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PPAP Automotive Limited (IN:PPAP)
:PPAP
India Market
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PPAP Automotive Limited (PPAP) AI Stock Analysis

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IN:PPAP

PPAP Automotive Limited

(PPAP)

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Neutral 62 (OpenAI - 5.2)
Rating:62Neutral
Price Target:
₹305.00
▲(6.31% Upside)
Action:Reiterated
Date:07/15/26
The score is held back primarily by weaker cash flow (negative free cash flow in 2026) and rising leverage, despite improving profitability. Technicals are a key support due to a strong uptrend, though overbought indicators add near-term risk. Valuation is moderately attractive on P/E, but the low dividend yield provides limited downside cushion.
Positive Factors
OEM supplier model
Being a direct supplier of plastic injection and rubber sealing parts to OEMs on just-in-time/just-in-sequence programs creates durable revenue visibility and sticky customer relationships. Long-term program ties and integration into OEM production raise switching costs and support repeatable volume streams as platforms mature.
Negative Factors
Weak cash conversion
Earnings are not translating into cash: a sharp fall in operating cash and materially negative free cash flow forces reliance on external financing or working-capital tradeoffs. This constrains durable reinvestment for new programs, tooling or margin-improving initiatives and raises financing risk.
Read all positive and negative factors
Positive Factors
Negative Factors
OEM supplier model
Being a direct supplier of plastic injection and rubber sealing parts to OEMs on just-in-time/just-in-sequence programs creates durable revenue visibility and sticky customer relationships. Long-term program ties and integration into OEM production raise switching costs and support repeatable volume streams as platforms mature.
Read all positive factors

PPAP Automotive Limited (PPAP) vs. iShares MSCI India ETF (INDA)

PPAP Automotive Limited Business Overview & Revenue Model

Company Description
Based in Noida, India, PPAP Automotive Limited is a manufacturing firm dedicated to the production and supply of a wide array of components for the automotive sector. The company's core business involves fabricating sealing systems alongside vario...
How the Company Makes Money
PPAP primarily makes money by manufacturing and selling automotive components to vehicle OEMs (and, where applicable, their tiered supplier ecosystems) under supply contracts linked to vehicle production programs. Its main revenue streams come fro...

PPAP Automotive Limited Financial Statement Overview

Summary
Revenue expanded materially over multiple years and net income swung back to positive in 2026, but operating margins remain thin and volatile. Balance sheet leverage has risen (debt-to-equity up to ~0.61), and the biggest concern is cash flow quality: operating cash flow fell sharply in 2026 and free cash flow turned materially negative.
Income Statement
58
Neutral
Balance Sheet
60
Neutral
Cash Flow
42
Neutral
BreakdownMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue5.67B5.54B5.21B5.11B4.22B
Gross Profit997.52M2.37B1.87B1.78B1.47B
EBITDA1.03B571.73M407.63M377.40M360.41M
Net Income431.94M69.97M-130.39M-59.44M-7.88M
Balance Sheet
Total Assets7.41B5.68B5.55B5.48B5.00B
Cash, Cash Equivalents and Short-Term Investments952.59M64.31M114.36M62.82M43.97M
Total Debt2.07B1.75B1.61B1.52B1.10B
Total Liabilities4.00B2.80B2.72B2.53B1.96B
Stockholders Equity3.41B2.88B2.83B2.95B3.04B
Cash Flow
Free Cash Flow-323.62M153.15M96.79M-250.94M-493.27M
Operating Cash Flow179.14M521.87M405.81M300.11M205.27M
Investing Cash Flow-446.46M-353.99M-299.94M-577.39M-709.04M
Financing Cash Flow278.36M-172.43M-94.85M281.14M494.69M

PPAP Automotive Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price286.90
Price Trends
50DMA
258.39
Positive
100DMA
231.98
Positive
200DMA
228.85
Positive
Market Momentum
MACD
6.21
Positive
RSI
50.50
Neutral
STOCH
30.16
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:PPAP, the sentiment is Positive. The current price of 286.9 is below the 20-day moving average (MA) of 299.22, above the 50-day MA of 258.39, and above the 200-day MA of 228.85, indicating a neutral trend. The MACD of 6.21 indicates Positive momentum. The RSI at 50.50 is Neutral, neither overbought nor oversold. The STOCH value of 30.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:PPAP.

PPAP Automotive Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
₹4.10B10.062.63%31.75%55.55%
62
Neutral
₹4.05B9.200.87%2.35%516.13%
57
Neutral
₹2.91B16.090.25%24.46%20.66%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
52
Neutral
₹2.99B-1.24-4.54%-5409.72%
51
Neutral
₹3.05B117.430.22%-2.15%-50.37%
46
Neutral
₹2.35B-1.8269.67%13.57%-18.42%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:PPAP
PPAP Automotive Limited
282.85
36.12
14.64%
IN:ELGIRUBCO
Elgi Rubber Company Limited
58.48
7.86
15.53%
IN:OMAXAUTO
Omax Autos Limited
184.15
38.62
26.54%
IN:REMSONSIND
Remsons Industries Limited
82.55
-41.37
-33.39%
IN:SETCO
Setco Automotive Limited
17.75
9.73
121.38%
IN:SUNDRMBRAK
Sundaram Brake Linings Limited
775.00
-14.57
-1.84%

PPAP Automotive Limited Corporate Events

PPAP Automotive Reshapes Board Committees, Adds Independent Director
Jun 25, 2026
PPAP Automotive Limited has reconfigured its board structure, appointing Meeta Makhan as an additional independent director effective 25 June 2026, subject to shareholder approval for a two-year term. The appointment is based on the nomination and...
PPAP Automotive Ties Up With Hutchinson for Advanced Body Sealing Systems in India
Jun 10, 2026
PPAP Automotive Limited has entered a technology partnership with Hutchinson, a global specialist in high-performance multi-material solutions, to manufacture advanced body sealing systems for India’s passenger vehicle market. The arrangemen...
PPAP Automotive Ties Up With Hutchinson for Advanced Body Sealing Systems in India
Jun 10, 2026
PPAP Automotive Limited has entered into a partnership with Hutchinson, a global specialist in automotive sealing solutions, to manufacture advanced body sealing systems for India’s passenger vehicle market. Under the agreement, effective 1 ...
PPAP Automotive Publishes Investor Presentation on FY26 Results
May 11, 2026
PPAP Automotive Limited has released an analysts and investors presentation covering its audited standalone and consolidated financial results for the quarter and full year ended 31 March 2026. The disclosure, made under Regulation 30 of the SEBI ...
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: Jul 15, 2026