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Munjal Showa Limited (IN:MUNJALSHOW)
:MUNJALSHOW
India Market
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Munjal Showa Limited (MUNJALSHOW) AI Stock Analysis

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IN:MUNJALSHOW

Munjal Showa Limited

(MUNJALSHOW)

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Neutral 57 (OpenAI - Gpt-5.6Sol)
Rating:57Neutral
Price Target:
₹134.00
▲(6.86% Upside)
Action:Reiterated
Date:09/06/26
The score is driven primarily by mixed financial performance: a strong, debt-free balance sheet and recent revenue growth are offset by uneven profitability and especially volatile cash flows with negative OCF/FCF in FY2026. Technical indicators add a near-term headwind (negative MACD, sub-50 RSI, and price below key short-term averages). Valuation is moderately supportive due to a solid dividend yield, but the P/E is not low enough to fully offset the cash-flow and momentum concerns.
Positive Factors
Debt-Free Balance Sheet
A debt-free balance sheet reduces financial risk and interest burdens, giving Munjal Showa greater flexibility to fund capacity, technology, or working-capital needs. Stable-to-growing equity also provides resilience if automotive demand or operating conditions weaken over the next several quarters.
Negative Factors
Volatile Cash Generation
Negative operating and free cash flow in FY2026 shows that reported earnings are not converting consistently into cash. Repeated swings between positive and negative free cash flow can constrain internally funded investment, increase working-capital pressure, and reduce financial flexibility.
Read all positive and negative factors
Positive Factors
Negative Factors
Debt-Free Balance Sheet
A debt-free balance sheet reduces financial risk and interest burdens, giving Munjal Showa greater flexibility to fund capacity, technology, or working-capital needs. Stable-to-growing equity also provides resilience if automotive demand or operating conditions weaken over the next several quarters.
Read all positive factors

Munjal Showa Limited (MUNJALSHOW) vs. iShares MSCI India ETF (INDA)

Munjal Showa Limited Business Overview & Revenue Model

Company Description
Munjal Showa Limited manufactures and sells auto components for the two-wheeler and four-wheeler industry primarily in India and internationally. Its products include front forks, shock absorbers, struts, gas springs, and window balancers, as well...
How the Company Makes Money
Munjal Showa Limited primarily makes money by manufacturing and selling suspension components—mainly shock absorbers/struts and front forks—used in automobiles, with a strong emphasis on two-wheeler applications. Its key revenue streams are: (1) O...

Munjal Showa Limited Financial Statement Overview

Summary
Mixed fundamentals. Revenue growth has been positive for the last two years (~6% in FY2026 and ~6.6% in FY2025) and the balance sheet is strong with zero debt, but profitability is only moderate with uneven operating performance and net income declining in FY2026 vs FY2025. The biggest drag is cash flow volatility, with operating cash flow and free cash flow turning negative in FY2026 after being strongly positive in FY2025.
Income Statement
62
Positive
Balance Sheet
86
Very Positive
Cash Flow
34
Negative
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue13.77B13.15B12.50B11.73B12.41B10.60B
Gross Profit2.02B1.60B1.48B2.56B2.19B439.55M
EBITDA297.52M403.03M471.72M487.95M541.50M265.46M
Net Income248.16M218.72M288.70M307.66M319.03M121.50M
Balance Sheet
Total Assets0.008.65B8.28B8.11B8.11B7.86B
Cash, Cash Equivalents and Short-Term Investments3.19B3.20B3.47B2.82B2.66B2.60B
Total Debt0.000.000.000.000.000.00
Total Liabilities-6.78B1.87B1.54B1.46B1.59B1.48B
Stockholders Equity6.78B6.78B6.74B6.64B6.51B6.37B
Cash Flow
Free Cash Flow-418.60M-193.99M351.79M71.87M-58.35M224.25M
Operating Cash Flow-393.93M-128.34M419.84M114.19M64.38M299.40M
Investing Cash Flow355.94M58.21M-153.68M186.78M1.59M-52.61M
Financing Cash Flow-179.16M-180.18M-179.86M-180.35M-180.77M-180.64M

Munjal Showa Limited Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price125.40
Price Trends
50DMA
131.87
Negative
100DMA
129.73
Negative
200DMA
124.78
Positive
Market Momentum
MACD
-0.97
Positive
RSI
43.10
Neutral
STOCH
8.09
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:MUNJALSHOW, the sentiment is Neutral. The current price of 125.4 is below the 20-day moving average (MA) of 132.49, below the 50-day MA of 131.87, and above the 200-day MA of 124.78, indicating a neutral trend. The MACD of -0.97 indicates Positive momentum. The RSI at 43.10 is Neutral, neither overbought nor oversold. The STOCH value of 8.09 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:MUNJALSHOW.

Munjal Showa Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
₹50.60B22.001.63%15.89%29.90%
70
Outperform
₹388.36B39.670.42%29.35%12.93%
65
Neutral
₹55.24B17.291.27%20.77%4.95%
62
Neutral
₹38.43B32.271.15%42.06%323.98%
61
Neutral
₹242.10B71.960.36%18.48%11.21%
57
Neutral
₹5.18B20.733.49%12.33%-1.65%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:MUNJALSHOW
Munjal Showa Limited
128.85
-8.04
-5.87%
IN:ENDURANCE
Endurance Technologies Ltd.
2,733.60
-234.18
-7.89%
IN:GABRIEL
Gabriel India Limited
1,389.50
136.21
10.87%
IN:JAMNAAUTO
Jamna Auto Industries Limited
128.95
20.52
18.92%
IN:LGBBROSLTD
L.G. Balakrishnan & Bros Ltd.
1,737.45
413.15
31.20%
IN:RML
Rane (Madras) Limited
1,389.00
544.60
64.49%
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 06, 2026