Sintercom India Ltd. (SINTERCOM) AI Stock Analysis

• Market Cap: ₹2.11B
• Dividend Yield: N/A
• Average Volume (3M): 16.27K
• Price to Earnings (P/E): 194.1
• Beta (1Y): 1.14
• Revenue Growth: 7.95%
• EPS Growth: -6.77%
• Country: IN
• Employees: 77
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Auto - Parts
• EPS (TTM): 0.13
• Shares Outstanding: 27,527,822
• 10 Day Avg. Volume: 20,261
• 30 Day Avg. Volume: 16,275
• PEG Ratio: -12.51
• Price to Book (P/B): 3.52
• Price to Sales (P/S): 3.97
• P/FCF Ratio: -39.01
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: ₹76.00 ▼(-23.90% Downside)
• Action: Reiterated Date: 02/21/26
• Date: Action: Reiterated 02/21/26

The score is held up by improving operational performance and revenue growth, but is weighed down by weak profitability and negative free cash flow, bearish technical trends versus key moving averages, and an extremely high P/E with no dividend yield provided.

Positive Factors

Consistent revenue growth

Sintercom has shown multi-year revenue growth (~8.8% reported) driven by volume sales to OEMs and tier-1s. Durable B2B, volume-driven revenue supports economies of scale, capacity utilization gains and underpins investment in automation and product mix shifts over the next 2-6 months.

Improved gross and EBITDA margins

Material improvement in gross and EBITDA margins indicates stronger production efficiency, pricing power on higher-value sintered parts and better input control. These operational gains are structural (process/scale improvements) and tend to persist beyond quarter-to-quarter swings.

Solid equity base / balance-sheet equity ratio

A >50% equity ratio points to a comparatively conservative capital structure, providing resilience to cyclical auto demand. This stable equity foundation supports capex, working capital needs and limits short-term insolvency risk across a 2-6 month horizon.

Negative Factors

Very low net profitability

Net margin near zero and minimal ROE indicate most revenue does not translate into shareholder returns. Persistently thin bottom-line results restrict internal funding for growth, reduce cushion against raw-material or demand shocks, and limit long-term return prospects.

Negative free cash flow

Large negative free cash flow and poor cash conversion show the business currently cannot self-fund investments or working capital. This structural cash shortfall increases reliance on external financing and may constrain capex or debt reduction over the medium term.

Rising leverage

An increasing debt-to-equity ratio reduces financial flexibility and raises fixed interest obligations. Combined with weak net margins and negative FCF, higher leverage amplifies downside risk from auto-cycle weakness or raw-material cost pressure across the coming months.

Sintercom India Ltd. Business Overview & Revenue Model

Company Description

Sintercom India Limited manufactures and sells sintered metal components and auto components for various automobile applications primarily in India. The company offers engine components, including drive gears, chain sprockets, belt pulleys, and engine shaft bearing caps; transmissions components, such as synchroniser hubs, dog rings, and drive-train gears for 2-wheeler and 4-wheeler automobile platforms; and components of exhaust systems, sensor bosses, and sensor parts for various vehicle platforms. It also provides components in automotive auxiliary applications, helical pulleys for electric power steering applications, and high precision components for actuators; soft magnetic composite components and assemblies for applications in electric motors; and powder metal components for sensors. In addition, the company offers crankshaft bearing journals, transmission gears, and synchro hubs, as well as ABS rings and sensor hego bosses and flanges. It primarily serves original equipment manufacturers. Sintercom India Limited was incorporated in 2007 and is based in Pune, India.

How the Company Makes Money

Sintercom India Ltd. makes money by manufacturing and selling powder-metallurgy (sintered) components and related assemblies to customers—primarily automotive OEMs and automotive component suppliers (tier-1s). Its revenue model is largely business-to-business and volume-driven: customers place production orders for specific sintered parts/assemblies designed to meet defined engineering specifications, and Sintercom earns revenue per unit supplied under supply arrangements tied to vehicle production and component demand. Key revenue streams include (1) sales of sintered components (precision PM parts) manufactured at scale, where value is generated through the ability to produce near-net-shape parts with consistent tolerances and material properties; and (2) sales of higher value-added assemblies/sub-assemblies where Sintercom integrates multiple parts or performs additional operations (e.g., secondary machining/finishing) before shipment, typically earning higher realization per piece compared with standalone parts. Earnings are influenced by product mix (components vs. assemblies), customer concentration in automotive, capacity utilization, raw material input costs (metal powders), and pricing terms such as pass-through or renegotiation mechanisms where applicable. Specific details on customer names, contract structure, or partnerships: null.

