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Munjal Auto Industries Limited (IN:MUNJALAU)
:MUNJALAU
India Market
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Munjal Auto Industries Limited (MUNJALAU) AI Stock Analysis

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IN:MUNJALAU

Munjal Auto Industries Limited

(MUNJALAU)

Rating:67Neutral
Price Target:
₹85.00
▼(-3.77% Downside)
Munjal Auto Industries' stock score is primarily influenced by its strong revenue growth and stable balance sheet, though profitability pressures and negative cash flow are concerns. Technical indicators suggest cautious sentiment, while valuation metrics show moderate attractiveness.

Munjal Auto Industries Limited (MUNJALAU) vs. iShares MSCI India ETF (INDA)

Munjal Auto Industries Limited Business Overview & Revenue Model

Company DescriptionMunjal Auto Industries Limited (MUNJALAU) is a leading Indian manufacturer in the automotive sector, primarily engaged in the production of exhaust systems, spoke rims, and fuel tanks for two-wheelers and four-wheelers. As a prominent player in the auto component industry, Munjal Auto Industries serves major automotive manufacturers, contributing to the supply chain with its high-quality and durable products.
How the Company Makes MoneyMunjal Auto Industries Limited generates revenue through the manufacturing and sale of automotive components, such as exhaust systems, fuel tanks, and spoke rims. The company caters to major automotive manufacturers, establishing long-term supply contracts that form the backbone of its revenue streams. By maintaining strong partnerships with key players in the automobile industry, Munjal Auto ensures a steady flow of orders and income. Additionally, the company focuses on operational efficiency and innovation to maintain competitive pricing and quality, further solidifying its market position and financial performance.

Munjal Auto Industries Limited Financial Statement Overview

Summary
Munjal Auto Industries shows strong revenue growth and a stable balance sheet with moderate leverage. However, declining profit margins and negative free cash flow indicate financial pressures that need addressing.
Income Statement
70
Positive
The company has shown a solid revenue growth from 2024 to 2025 by approximately 9.8%, indicating positive business momentum. However, the gross profit margin has declined from 25% in 2024 to 16.6% in 2025, suggesting increased costs or pricing pressures. Net profit margin also decreased to 1.76% from 2.04% in 2024, indicating challenges in maintaining profitability. EBIT and EBITDA margins reflect a resilient operational performance despite thinning margins.
Balance Sheet
75
Positive
Munjal Auto Industries maintains a stable financial position with a debt-to-equity ratio of 0.84 in 2025, reflecting moderate leverage. The equity ratio stands at 33.6%, indicating a strong capital structure. Return on Equity (ROE) decreased to 8.75% from 9.59% in 2024, highlighting a slight reduction in shareholder returns. Overall, the balance sheet is strong with manageable debt levels and a comfortable equity base.
Cash Flow
60
Neutral
The company experienced a significant decline in free cash flow from a positive 861 million in 2024 to a negative 542 million in 2025, reflecting higher capital expenditures or operational challenges. The operating cash flow to net income ratio is low, indicating limited conversion of net income into cash flow. Free cash flow to net income ratio is negative, suggesting potential liquidity issues if the trend continues.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue19.61B20.66B18.82B19.84B18.98B21.15B
Gross Profit4.81B3.43B4.71B4.78B2.66B2.31B
EBITDA1.68B1.36B1.40B1.50B879.22M876.08M
Net Income552.80M363.91M384.90M561.35M267.94M206.28M
Balance Sheet
Total Assets0.0012.37B12.18B12.76B9.61B8.96B
Cash, Cash Equivalents and Short-Term Investments1.48B1.42B1.76B1.19B1.20B415.76M
Total Debt0.003.50B2.76B2.82B1.16B1.47B
Total Liabilities-4.21B8.09B8.07B8.81B6.09B5.74B
Stockholders Equity4.21B4.16B4.01B3.84B3.37B3.11B
Cash Flow
Free Cash Flow0.00-542.34M861.40M51.97M1.20B327.77M
Operating Cash Flow0.00118.49M1.27B345.81M1.37B477.06M
Investing Cash Flow0.00-116.33M-772.52M371.31M-992.65M-141.65M
Financing Cash Flow0.006.97M-525.50M-648.93M-503.47M-338.99M

Munjal Auto Industries Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price88.33
Price Trends
50DMA
78.21
Positive
100DMA
76.93
Positive
200DMA
82.03
Positive
Market Momentum
MACD
3.69
Negative
RSI
67.02
Neutral
STOCH
46.58
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:MUNJALAU, the sentiment is Positive. The current price of 88.33 is above the 20-day moving average (MA) of 81.23, above the 50-day MA of 78.21, and above the 200-day MA of 82.03, indicating a bullish trend. The MACD of 3.69 indicates Negative momentum. The RSI at 67.02 is Neutral, neither overbought nor oversold. The STOCH value of 46.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:MUNJALAU.

Munjal Auto Industries Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
67
Neutral
₹8.83B22.12
1.12%8.73%0.25%
61
Neutral
$17.96B13.14-5.29%3.00%1.25%-13.95%
₹4.75B52.29
₹5.53B22.18
3.33%
64
Neutral
₹4.42B28.01
0.24%26.47%-4.62%
60
Neutral
₹80.30B137.54
9.66%-69.75%
45
Neutral
₹3.71B
-9.04%-10.81%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:MUNJALAU
Munjal Auto Industries Limited
88.33
-37.21
-29.64%
IN:FILATFASH
Filatex Fashions Limited
0.54
-0.80
-59.70%
IN:MUNJALSHOW
Munjal Showa Limited
138.30
-41.28
-22.99%
IN:REMSONSIND
Remsons Industries Limited
126.85
-49.33
-28.00%
IN:SFL
Sheela Foam Ltd.
715.60
-219.65
-23.49%
IN:SHIVAMAUTO
Shivam Autotech Limited
28.26
-22.52
-44.35%
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: Aug 20, 2025