Bosch, JBM Auto, Igarashi rally up to 12%; why are OEM shares in demand?

Samvardhana Motherson, JBM Auto, Craftsman Automation, Lumax Auto, Jamna Auto, Sansera, SJS Ent and Rico Auto from the auto parts sector hit 52-week highs in trade on Friday.

Share prices of auto ancillary companies today

 

Shares of auto components & equipment companies were in demand and rallied up to 12 per cent amid heavy volumes as auto wholesales remained strong in December 2025 and surpassed analyst’s expectations for quite a few original equipment manufacturers (OEMs).

 

Igarashi Motors India, Jay Bharat Maruti, Jamna Auto Industries, MM Forgings, JBM Auto, Munjal Auto Industries, Federal-Mogul Goetze (India), Ramkrishna Forgings, Sansera Engineering, RACL Geartech, Jtekt India, Rolex Rings and Bosch surged up to 12 per cent on the BSE in intra-day trade. In comparison, the BSE Sensex was up 0.39 per cent at 85,518 at 11:14 AM.

 

 

Among individual stocks, Igarashi Motors India soared 12 per cent to ₹494 on the back of a multiple-fold jump in the average trading volumes. A combined 3.2 million equity shares changed hands on the NSE and BSE. In the past two weeks, on an average a combined sub 60,000 shares were traded on these exchanges. The stock had hit a 52-week high of ₹759 on January 2, 2025 and a 52-week low of ₹401.65 on April 7, 2025.

 

Share price of Bosch rallied 7 per cent to ₹38,650 and JBM Auto 8 per cent to ₹673.20 on the BSE in intra-day deal.

 

Meanwhile, Samvardhana Motherson International, JBM Auto, Craftsman Automation, Lumax Auto Technologies, Jamna Auto Industries, Sansera Engineering, SJS Enterprises and Rico Auto Industries from the auto parts sector hit their respective 52-week highs.  CATCH STOCK MARKET UPDATES TODAY LIVE

What’s driving auto ancillary stocks?

 

India’s automotive OEMs posted healthy volume prints for December 2025. It was primarily driven by sustained demand momentum led by GST rate cuts, which lowered the vehicle prices, according to analysts.

 

Following the GST rationalization, demand has picked up across segments and seems to have remained intact even after the festive season. A notable trend is that entry-level vehicles, both two wheelers (2Ws) and passenger vehicles (PVs) are seeing a marked pickup in demand. Further, wholesales were strong in December 2025, and retails were equally healthy across most segments. Thus, OEMs are likely to have ended 2025 with lean inventory. This would help them sustain the volume momentum in January to March 2026 quarter (Q4FY26) as well, according to analysts at Motilal Oswal Financial Services.

 

Domestic OEM revenues for auto ancillaries are likely to grow at 8-10 per cent in FY2026. Increase in vehicle parc (all automotive vehicles in use at any given time), higher average age of vehicles/used car purchases, preventive maintenance and growth in organised spares, among other reasons, are likely to aid replacement market revenue growth of 9-11 per cent in FY2026. The GST rationalisation is also expected to improve affordability and support demand for both OE and replacements, according to ICRA.

 

ICRA expects near-term, large-scale disruptions to be mitigated to a large extent, given the longer lead time associated with product development and validation in the automotive industry, and safety critical nature of products supplied by some auto component exporters.  ALSO READ | Ola Electric share price zooms 9% on January 2; should you hold or sell? 

Bosch’s management in the Q2 earnings conference said the global macroeconomic environment remains choppy, with tariff frictions and geopolitical tensions, but India shows impressive resilience backed by policy support and strong consumption trend. Management underlined that industry growth is now driven by features, comfort and safety rather than regulation-led spikes, which increases per-vehicle content opportunities.

 

Meanwhile, CARE Rating expects that the Jamna Auto Industries will continue to benefit from its leadership in leaf springs and strong business share from major OEMs resulting into sustained growth in revenue.

 

The company is a leader in the M&HCV leaf springs market, holding a market share of around 62-65 per cent. It has established  robust business relationships and has a strong share of business with all major OEMs including Tata Motors, Ashok Leyland, Daimler India, Volvo etc. With strong relationships across all OEMs, Jamna Auto Industries is expected to maintain its market position going forward as well, according to the rating agency.  ============================  Disclaimer: View and outlook shared on the stock belong to the respective brokerages and are not endorsed by Business Standard. Readers discretion is advised.