PPAP Automotive Limited (PPAP) AI Stock Analysis

• Market Cap: ₹3.71B
• Dividend Yield: 0.57%
• Average Volume (3M): 1.93K
• Price to Earnings (P/E): 80.0
• Beta (1Y): 1.03
• Revenue Growth: 3.56%
• EPS Growth: N/A
• Country: IN
• Employees: 1,260
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): -1.61
• Shares Outstanding: 14,115,070
• 10 Day Avg. Volume: 5,023
• 30 Day Avg. Volume: 1,930
• PEG Ratio: -0.22
• Price to Book (P/B): 0.84
• Price to Sales (P/S): 0.44
• P/FCF Ratio: 15.75
• 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: ₹286.00
• Price Target Upside: 8.85% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 64 Neutral
• Price Target: ₹286.00 ▲(8.85% Upside)

PPAP Automotive Limited's stock score is primarily driven by strong technical momentum, despite concerns over valuation and profitability. The stock's bullish trend is a key strength, but high P/E ratio and debt levels pose risks. Financial performance is mixed, with positive cash flows but inconsistent net income.

PPAP Automotive Limited Business Overview & Revenue Model

Company Description

PPAP Automotive Limited (PPAP) is a leading manufacturer and supplier of automotive components based in India. The company specializes in producing a wide range of products, including plastic interior and exterior components, instrument panels, and other essential parts for the automotive industry. With a strong focus on innovation and quality, PPAP serves major automobile manufacturers and is involved in the supply chain of various automotive sectors, ensuring compliance with global standards.

How the Company Makes Money

PPAP Automotive Limited generates revenue primarily through the manufacturing and sale of automotive components to major OEMs (Original Equipment Manufacturers) in the automotive sector. The company has established long-term contracts and partnerships with various automobile manufacturers, which provide a stable revenue stream. Key revenue sources include the sale of plastic components, instrument panels, and other automotive parts, with additional income derived from engineering services and product customization. The company's strategic collaborations with leading automotive brands further enhance its market position and contribute to its earnings.

PPAP Automotive Limited Financial Statement Overview

Summary

PPAP Automotive Limited shows strong revenue growth and operational efficiencies, but profitability is hindered by volatile net income and rising debt levels. Positive cash flows are a strength, but consistent free cash flow growth is uncertain.

Income Statement

PPAP Automotive Limited has demonstrated consistent revenue growth over the past years, with a notable increase in total revenue from 2021 to 2025. The gross profit margin remains healthy, indicating effective cost management. However, net profit margin has been volatile, showing losses in several years, which may indicate challenges in controlling operating expenses or external economic pressures impacting profitability. EBIT and EBITDA margins have shown improvement, suggesting operational efficiencies are being realized.

Balance Sheet

The company's balance sheet reflects a moderate debt-to-equity ratio, which has increased over time, suggesting a rising reliance on debt financing. The equity ratio remains stable, indicating a solid capital structure. However, the potential risk lies in the increasing total debt levels, which could impact financial flexibility if not managed properly. Return on equity has been inconsistent due to fluctuating net income figures, highlighting potential profitability issues.

Cash Flow

PPAP's cash flow statement shows positive operating cash flow, indicating good cash generation capabilities from core operations. Free cash flow has been positive in recent years, reflecting improved capital expenditure management. The ratio of operating cash flow to net income is strong, which is a positive indicator of earnings quality. However, the volatility in free cash flow growth highlights potential uncertainties in cash flow sustainability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.48B	5.54B	5.21B	5.11B	4.22B	3.20B
Gross Profit	2.36B	2.37B	1.87B	1.78B	1.47B	1.26B
EBITDA	563.39M	571.73M	407.63M	377.40M	360.41M	334.77M
Net Income	46.22M	69.97M	-130.39M	-59.44M	-7.88M	20.98M
Balance Sheet
Total Assets	0.00	5.68B	5.55B	5.48B	5.00B	4.43B
Cash, Cash Equivalents and Short-Term Investments	64.31M	64.31M	114.36M	62.82M	43.97M	13.76M
Total Debt	0.00	1.75B	1.61B	1.52B	1.10B	523.06M
Total Liabilities	-2.88B	2.80B	2.72B	2.53B	1.96B	1.37B
Stockholders Equity	2.88B	2.88B	2.83B	2.95B	3.04B	3.06B
Cash Flow
Free Cash Flow	0.00	153.15M	96.79M	-250.94M	-493.27M	-259.38M
Operating Cash Flow	0.00	521.87M	405.81M	300.11M	205.27M	264.44M
Investing Cash Flow	0.00	-353.99M	-299.94M	-577.39M	-709.04M	-488.70M
Financing Cash Flow	0.00	-172.43M	-94.85M	281.14M	494.69M	205.71M

PPAP Automotive Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 262.75
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: 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 262.75 is above the 20-day moving average (MA) of 230.44, above the 50-day MA of 225.97, and above the 200-day MA of 208.84, indicating a bullish trend. The MACD of 7.72 indicates Negative momentum. The RSI at 67.15 is Neutral, neither overbought nor oversold. The STOCH value of 75.10 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

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
REMSONSIND	66 Neutral	₹4.30B	28.09	―	0.24%	26.47%	-4.62%
PPAP	64 Neutral	₹3.71B	80.03	―	0.57%	3.56%	―
PRITIKAUTO	64 Neutral	₹2.66B	14.74	―	―	13.93%	0.25%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
AUTOIND	60 Neutral	₹2.97B	21.81	―	―	0.52%	-39.56%
VIPCLOTHNG	58 Neutral	₹3.02B	40.18	―	―	40.33%	―
SHIVAMAUTO	51 Neutral	₹3.81B	―	―	―	-9.04%	-10.81%

PPAP Automotive Limited Corporate Events

PPAP Automotive Releases Q1 FY26 Earnings Call Recording

PPAP Automotive Limited has announced the availability of the recording of its earnings conference call for the quarter ended June 30, 2025. This recording, which was held on August 11, 2025, is now accessible on the company’s website. The presentation shared during the call has also been made available to the stock exchanges and uploaded on the company’s website, providing stakeholders with insights into the company’s financial performance and strategic direction.

PPAP Automotive Reports Quarterly Financial Results with Net Loss

PPAP Automotive Limited has released its unaudited financial results for the quarter ended June 30, 2025. The company reported a decrease in revenue and a net loss for the period, indicating challenges in its financial performance. The results include consolidated figures with its joint venture, PPAP Tokai India Rubber Private Limited, and five subsidiary companies. The company also issued shares under its Employee Stock Option Plan, which may impact its equity structure.