PPAP Automotive Limited (PPAP) AI Stock Analysis

• Market Cap: ₹3.08B
• Dividend Yield: 0.41%
• Average Volume (3M): 3.22K
• Price to Earnings (P/E): 66.5
• Beta (1Y): 1.06
• Revenue Growth: 3.56%
• EPS Growth: N/A
• Country: IN
• Employees: 1,260
• Sector: Consumer Cyclical
• Sector Strength: 71
• Industry: Auto - Parts
• EPS (TTM): -1.61
• Shares Outstanding: 14,115,070
• 10 Day Avg. Volume: 2,899
• 30 Day Avg. Volume: 3,216
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ₹236.00
• Price Target Upside: 2.65% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 55 Neutral
• Price Target: ₹236.00 ▲(2.65% Upside)

PPAP Automotive Limited's stock score is primarily influenced by its mixed financial performance, characterized by strong revenue growth but volatile profitability and rising debt. Technical indicators suggest bearish sentiment with weak momentum. The high P/E ratio indicates potential overvaluation, and the low dividend yield offers limited income potential.

PPAP Automotive Limited Business Overview & Revenue Model

Company Description

PPAP Automotive Limited (PPAP) is a prominent Indian company operating in the automotive industry, specializing in the manufacture of automotive sealing systems, interior and exterior automotive parts, and various automotive components. The company primarily serves major automobile manufacturers in India and has established itself as a key supplier in the automotive supply chain.

How the Company Makes Money

PPAP Automotive Limited generates revenue by manufacturing and supplying a diverse range of automotive parts and components, particularly focusing on automotive sealing systems such as weather strips, trim door opening seals, and interior and exterior automotive products. The company collaborates with several leading automobile manufacturers to provide these essential components, which are integral to vehicle assembly and functionality. PPAP's revenue model is largely driven by these long-term supply agreements with automotive OEMs (Original Equipment Manufacturers), ensuring a steady demand for its products. Additionally, PPAP may engage in strategic partnerships and technological collaborations to enhance its product offerings and maintain a competitive edge in the market.

PPAP Automotive Limited Financial Statement Overview

Summary

PPAP Automotive Limited shows strong revenue growth and improving operational efficiency with healthy margins. However, challenges remain with volatile net income and rising debt levels, impacting overall profitability concerns.

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	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	5.54B	5.21B	5.11B	4.17B	3.20B
Gross Profit	2.37B	1.87B	1.78B	1.47B	1.26B
EBITDA	571.73M	407.63M	377.40M	360.41M	334.77M
Net Income	69.97M	-130.39M	-59.44M	-7.88M	20.98M
Balance Sheet
Total Assets	5.68B	5.55B	5.48B	5.00B	4.43B
Cash, Cash Equivalents and Short-Term Investments	64.31M	114.36M	62.82M	43.97M	13.76M
Total Debt	1.75B	1.61B	1.52B	1.10B	523.06M
Total Liabilities	2.80B	2.72B	2.53B	1.96B	1.37B
Stockholders Equity	2.88B	2.83B	2.95B	3.04B	3.06B
Cash Flow
Free Cash Flow	153.15M	96.79M	-250.94M	-493.27M	-259.38M
Operating Cash Flow	521.87M	405.81M	300.11M	205.27M	264.44M
Investing Cash Flow	-353.99M	-299.94M	-577.39M	-709.04M	-488.70M
Financing Cash Flow	-172.43M	-94.85M	281.14M	494.69M	205.71M

PPAP Automotive Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 229.90
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:PPAP, the sentiment is Negative. The current price of 229.9 is below the 20-day moving average (MA) of 242.48, below the 50-day MA of 240.19, and above the 200-day MA of 205.35, indicating a neutral trend. The MACD of -0.25 indicates Positive momentum. The RSI at 32.66 is Neutral, neither overbought nor oversold. The STOCH value of 8.31 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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	63 Neutral	₹4.32B	28.22		0.26%	26.47%	-4.53%
AUTOIND	63 Neutral	₹2.99B	16.08		―	0.67%	4.97%
PRITIKAUTO	62 Neutral	₹2.98B	17.31		―	4.41%	-20.08%
Sector *	61 Neutral	$17.22B	11.53	-5.99%	3.08%	1.40%	-15.51%
VIPCLOTHNG	56 Neutral	₹3.46B	45.35		―	40.33%	―
PPAP	55 Neutral	₹3.08B	66.46		0.41%	3.56%	―
SHIVAMAUTO	46 Neutral	₹3.66B	―		―	-3.34%	-61.12%

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.