Sintercom India Ltd. Financial Statement Overview

Summary

Strong revenue growth and improved gross/EBITDA margins support the score, but profitability remains weak (net margin 0.74%, ROE 0.66%), leverage is rising (debt-to-equity 0.48), and free cash flow is negative in 2025 (-91.64 million), indicating pressured cash generation.

Income Statement

Sintercom India Ltd. has shown a consistent increase in revenue with a notable growth from 2022 to 2025. Gross profit margins have improved significantly over the years, reaching 36.1% in 2025. The net profit margin, however, remains low at 0.74% for 2025, indicating challenges in converting revenue to profit. The company has improved its EBIT and EBITDA margins, which are at 7.03% and 16.47% respectively for 2025, showcasing operational efficiencies.

Balance Sheet

The balance sheet reflects a stable equity position with an equity ratio of 52.94% in 2025. However, the debt-to-equity ratio has increased to 0.48, indicating rising leverage. Return on Equity (ROE) is relatively low at 0.66% for 2025, suggesting limited profitability from shareholders' equity.

Cash Flow

Cash flow analysis shows negative free cash flow in 2025 at -91.64 million, raising concerns about cash generation. The operating cash flow to net income ratio is negative, indicating potential issues in converting income to cash. However, the company has managed to maintain positive financing cash flow, showing reliance on external financing.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	956.05M	900.14M	877.11M	822.11M	598.88M	471.99M
Gross Profit	299.01M	324.93M	319.67M	108.93M	205.13M	40.06M
EBITDA	161.69M	148.30M	138.28M	113.53M	52.02M	36.11M
Net Income	10.01M	6.67M	11.55M	-81.00K	-38.41M	-47.05M
Balance Sheet
Total Assets	1.99B	1.92B	1.80B	1.72B	1.55B	1.52B
Cash, Cash Equivalents and Short-Term Investments	6.03M	3.21M	172.00K	7.21M	2.30M	75.68M
Total Debt	478.27M	482.56M	335.24M	280.22M	244.81M	215.77M
Total Liabilities	968.38M	902.90M	793.90M	724.40M	551.67M	481.55M
Stockholders Equity	1.02B	1.02B	1.01B	996.67M	996.07M	1.04B
Cash Flow
Free Cash Flow	30.39M	-91.64M	-12.71M	-6.33M	-69.46M	-56.68M
Operating Cash Flow	41.34M	-29.77M	13.34M	101.75M	-9.78M	-47.08M
Investing Cash Flow	-8.65M	-60.18M	-27.01M	-106.56M	-60.23M	5.16M
Financing Cash Flow	-29.59M	90.44M	13.64M	2.72M	-3.21M	116.37M

Sintercom India Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 99.87
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SINTERCOM, the sentiment is Negative. The current price of 99.87 is above the 20-day moving average (MA) of 82.04, above the 50-day MA of 89.65, and below the 200-day MA of 113.51, indicating a bearish trend. The MACD of -3.91 indicates Positive momentum. The RSI at 35.58 is Neutral, neither overbought nor oversold. The STOCH value of 17.22 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SINTERCOM.

Sintercom India Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CHEMBOND	66 Neutral	₹1.72B	34.22	―	1.11%	-37.34%	-45.55%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
MODIRUBBER	57 Neutral	₹2.82B	16.18	―	―	31.62%	-23.04%
SINTERCOM	54 Neutral	₹2.11B	194.06	―	―	7.95%	-6.77%
LORDSCHLO	54 Neutral	₹3.07B	23.33	―	―	39.31%	―
MANORG	54 Neutral	₹3.45B	24.26	―	―	22.53%	237.55%
KANORICHEM	45 Neutral	₹2.79B	23.83	―	―	-1.30%	-27.85%