Sansera Engineering Ltd. share price target

We revise our rating on the stock from BUY to HOLD, while recommending a BUY-on-dips strategy backed by the strong outlook for the ADS division and the increasing premiumization trend.

Robust order pipeline & ADS momentum to sustain revenue momentum: SEL is a prominent player in the auto component sector specializing in the production of precision forged parts such as connecting rods, crankshaft, etc. in Auto ICE domain; suspension parts, braking components and aluminium forged components in Auto Tech agnostic domain, drive train components in EV domain and structured parts in non-auto space (Aerospace, Defence, Off-Road segment, etc.). SEL has a robust orderbook of ~1,920 crores as of FY26, with ~62% from international markets. ADS...

We maintain our BUY rating on the stock.

Q3FY26 Result: Consolidated revenue for Q3FY26 stood at 908 crore (up 25% YoY) with EBITDA at 164 crore and corresponding EBITDA margins at 18.1% (up 80 bps QoQ). PAT in Q3FY26 came in at 69 crore (up ~23% YoY). Sales mix for...

FY25 geography mix: India ~69%; Europe ~18%; US ~9%; Others ~4% Q2FY26 Result: Consolidated revenue for Q2FY26 stood at 825 crore (up 8% YoY) with EBITDA at 143 crore and corresponding EBITDA margins at 17.3% (up 10 bps QoQ). PAT in Q2FY26 came in at 72 crore (up ~42% YoY). Sales mix for...

We maintain our BUY rating on the stock.

We maintain our BUY rating on the stock.

Strategic shift in vertical to unlock higher potential We recently met the management of Sansera Engineering Limited (SEL) with a view to gain greater insights of its business. SEL is a technology driven manufacturer of complex and critical highprecision iron and aluminium components for automotive and non- automotive sectors. It is the largest supplier of Connecting Rods, Rocker Arms and Gear Shifter Forks for the 2W segment and the largest supplier of Connecting Rods and Rocker arms for LMVs in India. Furthermore, the company is among the top ten suppliers of Connecting Rod across international markets. With a strong presence in the high precision IC engine components, it has been able to extend its design and engineering capabilities to cater to fast-growing areas like EV, Defence, Aerospace, etc. Sansera has 17 integrated manufacturing facilities (16 in India and 1 in Sweden) and has evolved organically by supplying premium quality components to Auto ICE, Tech Agnostic, xEV, and Non-Auto OEMs in the domestic and global markets. Following are the key takeaways from the interaction: Multi-vertical evolution unlocks sustainable and robust growth pathways SEL is undergoing a strategic transformation aimed at reducing its dependence on the traditional...

We maintain our BUY rating on the stock.

We maintain our BUY rating on the stock.

Broadly in line with our estimate, Sansera’s Q3 consolidated EBITDA grew 5% y/y to Rs1.27bn. We expect its outperformance to continue, thanks to greater focus on xEV (drivetrain), tech-agnostic (aluminium forgings) and non-auto (aerospace, Defence, semiconductor) components.

We maintain our BUY rating on the stock.

We maintain our BUY rating on the stock.

We maintain a BUY rating and continue to confidently award a Forward PE multiple of 22x on FY26 EPS to arrive at our TP of Rs 1270 share.

Sansera Engineering’s (SEL) EBITDAM was flat QoQ at 17%, despite the Red Sea disruption adversely impacting supply chain costs.