Samvardh. Mothe. (MOTHERSON)

FairStock Score: 61/100 — STEADY

Score breakdown: P/E: 0/3 · ROCE: 1/2 · Growth: 2/2 · Dividend: 0/1

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach Samvardh. Mothe. with Graham’s caution and Buffett’s desire for a durable business at a fair price. At ₹168.30, the market cap is ₹1.77 lakh Cr, while book value is ₹38.91. The P/B is 4.33 and P/E 40.46. Graham Number is ₹49.61 and DCF intrinsic value is ₹52.04, so the margin of safety is -168.77%. I am not being paid for optimism. The business shows scale: latest quarter sales ₹31,409 Cr and net profit ₹1,072 Cr, with sales growth 30.32%. But profit growth is -1.96%, so growth is not converting to earnings. Five-year revenue CAGR 13.36% is respectable, yet ROE 9.79% and ROCE 13.66% are not the hallmarks of a wide moat. Debt/equity 0.44 is manageable, FCF ₹1,450 Cr is positive, Piotroski F-Score 8/9 and Altman Z-Score 3.00 suggest reasonable financial health. Promoter holding 48.60% aligns interests, but dividend yield 0.30% gives little cash return. EV/EBITDA at 78.42 is very demanding. FairStock Score 61/100 says steady, not extraordinary. The 52-week range ₹101.08–₹173.27 shows the price is near the top. This is a cyclical auto-components supplier, not a consumer franchise. The company is large, but I do not confuse size with quality. I want to see profit growth catch up, ROCE improve, and valuation come closer to intrinsic value before paying up. I would require a much wider discount to act. Until then, I admire the scale but not the price.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer