Igarashi Motors India Limited (IGARASHI) AI Stock Analysis

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Igarashi Motors India Limited

(NSE:IGARASHI)

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Rating:47Neutral

Price Target:INR 370.00▼(-1.41% Downside)

Action:reiterated

Date:09/23/26

The score is mainly constrained by expensive valuation (high P/E with low yield) and weak cash-flow quality (low and volatile free cash flow). Financial performance is mixed—good revenue growth and manageable leverage, but pressured margins and low returns—while technical signals indicate subdued momentum.

Positive Factors

Sustained Revenue GrowthRevenue growth across several years indicates expanding operating scale and continued demand for the company’s motor and sub-assembly products. If maintained, this trajectory can support better capacity utilization, strengthen OEM relationships, and provide a durable base for future earnings improvement.

Negative Factors

Margin CompressionMaterial margin compression means revenue growth is producing less profit than it did previously, weakening earnings resilience. Net profitability near 1.4% leaves limited room to absorb cost pressure or execution issues, making future earnings more dependent on restoring operating efficiency.

Igarashi Motors India Limited (IGARASHI) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 11.76B
Dividend Yield: 0.35%
Average Volume (3M): 17.10K
Price to Earnings (P/E): 72.0
Beta (1Y): 1.55
Revenue Growth: 15.07%
EPS Growth: 19.60%
Country: India
Employees: 675
Sector: General
Sector Strength: 55
Industry: Auto - Parts

Igarashi Motors India Limited Business Overview & Revenue Model

Company Description

Igarashi Motors India Limited is engaged in the manufacturing and global sales of electric micro motors and related accessories specifically for the automotive sector. The company's extensive market presence spans India, the United States, Japan, Ger...

How the Company Makes Money

IGARASHI primarily makes money by manufacturing and selling electric motors and motor sub-assemblies to customers (typically automotive OEMs and Tier-1 suppliers), generating revenue from product sales under supply agreements and purchase orders. Key...

Igarashi Motors India Limited Financial Statement Overview

Summary

Strong multi-year revenue growth is offset by meaningful margin compression and low latest net profitability (~1.4%). Balance sheet leverage is moderate (debt-to-equity ~0.31) but returns are weak (ROE ~2.6%). Cash generation is the main drag: free cash flow is low, volatile, and has declined sharply year over year despite positive operating cash flow.

Income Statement

56Neutral

Balance Sheet

68Positive

Cash Flow

45Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	9.12B	8.66B	8.41B	7.25B	6.56B	5.57B
Gross Profit	2.35B	1.56B	2.99B	2.26B	2.20B	1.59B
EBITDA	886.26M	827.32M	974.32M	731.79M	659.12M	534.62M
Net Income	164.04M	121.47M	241.68M	95.73M	52.38M	11.90M
Balance Sheet
Total Assets	0	8.34B	7.75B	7.74B	7.26B	6.77B
Cash, Cash Equivalents and Short-Term Investments	31.10M	31.10M	198.53M	196.79M	219.46M	263.08M
Total Debt	0	1.45B	1.51B	1.38B	1.21B	1.00B
Total Liabilities	-4.67B	3.68B	3.09B	3.27B	2.87B	2.38B
Stockholders Equity	4.67B	4.67B	4.66B	4.47B	4.40B	4.38B
Cash Flow
Free Cash Flow	112.89M	54.54M	100.93M	-33.75M	-20.07M	365.87M
Operating Cash Flow	461.47M	829.63M	938.19M	503.43M	340.34M	727.67M
Investing Cash Flow	-196.46M	-634.71M	-900.55M	-511.91M	-316.10M	-545.76M
Financing Cash Flow	-231.59M	-192.79M	-50.65M	1.12M	-35.60M	-237.06M

Igarashi Motors India Limited Technical Analysis

Technical Analysis SentimentNeutral

Last Price375.30

Price Trends

50DMA398.46Negative

100DMA427.88Negative

200DMA394.88Negative

Market Momentum

MACD-7.69Negative

RSI46.43Neutral

STOCH37.54Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:IGARASHI, the sentiment is Neutral. The current price of 375.30 is above the 20-day moving average (MA) of 375.00, below the 50-day MA of 398.46, and below the 200-day MA of 394.88, indicating a neutral trend. The MACD of -7.69 indicates Negative momentum. The RSI at 46.43 is Neutral, neither overbought nor oversold. The STOCH value of 37.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:IGARASHI.

Igarashi Motors India Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:IGARASHI against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:SUBROS	67Neutral	INR 39.59B	23.56	―	0.49%	13.78%	6.49%
IN:INDNIPPON	67Neutral	INR 26.62B	24.80	―	1.23%	30.04%	31.64%
IN:LUMAXIND	65Neutral	INR 51.88B	26.02	―	0.97%	28.77%	36.46%
IN:MSUMI	64Neutral	INR 258.97B	37.39	―	1.49%	35.93%	11.75%
IN:PRICOLLTD	63Neutral	INR 87.78B	30.95	―	0.27%	39.18%	51.96%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:IGARASHI	47Neutral	INR 11.82B	72.02	―	0.35%	15.07%	19.60%

* General Sector Average

Performance Comparison

IN:IGARASHI and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:IGARASHI	Igarashi Motors India Limited	375.30	-105.24	-21.90%
IN:INDNIPPON	India Nippon Electricals Limited	1258.10	345.75	37.90%
IN:LUMAXIND	Lumax Industries Limited	5673.70	812.43	16.71%
IN:MSUMI	Motherson Sumi Wiring India Ltd	38.87	-8.43	-17.83%
IN:PRICOLLTD	Pricol Ltd.	734.35	146.40	24.90%
IN:SUBROS	Subros Limited	615.10	-275.98	-30.97%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Sep 23, 2026

Igarashi Motors India Limited AI Stock Analysis