

Samvardhana Motherson International Limited announced a communication to its shareholders regarding the deduction of tax on dividends for the financial year ending March 31, 2025. The company has recommended a final dividend of Re. 0.35 per equity share, subject to shareholder approval, and will deduct tax at source as per applicable laws. This announcement is significant for shareholders as it outlines the tax implications and the necessary documentation required for compliance.