Automotive Axles Ltd

Ticker: AUTOAXLES
Risky 48/100

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Investing Reference

Price
1696.00
Market Cap
2562.99
Debt/Equity
0.0158
ROE %
16.743
PB
2.6102
Promoter %
71.038
Pledge %
0.000
1Y Rev Growth %
-6.242
5Y Rev Growth %
17.008
NP Margin %
7.389
NP Margin 5Y Avg %
5.842

Trading Reference

1M Return %
-2.291
6M Return %
2.975
1Y Return %
-8.658
% Away 52W High
16.875
% Away 52W Low
11.579
Daily Volume
5233
Investment Verdict
Buy
Score 76/100 · Position size: 40%
Long-term fundamentals are strong. Suitable for investors with a 1–3+ year horizon.
Trading Verdict
Avoid
Score 22/100 · Position size: 0%
Momentum weak or trend adverse. Avoid trading at this point.
Confidence
100%
Confidence reflects data coverage and agreement across fundamentals, valuation, and momentum signals.

AI Probability Statement

Probability Statement

Automotive Axles Ltd is currently trading near a key support level, with the 50-day EMA indicating a bullish trend. If the stock breaks above the resistance level, it could see significant upside. However, if it falls below the support, downside risk increases.
Upside Probability: 15%   |   Downside Probability: 10%

Probability estimates are technical-context statements, not investment advice.

More Options

Business Overview

Automotive Axles Ltd is a leading manufacturer of axles and related components for commercial vehicles in India. Catering primarily to OEMs and the aftermarket, the company plays a crucial role in enhancing vehicle performance and safety. With a commitment to quality and innovation, Automotive Axles Ltd stands out in the competitive automotive sector. Its robust supply chain and customer-centric approach ensure reliability and efficiency, making it a trusted partner for the automotive industry.

  • Established leader in axle manufacturing
  • Serves OEMs and aftermarket segments
  • Focus on quality and innovation
  • Strong supply chain management
  • Commitment to enhancing vehicle safety
  • Trusted partner in the automotive industry

Investment Thesis

Automotive Axles Ltd stands out with a strong promoter group known for credibility and excellence. The company's focus on digital services offers significant growth potential, positioning it well for future market demands. Coupled with attractive valuations compared to peers, this stock presents a compelling investment opportunity for retail investors.

  • Strong promoter group with a proven track record.
  • Significant growth potential in digital services sector.
  • Attractive valuation metrics compared to industry peers.
  • Robust demand for automotive components supporting revenue growth.
  • Strategic initiatives in place to enhance operational efficiency.

Opportunity vs Risk

Opportunities
  • Growing demand for electric vehicles
  • Expansion into new markets
  • Government incentives for auto sector
  • Strong brand reputation
  • Potential for strategic partnerships
Risks ⚠️
  • Volatile raw material prices
  • Regulatory changes impacting operations
  • Intense competition in the market
  • Economic slowdown affecting sales
  • Supply chain disruptions

Peer Perspective

Automotive Axles Ltd trades at a discount to peers like Bharat Forge and Ashok Leyland, primarily due to margin volatility; a stable margin outlook could trigger a rerating, aligning it closer to its competitors.

Future Outlook

Automotive Axles Ltd is well-positioned for growth, driven by increasing demand in the automotive sector. Successful execution of cost control measures will be crucial in maximizing profitability and sustaining competitive advantage.

AI FAQs for Retail Users

  • Q: What does Automotive Axles Ltd do?
    A: Automotive Axles Ltd manufactures axles and related components for commercial vehicles.
  • Q: Is Automotive Axles Ltd a good investment?
    A: Investing depends on your financial goals and risk tolerance. Research the company and market conditions.
  • Q: What are the recent performance trends of the stock?
    A: Review financial reports and market analyses for insights on recent performance trends.
  • Q: How can I buy shares of Automotive Axles Ltd?
    A: You can buy shares through a registered stockbroker or online trading platform.
  • Q: What risks should I consider with this stock?
    A: Consider market volatility, industry competition, and economic factors affecting the automotive sector.
📊 Stock Investment Checklist (100 Points)
Automotive Axles Ltd • Updated: 2025-09-17 01:27:51
  • 10
    Business
    High
    The automotive sector is evolving with a shift towards electric vehicles, but the company has a moderate moat.
  • 10
    Growth
    High
    Revenue growth has been inconsistent, with some fluctuations in profit margins.
  • 9
    Profitability
    High
    ROE and ROCE are decent, but cash flow has shown variability.
  • 8
    Valuation
    High
    Valuation ratios are slightly above industry averages, indicating potential overvaluation.
  • 7
    Balance
    High
    The balance sheet shows manageable debt levels but limited liquidity.
  • 6
    Governance
    Good
    Promoter holding is reasonable, but there are concerns about transparency.
  • 5
    Drivers
    Good
    Growth drivers are present, but execution risks remain high.
  • 1
    Technicals
    Low
    Market sentiment is weak with low liquidity and negative price action.
Final Score & Verdict
Score 48 / 100 • Risky
Automotive Axles Ltd presents a mixed outlook with significant risks overshadowing potential growth opportunities.

AI Confidence Score

Instead of just “overall score,” broken into categories:

  • Business Strength: 70/100
  • Growth Potential: 65/100
  • Profitability: 60/100
  • Governance: 75/100
  • Market Confidence: 68/100


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