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Rane (Madras) Limited (IN:RML)
:RML
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Rane (Madras) Limited (RML) AI Stock Analysis

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IN:RML

Rane (Madras) Limited

(RML)

Rating:62Neutral
Price Target:
₹895.00
▲(3.97% Upside)
Rane (Madras) Limited's stock score is primarily influenced by its financial performance, which shows positive momentum but is offset by concerns about leverage and operational efficiency. Technical analysis suggests a neutral market sentiment, while high valuation metrics indicate potential overvaluation. The absence of earnings call and corporate events data limits further insights.

Rane (Madras) Limited (RML) vs. iShares MSCI India ETF (INDA)

Rane (Madras) Limited Business Overview & Revenue Model

Company DescriptionRane (Madras) Limited (RML) is a leading manufacturer in the automotive components sector, primarily focused on steering and suspension systems. The company is part of the larger Rane Group, which is renowned for its high-quality automotive parts. RML's core products include manual steering gears, steering and suspension linkage products, and other related components, catering to both domestic and international markets.
How the Company Makes MoneyRane (Madras) Limited generates revenue through the manufacturing and sale of its steering and suspension systems. The primary revenue streams include sales to original equipment manufacturers (OEMs) in the automotive industry, as well as supplying components to the aftermarket segment. The company leverages long-term partnerships with major automobile manufacturers, ensuring a steady demand for its products. Additionally, RML invests in research and development to innovate and maintain a competitive edge, which supports its revenue growth. Export sales also contribute to the company's earnings, expanding its market presence beyond India.

Rane (Madras) Limited Financial Statement Overview

Summary
Rane (Madras) Limited shows positive financial momentum with strong revenue growth and improved profit margins. However, moderate EBIT and EBITDA margins and a high debt-to-equity ratio indicate room for operational and leverage improvements.
Income Statement
78
Positive
Rane (Madras) Limited has demonstrated strong revenue growth from the previous year, with a significant increase in gross profit margin from 29.3% to 24.7%. The net profit margin improved from a negative to 1.1%, indicating a transition to profitability. However, EBIT and EBITDA margins remain moderate at 4.4% and 8.4%, respectively, suggesting room for operational efficiency improvements.
Balance Sheet
61
Positive
The company's debt-to-equity ratio stands at 1.21, indicating a moderate level of leverage. The return on equity has improved to 5.6%, reflecting better profitability. The equity ratio is at 29.6%, showing a stable capital structure, but with potential risks due to high debt levels.
Cash Flow
70
Positive
Rane (Madras) Limited has shown a strong improvement in operating cash flow, with a positive free cash flow indicating better cash management. The operating cash flow to net income ratio is high, demonstrating efficient cash generation relative to earnings. Despite this, the free cash flow growth rate suggests volatility in capital expenditures and cash reserves.
BreakdownTTMDec 2025Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue20.91B34.06B22.01B23.14B17.20B12.47B
Gross Profit6.09B8.41B6.46B6.87B5.12B3.86B
EBITDA1.43B2.85B456.30M1.88B1.27B363.20M
Net Income-68.60M376.50M30.20M300.20M106.60M-611.40M
Balance Sheet
Total Assets0.0022.69B13.69B13.49B12.30B10.32B
Cash, Cash Equivalents and Short-Term Investments225.40M347.90M361.60M293.70M128.50M124.70M
Total Debt0.008.13B7.28B6.68B5.85B4.70B
Total Liabilities-2.57B15.98B11.13B11.07B10.02B8.50B
Stockholders Equity2.57B6.71B2.56B2.42B2.28B1.82B
Cash Flow
Free Cash Flow0.00637.00M-171.00M-206.80M-1.06B-346.80M
Operating Cash Flow0.002.48B1.20B876.40M-56.50M459.10M
Investing Cash Flow0.00-1.53B-1.19B-1.06B-1.24B-799.70M
Financing Cash Flow0.00-1.02B-139.20M351.20M1.34B210.60M

Rane (Madras) Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price860.85
Price Trends
50DMA
861.84
Negative
100DMA
835.72
Positive
200DMA
793.65
Positive
Market Momentum
MACD
1.36
Negative
RSI
52.17
Neutral
STOCH
30.44
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:RML, the sentiment is Positive. The current price of 860.85 is above the 20-day moving average (MA) of 844.47, below the 50-day MA of 861.84, and above the 200-day MA of 793.65, indicating a neutral trend. The MACD of 1.36 indicates Negative momentum. The RSI at 52.17 is Neutral, neither overbought nor oversold. The STOCH value of 30.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:RML.

Rane (Madras) 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
64
Neutral
₹2.92B16.16
13.93%0.25%
64
Neutral
₹4.42B28.01
0.24%26.47%-4.62%
64
Neutral
₹16.36B17.04
0.26%3.71%-15.16%
64
Neutral
₹10.06B19.80
0.72%0.93%88.42%
62
Neutral
₹23.56B83.91
0.94%30.38%-20.93%
61
Neutral
$17.96B13.14-5.29%3.00%1.25%-13.95%
45
Neutral
₹3.71B
-9.04%-10.81%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:RML
Rane (Madras) Limited
849.75
-418.55
-33.00%
IN:JAYBARMARU
Jay Bharat Maruti Limited
102.31
-1.37
-1.32%
IN:PRITIKAUTO
Pritika Auto Industries Ltd
17.69
-12.36
-41.13%
IN:REMSONSIND
Remsons Industries Limited
126.85
-48.28
-27.57%
IN:SHIVAMAUTO
Shivam Autotech Limited
28.26
-20.83
-42.43%
IN:TALBROAUTO
Talbros Automotive Components Limited
269.75
-67.59
-20.04%

Rane (Madras) Limited Corporate Events

Rane (Madras) Limited Announces Trading Window Closure Ahead of Financial Results
Jun 30, 2025

Rane (Madras) Limited has announced the closure of its trading window in compliance with SEBI regulations, as it prepares to hold a Board of Directors meeting on August 5, 2025. The meeting will focus on reviewing and approving the company’s unaudited financial results for the quarter ending June 30, 2025, with the trading window remaining closed until August 7, 2025, to ensure compliance and prevent insider trading.

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: Sep 03, 2025