Gabriel India soars 13% on heavy volumes; up 45% in 1 year, outruns market

The auto-component maker has an ambitious vision to be among the Top Five Shock Absorber Manufacturers in the World and is relentlessly working towards it.

Shares of Gabriel India soared up to 13 per cent to Rs 501 on the BSE in Wednesday’s intra-day trade on the back of over 8-fold jump in trading volumes today. In the past one year, the stock of this auto ancillary company has outperformed the market by surging 45 per cent. In comparison, the BSE Sensex was down 0.11 per cent and BSE Smallcap index slipped 2 per cent. The BSE Auto index dipped 4 per cent during the same period. 

 

At 02:18 pm; Gabriel India was quoting 12 per cent higher at Rs 497.35, as against 0.9 per cent rise in the BSE Sensex. As many as a combined 2.56 million equity shares representing 1.8 per cent of total equity of the company changed hands on the NSE and BSE. The stock had hit a 52-week high of Rs 559.40 on September 6, 2024.

 

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Gabriel is the leading manufacturer of shock absorbers for new-generation vehicles in the 2- & 3-wheelers, passenger cars, commercial vehicles and railways, and supplies to leading OEMs for electric vehicles (EVs). In 2023, the company diversified into sunroofs through a technical alliance with Inalfa Roof Systems B.V, Netherlands. The newly formed Inalfa Gabriel Sunroof Systems (IGSS) now manufactures and supplies sunroofs from its Chennai facility.

 

As the leading shock absorber manufacturer in the country, Gabriel India has established itself as a global player. The company has an ambitious vision to be among the Top Five Shock Absorber Manufacturers in the world and is relentlessly working towards it. While shock absorber manufacturing remains its core business, Gabriel India is also exploring diversification as a strategy to expand its operations. This diversification will enable the company to tap new markets and uncover fresh avenues for growth.

 

EV sales now comprise around 9 per cent of total sales, up from 3 per cent last year. With a dominant market share of over 60 per cent in the EV sector, the company serves all major models, including OLA, Ather, TVS, Ampere, and Okinawa.

 

To align with the company’s growth strategy, Gabriel recently acquired the machinery of Marelli Motherson Auto suspension for a consideration of Rs 60 crore.

 

Gabriel’s expansion in the EV space will support volume growth in the long run with the new strategy and subsidiary “ANEVOLVE” EV to expand EV products through partnerships. In addition, the expansion in the sunroof business with Inalfa and leveraging the existing relationship to enhance global footprint is likely to support overall valuation, said analysts at Geojit Financial Services.

 

Meanwhile, the automobile sector is experiencing weaker demand in passenger vehicles and two-wheelers, even as EV adoption picks up. Export markets remain sluggish, with weak demand in Europe and the US impacting OEM production and sales outlooks.

 

“Volume momentum has slowed across automobile categories in February 2025 after the strong festive growth, with 2W decline lower than that for PVs/CVs. TVS Motor and Eicher Motors continue to gain market share with strong product actions and pricing discipline, while exports revive as macro challenges ease,” analysts at Emkay Global Financial Services said in the auto sector update.