Sona BLW Precision Forgings Ltd logo

Sona BLW Precision Forgings Ltd

SONACOMS NSE

Sona BLW Precision Forgings is an India-based automotive technology company. The company is engaged in designing, manufacturing and supplying engineered automotive systems and components such as differential assemblies, gears, conventional and micro-hybrid motors, BSG systems and EV Traction motors across all vehicle categories. The company develops mechanical and electrical hardware systems, components as well as base and application software solutions.

AI Verdict: HOLD Confidence: 5%

Sona BLW trades at a demanding PE of 60.7x with ROE declining to 12% last year, but strong sales CAGR of 24% over 5 years and near-zero debt support long-term growth. With 67% analyst buy ratings, the stock is priced for perfection — warranting a hold until valuation corrects or earnings accelerate.

Key Fundamentals

MidcapAuto ComponentsAutomobiles
Market Cap
₹38,757 Cr
Volatility
Moderate
P/E Ratio
59.6
EBITDA
₹1,030 Cr
Return on Equity
18.49%
Debt to Equity
0.08
Book Value
₹96.19
EPS
₹9.41
52W High
₹626.35
52W Low
₹402.3

Technical Indicators

Key Insights

Strengths

5
  • Company is almost debt free.
  • Company is expected to give good quarter
  • Company has delivered good profit growth of 23.7% CAGR over last 5 years
  • Company has been maintaining a healthy dividend payout of 34.7%
  • Company's median sales growth is 24.3% of last 10 years

Weaknesses

1
  • Promoter holding has decreased over last 3 years: -4.98%

Growth Rate

Revenue Growth
20.86% ↗
Net Income Growth
6.70% ↘
Cash Flow Change
11.90% ↗
ROE
-42.56% ↘
ROCE
-36.46% ↘
EBITDA Margin (Avg.)
-24.75% ↘

AI Analysis — Bull vs Bear

Anthropic anthropic claude-opus-4.6 2d ago
HOLD
Risk high

Sona BLW trades at a demanding PE of 60.7x with ROE declining to 12% last year, but strong sales CAGR of 24% over 5 years and near-zero debt support long-term growth. With 67% analyst buy ratings, the stock is priced for perfection — warranting a hold until valuation corrects or earnings accelerate.

Bull Case 8
  • Company is almost debt free, giving it significant financial flexibility and low interest cost burden
  • Compounded sales growth of 24% CAGR over 5 years demonstrates consistent revenue scaling
  • Compounded profit growth of 25% CAGR over 5 years reflects strong operating leverage
  • TTM revenue growth of 28% indicates accelerating top-line momentum
  • 67% of analysts (10 out of 15) have a buy rating on the stock
  • Healthy dividend payout ratio of 34.7% signals shareholder-friendly capital allocation
  • Median sales growth of 24.3% over last 10 years shows long-term structural demand tailwinds
  • Stock has delivered 26% return over the past 1 year, outperforming broader indices
Bear Case 8
  • PE ratio of 60.7x is extremely elevated, leaving little margin of safety for any execution miss
  • ROE has declined from 16% (5-year average) to 12% last year, signaling deteriorating capital efficiency
  • Working capital days have increased sharply from 106 to 161 days, indicating cash conversion cycle stress
  • Promoter holding has decreased by 4.98% over 3 years, raising alignment concerns
  • 3-year stock CAGR of only 7% suggests the market has already priced in growth for extended periods
  • 20% of analysts (3 out of 15) have a sell rating, a notable bearish minority
  • Price-to-book ratio of 6.38x is rich for a manufacturing/forgings business
  • Dividend yield of just 0.55% offers negligible income support at current valuation

This is AI-generated analysis, not financial advice. Do your own due diligence.

AI News Digest

Anthropic anthropic claude-opus-4.6 1d ago
Positives 3
  • Strong FY26 revenue up 26% Jun 20

    Consolidated revenue reached INR 44,751 mn (up 26% YoY), EBITDA of INR 11,069 mn (up 13%), and Adjusted PAT of INR 6,703 mn (up 11%) for FY 2025-26.

  • INR 626 mn robotics Capex approved Jun 16

    Board approved INR 626 million capital expenditure for robotics components, signaling expansion into new growth verticals.

  • Final dividend of INR 1.80/share Jun 20

    Declared final dividend of INR 1.80 per share for FY26. AGM scheduled for July 15, 2026 via video conference.

Neutral 3
  • Active investor engagement cycle May 28

    Multiple analyst and institutional investor meetings scheduled between June 3-11, 2026, including BofA India Conference (Mumbai), Gurugram meet, and Investec-organized Chennai plant visit.

