Schaeffler India Ltd (SCHAEFFLER) AI Stock Analysis

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Schaeffler India Ltd

(NSE:SCHAEFFLER)

Select Model

Rating:67Neutral

Price Target:INR 3,861.00▲(7.74% Upside)

Action:downgraded

Date:11/06/26

The overall score of 67 reflects a strong fundamental business facing near-term market headwinds. The company's financial performance is a major strength, with robust growth, a pristine balance sheet, and excellent cash flow. However, this is significantly offset by weak technicals, as the stock is in a clear downtrend across all major moving averages, and a stretched valuation with a P/E over 42. The bearish price momentum and high valuation multiple are the primary factors weighing on the score.

Positive Factors

Revenue Growth and ProfitabilityRevenue expansion alongside consistently healthy net and EBIT margins indicates established demand, pricing power and cost control. This combination supports durable earnings capacity and provides a stronger base for investment and resilience over the next several quarters.

Negative Factors

Uneven Cash ConversionVolatile cash conversion makes internally generated funding less predictable even when reported profits remain strong. Large year-to-year swings can complicate capital allocation and may reduce flexibility if working-capital needs or capital spending rise during weaker operating periods.

Schaeffler India Ltd (SCHAEFFLER) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 560.44B
Dividend Yield: 0.98%
Average Volume (3M): 27.90K
Price to Earnings (P/E): 42.7
Beta (1Y): 0.90
Revenue Growth: 22.67%
EPS Growth: 23.28%
Country: India
Employees: 2,922
Sector: General
Sector Strength: 55
Industry: Auto - Parts

Schaeffler India Ltd Business Overview & Revenue Model

Company Description

Schaeffler India Limited is a global manufacturer and supplier specializing in precision-engineered ball and roller bearings, along with associated components. Its extensive bearing portfolio encompasses spherical, cylindrical, tapered, and ball bear...

Schaeffler India Ltd Financial Statement Overview

Summary

The company exhibits excellent financial health, driven by a 10.3% revenue increase and 22.5% net income growth. An exceptionally strong balance sheet with minimal debt (1.6% debt-to-equity) and robust cash flow generation (₹9.4B free cash flow) provide significant resilience. The only minor concern is gross margin compression, which has been effectively managed through cost controls.

Income Statement

85Very Positive

Balance Sheet

95Very Positive

Cash Flow

90Very Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	111.60B	96.86B	82.32B	72.51B	68.67B	55.61B
Gross Profit	32.47B	28.01B	30.49B	27.28B	25.99B	20.98B
EBITDA	21.21B	19.11B	14.45B	13.26B	12.98B	9.90B
Net Income	13.13B	11.50B	9.39B	8.99B	8.79B	6.29B
Balance Sheet
Total Assets	0	82.13B	68.83B	62.67B	57.27B	48.96B
Cash, Cash Equivalents and Short-Term Investments	15.07B	18.44B	13.33B	15.62B	15.13B	13.56B
Total Debt	0	546.70M	555.30M	511.00M	573.20M	607.00M
Total Liabilities	-61.47B	21.65B	15.48B	14.61B	14.41B	12.43B
Stockholders Equity	61.47B	60.48B	53.34B	48.05B	42.86B	36.54B
Cash Flow
Free Cash Flow	3.96B	9.42B	958.50M	3.64B	2.67B	2.82B
Operating Cash Flow	5.79B	14.06B	8.40B	8.84B	7.51B	4.65B
Investing Cash Flow	-2.71B	-4.58B	-245.70M	-5.95B	-5.35B	-3.42B
Financing Cash Flow	-86.20M	-4.48B	-4.21B	-3.86B	-2.57B	-1.27B

Schaeffler India Ltd Technical Analysis

Technical Analysis SentimentNeutral

Last Price3583.65

Price Trends

50DMA3775.32Negative

100DMA3940.31Negative

200DMA3964.89Negative

Market Momentum

MACD-62.88Negative

RSI45.56Neutral

STOCH54.45Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SCHAEFFLER, the sentiment is Neutral. The current price of 3583.65 is above the 20-day moving average (MA) of 3564.88, below the 50-day MA of 3775.32, and below the 200-day MA of 3964.89, indicating a neutral trend. The MACD of -62.88 indicates Negative momentum. The RSI at 45.56 is Neutral, neither overbought nor oversold. The STOCH value of 54.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:SCHAEFFLER.

Schaeffler India Ltd Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:SCHAEFFLER against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:CEATLTD	68Neutral	INR 143.41B	27.69	―	0.99%	24.48%	4.36%
IN:SONACOMS	68Neutral	INR 573.91B	76.58	―	0.37%	42.13%	21.66%
IN:SCHAEFFLER	67Neutral	INR 560.14B	42.69	―	0.98%	22.67%	23.28%
IN:BHARATFORG	64Neutral	INR 856.88B	122.58	―	0.49%	20.38%	-36.88%
IN:NRBBEARING	62Neutral	INR 41.24B	29.02	―	1.87%	17.11%	54.72%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:JTEKTINDIA	40Underperform	INR 34.07B	47.67	―	0.61%	23.18%	-3.39%

* General Sector Average

Performance Comparison

IN:SCHAEFFLER and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:SCHAEFFLER	Schaeffler India Ltd	3583.65	-544.64	-13.19%
IN:BHARATFORG	Bharat Forge Ltd	1753.50	375.61	27.26%
IN:CEATLTD	CEAT Limited	3545.35	-440.21	-11.05%
IN:JTEKTINDIA	JTEKT India Limited	122.85	-34.31	-21.83%
IN:NRBBEARING	NRB Bearings Ltd.	425.45	143.85	51.09%
IN:SONACOMS	Sona BLW Precision Forgings Ltd.	918.00	435.08	90.09%

Schaeffler India Ltd Corporate Events

Schaeffler India Submits November 2026 Investor Presentation

Nov 1, 2026

Schaeffler India, a supplier of automotive and industrial motion technology products, including bearings and precision components, submitted its November 2026 investor presentation to the stock exchanges under applicable securities regulations.The fi...

Schaeffler India Faces GST Penalty, Plans Appeal Over Input Tax Credit Dispute

Oct 27, 2026

Schaeffler India has disclosed that it received a GST demand order from the Adjudication Branch of CGST & Central Excise in Indore on October 22, 2026, covering audits for financial years 2020-21 to 2023-24. The order relates to tractor parts supplie...

Schaeffler India to Announce Q3 FY26 Results and Host Earnings Call

Oct 21, 2026

Schaeffler India Limited will announce its unaudited financial results for the third quarter and nine‑month period ended September 30, 2026, on October 27, 2026. The listed bearings and motion‑technology manufacturer maintains an active investor‑rela...

Schaeffler India CEO held over fatal plant accident; operations said to remain normal

Oct 20, 2026

Schaeffler India disclosed that its CEO and Managing Director, Harsha Gopal Kadam, has been taken into custody by the Talegaon MIDC Police under the Bharatiya Nyaya Sanhita in connection with a June 9, 2026 accident at the company’s Talegaon factory,...

Schaeffler India Receives Independent ESG Score of 65

Sep 23, 2026

Schaeffler India Limited disclosed that ESG Risk Assessments & Insights Limited has assigned the company an ESG score of 65, based on the company’s disclosures and other publicly available information. The rating agency independently prepared and vol...

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: Nov 06, 2026

Schaeffler India Ltd AI Stock Analysis