Smallcap auto ancillary stock surges 49% in 1 week; up 119% from April low

Lumax Auto Technologies hit a new high of ₹992.20, rallied 49% in the past one week, after the company reported better than expected earnings for the quarter ended March 2025.

Share price of Lumax Auto Technologies today

 

Shares of Lumax Auto Technologies hit a new high of ₹992.20, as they surged 5.5 per cent on the BSE in Wednesday’s intra-day trade. The stock price of this smallcap auto ancillary company was quoting higher for the fifth straight trading day after the company reported a better than expected earnings for the quarter ended March 2025 (Q4FY25). 

 

In the past one week, the stock has rallied 49 per cent, as compared to 0.60 per cent decline in the BSE Sensex. With the past one week’s up move, the market price of Lumax Auto Technologies has more-than-doubled or zoomed 119 per cent from its 2-month low of ₹452.55 touched on April 7, 2025.

 

At 01:58 PM; Lumax Auto Technologies stock was trading 4.3 per cent higher at ₹980.50, as against 0.32 per cent rise in the BSE Sensex.   READ STOCK MARKET UPDATES TODAY LIVE

 

Lumax Auto Technologies Q4 & FY25 results

 

Lumax Auto Technologies, a leading automotive component manufacturer, showcased strong operational performance and strategic expansion through inorganic growth initiatives through its March quarter earnings. The company recorded its highest-ever annual revenue and earnings before interest, tax, depreciation and amortisation (Ebitda), and surpassed the ₹1,000 crore mark in quarterly revenue for the first time.

 

Lumax Auto Technologies posted robust Q4FY25. The company’s consolidated revenue reached ₹1,133 crore, marking a 50 per cent year-on-year (YoY) growth from ₹757 crore in Q4FY24. Profit before tax jumped 74 per cent YoY to ₹108 crore from ₹62 crore in a year ago quarter. Ebitda margin improved to 14.6 per cent from 14.5 per cent.

 

Strategic Inorganic Growth Initiatives

 

Lumax Auto Technologies accelerated its inorganic growth strategy through strategic acquisitions and partnerships. During the financial year, the company invested ₹48 crore in Optionally Convertible Redeemable Debentures in its wholly-owned subsidiary Lumax Resources Private Limited, which subsequently acquired a 60 per cent controlling stake in Greenfuel Energy Solutions Private Limited for ₹153 crore, marking the company's strategic entry into the alternative fuels business.  ALSO READ | RVNL, Vodafone Idea see huge long build-up; ABFRL open bets jump over 100%

 

Post the year-end, the board approved the acquisition of the remaining 25 per cent stake in IAC International Automotive India Private Limited (IAC India) for ₹221 crore, making it a wholly-owned subsidiary and strengthening the company's market position in automotive components. IAC India recently inaugurated two state-of-the-art manufacturing facilities at Chakan, Pune, for the BEV models of Mahindra & Mahindra – BE6 & XEV9e.

 

Outlook & brokerage view on Lumax Auto Tech

 

With a robust balance sheet, strategic acquisitions, and expanding product portfolio, Lumax Auto Technologies said the company is well-positioned to capitalize on the growing automotive market and emerging mobility solutions.

 

Given the healthy order book led by double digit growth prospects, stable margin profile, earnings accretive value conscious acquisitions and impressive return ratios matrix, analysts maintain their positive view on the company. 

 

The company has a robust ₹ 1,300 crore order book and offers multi-year visibility - 26 per cent contribution expected in FY26, 42 per cent in FY27, and 32 per cent in FY28. New order wins include cockpits for Mahindra’s Thar Roxx, BE6, and XEV9e, and gear shifters/antennas for Honda’s Amaze. 

 

Engagements with Tata Motors and Maruti for cockpit and door panel supplies are underway, targeting deeper penetration beyond the ~90–95 per cent wallet share with Mahindra. Analysts at Choice Broking expect revenue to grow 24 per cent in FY26 with 14.8 per cent EBITDA margin, followed by 20 per cent growth and 15.3 per cent margin in FY27.

 

The brokerage firm maintains a 'BUY' rating on Lumax with a revised target price of ₹ 1,375 (earlier ₹ 851), as analysts re-rate the stock on a higher PE multiple of 25x FY27E EPS (vs. 20x earlier). The re-rating is supported by a 30.0 per cent/30.3 per cent upward revision in FY26/FY27 EPS estimates, driven by strong visibility on growth and profitability, the brokerage firm said in the Q4 result update.  ALSO READ | Microcap aerospace & defence stock zooms 36% in 2 days; here's why

 

The company’s robust order book ensures healthy revenue visibility over the years, while a reduction in minority interest in consolidated earnings - from 23 per cent to 10–11 per cent by FY26 - improves earnings retention. Profitability is further supported by full consolidation of high-margin subsidiary Green Fuel, contributing ~8–10 per cent of revenues with EBITDA margins of 19–22 per cent. A healthy balance sheet with a debt-equity (D/E) ratio below 0.5x adds to the comfort, though any large acquisition could temporarily increase leverage. Strong traction from premium products and deeper penetration across OEMs reinforces the growth outlook and supports the valuation re-rating, the brokerage firm said.

 

About Lumax Auto Technologies

 

Lumax Auto Technologies through its subsidiaries has been a manufacturer of wide range of products (Advance Plastics, 2/3-wheeler Lighting, Chassis, Gear Shifter, Shift Towers, Emission Systems, Seat Frames, Oxygen Sensors, On-board antennas Electric devices & components, Wiring Harness, Vehicle Interior Components & CNG delivery systems). 

 

The company is a market leader in Design, Testing and Manufacturing of Gear Shifters & Interior Solutions in India. The company has a robust pan-India distribution network with 30 manufacturing plants across India in all major Auto clusters.

 

The company’s key customers include Mahindra & Mahindra, Bajaj Auto, Maruti Suzuki, Honda Motorcycles and Scooters, Tata Motors, Daimler India and Volkswagen.