  • Trading window closed for Q1 Jun 15

    Trading window shut from June 16, 2026 until 48 hours after Q1FY26 results declaration, per SEBI insider trading regulations.

  • INR 18.54 Cr block trade on NSE Jun 11

    Institutional block deal of approximately 3,13,475 shares executed at INR 591.35 per share on the NSE.

TL;DR: Sona BLW delivered a strong FY26 with 26% revenue growth and healthy profitability, while signaling future growth ambitions through robotics Capex of INR 626 mn. Active institutional engagement and a block trade suggest sustained investor interest. No material headwinds are visible in recent news flow, and the trend appears constructive heading into Q1FY27 results.

Quarterly Results

  Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Sales
699
674
716
708
793
830
840
786
770
767
1,057
1,128
1,172
Expenses
510
488
516
494
570
591
606
570
555
575
786
836
887
Operating Profit
189
186
201
215
223
240
234
216
215
192
271
292
285
OPM %
27%
28%
28%
30%
28%
29%
28%
27%
28%
25%
26%
26%
24%
Other Income
35
4
24
-1
6
26
11
39
51
34
20
-16
57
Interest
5
5
6
7
7
9
10
5
4
5
4
4
6
Depreciation
45
48
50
51
53
55
57
61
60
60
65
68
67
PBT
174
136
168
155
169
202
178
190
202
161
223
205
269
Tax %
17%
26%
22%
22%
23%
23%
26%
26%
25%
26%
25%
25%
23%
Net Profit
144
102
130
122
131
155
132
141
152
120
166
153
207
EPS in Rs
2.45
1.74
2.23
2.08
2.23
2.64
2.13
2.26
2.44
1.93
2.67
2.46
3.33
Figures in ₹ Crores

Profit & Loss

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Sales
346
365
503
609
699
539
1,400
1,918
2,448
2,892
3,226
4,124
Expenses
263
294
398
445
501
388
1,014
1,439
1,831
2,067
2,322
3,083
Operating Profit
82
72
105
164
198
151
387
479
617
825
904
1,041
OPM %
24%
20%
21%
27%
28%
28%
28%
25%
25%
29%
28%
25%
Other Income
2
-38
2
7
3
0
23
84
61
33
128
95
Interest
22
18
19
18
16
23
32
17
16
25
28
19
Depreciation
19
17
17
22
29
34
86
130
167
203
233
260
PBT
44
-2
71
131
156
94
291
417
495
629
772
857
Tax %
34%
868%
36%
34%
35%
10%
26%
15%
22%
23%
25%
25%
Net Profit
29
-16
45
86
101
84
216
354
388
484
580
646
EPS in Rs
10.42
-5.76
16.19
31.02
36.28
17.83
3.77
6.05
6.63
8.26
9.32
10.4
Div. Payout %
0%
0%
0%
0%
0%
238%
502%
25%
42%
37%
34%
33%
Figures in ₹ Crores

Balance Sheet

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Equity Capital
28
28
28
28
28
47
573
584
585
586
622
622
Reserves
183
167
212
298
399
1,084
788
1,389
1,664
1,988
4,773
5,220
Borrowings
156
149
158
161
145
330
443
147
291
388
150
363
Other Liabilities
61
73
91
127
167
105
318
386
435
623
609
772
Total Liabilities
428
416
489
614
738
1,566
2,122
2,506
2,976
3,585
6,154
6,976
Fixed Assets
125
124
105
165
275
364
1,085
1,261
1,473
1,597
1,758
3,264
CWIP
8
4
6
12
13
50
83
147
91
140
170
92
Investments
200
159
162
174
173
860
155
163
370
541
1,343
1,094
Other Assets
96
128
216
264
278
292
798
935
1,042
1,307
2,884
2,526
Total Assets
428
416
489
614
738
1,566
2,122
2,506
2,976
3,585
6,154
6,976
Figures in ₹ Crores

Cash Flow

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Operating
—
38
23
112
143
161
121
395
500
639
733
615
Investing
—
-12
-12
-98
-113
-886
-117
-318
-512
-453
-1,737
-1,541
Financing
—
-25
-10
-15
-31
759
-79
-62
20
-191
1,938
-3
Net Cash Flow
—
1
1
0
-2
34
-75
15
8
-4
934
-929
Free Cash Flow
—
25
17
24
52
-13
-95
56
166
326
357
237
CFO/OP
—
82
42
94
97
117
42
92
97
95
99
76
Figures in ₹ Crores

