Sandhar Technologies Ltd. (SANDHAR) AI Stock Analysis

Sandhar Technologies Ltd.

(NSE:SANDHAR)

Select Model

Rating:52Neutral

Price Target:INR 461.00▲(1.35% Upside)

Action:reiterated

Date:10/24/26

The score is primarily constrained by weakening cash generation (negative free cash flow in 2025–2026) alongside rising leverage, and a clearly bearish technical trend with negative momentum. These are partially offset by solid revenue growth/improving ROE and a reasonable valuation (P/E ~13).

Positive Factors

Revenue Scale and GrowthThe substantial increase in revenue demonstrates expanding business scale and sustained demand for Sandhar’s automotive components. Continued growth can improve operating leverage, strengthen OEM program relevance, and provide a broader base for future earnings generation.

Negative Factors

Rising LeverageThe sharp increase in debt and leverage reduces financial flexibility and makes the company more exposed to weaker vehicle demand or higher costs. Greater obligations can also constrain investment choices and place more pressure on cash generation as the business expands.

Sandhar Technologies Ltd. (SANDHAR) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 37.97B
Dividend Yield: 0.88%
Average Volume (3M): 9,442
Price to Earnings (P/E): 13.2
Beta (1Y): 1.51
Revenue Growth: 26.63%
EPS Growth: 47.89%
Country: India
Employees: 1,253
Sector: General
Sector Strength: 55
Industry: Auto - Parts

Sandhar Technologies Ltd. Business Overview & Revenue Model

Company Description

Sandhar Technologies Limited, operating through its subsidiaries, specializes in the comprehensive design, production, assembly, and sale of a diverse range of automotive components across India and Europe. Its extensive product portfolio includes vi...

How the Company Makes Money

Sandhar Technologies primarily makes money by manufacturing and supplying automotive components and sub-assemblies to vehicle original equipment manufacturers (OEMs) and, to a lesser extent, to other tiered suppliers. Revenue is largely generated thr...

Sandhar Technologies Ltd. Financial Statement Overview

Summary

Strong multi-year revenue growth and improving ROE support the score, but financial quality is held back by rising leverage (debt-to-equity up to ~0.86) and weak cash conversion. Operating cash flow has declined recently and free cash flow was negative in 2025–2026, increasing financial risk despite steady operating margins.

Income Statement

72Positive

Balance Sheet

64Positive

Cash Flow

38Negative

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	51.44B	48.52B	38.85B	35.21B	29.09B	23.24B
Gross Profit	14.39B	9.85B	15.00B	3.27B	10.82B	6.97B
EBITDA	5.19B	5.18B	3.83B	3.51B	2.60B	2.12B
Net Income	2.08B	1.99B	1.42B	1.10B	729.69M	557.29M
Balance Sheet
Total Assets	0	34.76B	27.90B	24.27B	21.55B	19.75B
Cash, Cash Equivalents and Short-Term Investments	521.19M	521.19M	822.65M	432.78M	126.37M	99.56M
Total Debt	0	11.48B	9.24B	7.41B	6.66B	6.14B
Total Liabilities	-13.33B	21.43B	16.51B	14.11B	12.30B	11.12B
Stockholders Equity	13.33B	13.33B	11.39B	10.17B	9.20B	8.59B
Cash Flow
Free Cash Flow	-752.99M	-1.48B	-692.08M	375.91M	512.52M	-2.48B
Operating Cash Flow	947.75M	1.50B	2.47B	2.75B	3.08B	486.25M
Investing Cash Flow	-793.74M	-2.23B	-2.90B	-2.39B	-2.48B	-3.11B
Financing Cash Flow	-359.02M	900.00M	1.01B	-71.35M	-368.89M	2.60B

Sandhar Technologies Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price454.85

Price Trends

50DMA572.82Negative

100DMA612.05Negative

200DMA567.94Negative

Market Momentum

MACD-34.00Positive

RSI26.94Positive

STOCH13.87Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SANDHAR, the sentiment is Negative. The current price of 454.85 is below the 20-day moving average (MA) of 507.26, below the 50-day MA of 572.82, and below the 200-day MA of 567.94, indicating a bearish trend. The MACD of -34.00 indicates Positive momentum. The RSI at 26.94 is Positive, neither overbought nor oversold. The STOCH value of 13.87 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SANDHAR.

Sandhar Technologies Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:SANDHAR against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:ENDURANCE	70Outperform	INR 319.65B	34.08	―	0.49%	29.35%	12.93%
IN:BOSCHLTD	69Neutral	INR 1.39T	60.03	―	0.56%	13.63%	-11.32%
IN:MINDACORP	68Neutral	INR 151.03B	30.96	―	0.21%	26.59%	96.82%
IN:VARROC	68Neutral	INR 117.48B	61.53	―	0.19%	14.66%	47.32%
IN:MOTHERSON	68Neutral	INR 1.67T	38.31	―	0.38%	14.02%	32.06%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:SANDHAR	52Neutral	INR 26.81B	13.17	―	0.88%	26.63%	47.89%

* General Sector Average

Performance Comparison

IN:SANDHAR and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:SANDHAR	Sandhar Technologies Ltd.	454.85	-85.63	-15.84%
IN:BOSCHLTD	Bosch Limited	47896.65	10287.32	27.35%
IN:ENDURANCE	Endurance Technologies Ltd.	2350.00	-539.60	-18.67%
IN:MINDACORP	Minda Corp. Ltd.	657.90	67.31	11.40%
IN:MOTHERSON	Samvardhana Motherson International Limited	158.75	54.80	52.72%
IN:VARROC	Varroc Engineering Limited	792.35	167.68	26.84%

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: Oct 24, 2026

Sandhar Technologies Ltd. AI Stock Analysis