Ratios

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Debtor Days
58
66
87
85
79
90
104
83
87
73
71
95
Inventory Days
77
94
107
149
121
147
169
131
90
92
80
103
Days Payable
93
122
142
193
123
131
128
81
77
80
76
78
Cash Conversion Cycle
42
38
52
41
77
106
145
133
100
86
75
121
Working Capital Days
-31
-52
31
79
6
3
77
88
58
39
117
118
ROCE %
18%
16%
24%
34%
32%
12%
21%
21%
22%
24%
18%
15%

Shareholding Pattern

As of Mar 2026
DIIs 41.46%
Promoters 28.01%
FIIs 23.70%
Public 5.61%
Others 1.22%
Total 100.00%
  Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Promoters
67.30%
67.30%
67.18%
67.18%
67.18%
53.59%
53.53%
33.00%
29.76%
29.76%
29.71%
29.71%
29.71%
28.04%
28.03%
28.02%
28.02%
28.02%
28.02%
28.01%
FIIs
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
33.35%
0.00%
32.93%
32.03%
33.56%
33.25%
29.92%
29.75%
23.46%
23.89%
23.70%
DIIs
12.43%
14.44%
14.30%
14.32%
14.39%
23.92%
24.37%
31.28%
28.20%
27.50%
26.72%
28.77%
29.51%
30.95%
31.15%
34.42%
34.59%
40.13%
40.73%
41.46%
Government
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
Public
3.13%
5.21%
6.24%
6.66%
6.94%
8.71%
9.19%
9.24%
8.79%
7.94%
8.03%
7.22%
7.40%
6.17%
6.40%
6.41%
6.38%
7.12%
6.15%
5.61%
Others
17.15%
13.04%
12.27%
11.83%
11.50%
13.78%
12.90%
26.48%
33.25%
1.45%
35.54%
1.37%
1.36%
1.27%
1.17%
1.23%
1.26%
1.27%
1.20%
1.22%
No. of Shareholders
3,21,193
2,54,066
3,48,947
3,95,367
4,00,004
4,67,128
4,79,651
4,82,517
4,70,818
4,43,173
4,40,928
4,12,728
4,24,896
4,05,447
4,05,093
4,08,859
4,05,414
4,28,049
4,04,507
3,78,653

Documents

Frequently Asked Questions about Sona BLW Precision Forgings Ltd

What does Sona BLW Precision Forgings Ltd do?
Sona BLW Precision Forgings is an India-based automotive technology company. The company is engaged in designing, manufacturing and supplying engineered automotive systems and components such as differential assemblies, gears, conventional and micro-hybrid motors, BSG systems and EV Traction moto...
Where is Sona BLW Precision Forgings Ltd (SONACOMS) listed?
Sona BLW Precision Forgings Ltd is listed on the Indian stock exchanges. It is listed on NSE: SONACOMS and BSE: 543300. You can view its live share price, financials, and ratios on Tapetide.
Which sector does Sona BLW Precision Forgings Ltd belong to?
Sona BLW Precision Forgings Ltd operates in the Consumer Discretionary sector within the Auto Components industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of Sona BLW Precision Forgings Ltd?
Sona BLW Precision Forgings Ltd has a market capitalisation of approximately ₹38756.61 Cr. Based on this, it is classified as a Large Cap stock.
What is the PE ratio of Sona BLW Precision Forgings Ltd?
The Price-to-Earnings (PE) ratio of Sona BLW Precision Forgings Ltd is 59.60. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of Sona BLW Precision Forgings Ltd?
Over the past 52 weeks, Sona BLW Precision Forgings Ltd has traded between a low of ₹402.3 and a high of ₹626.35. This range helps investors understand the stock's price volatility and recent trading levels.
Does Sona BLW Precision Forgings Ltd pay dividends?
Yes, Sona BLW Precision Forgings Ltd has a dividend yield of 0.55%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of Sona BLW Precision Forgings Ltd?
Sona BLW Precision Forgings Ltd has a Return on Equity (ROE) of 18.49%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research Sona BLW Precision Forgings Ltd on Tapetide?
On Tapetide, you can view Sona BLW Precision Forgings Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.

Company Information

Sona BLW Precision Forgings is an India-based automotive technology company. The company is engaged in designing, manufacturing and supplying engineered automotive systems and components such as differential assemblies, gears, conventional and micro-hybrid motors, BSG systems and EV Traction motors across all vehicle categories. The company develops mechanical and electrical hardware systems, components as well as base and application software solutions.

Website sonacomstar.com
Listed 2021-06-24
Face Value ₹ 10
Issued Size 62,17,20,975

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