Stock Performance and Market Context
On 19 Jan 2026, Igarashi Motors India Ltd’s stock price touched an intraday low of Rs.370.55, representing a decline of 3.68% on the day. This fall follows a sustained downtrend, with the stock losing value for ten consecutive trading sessions, resulting in a cumulative return of -20.32% over this period. The stock opened the day with a gap down of 3.68%, reflecting continued selling pressure.
The current price is substantially below the stock’s 52-week high of Rs.704.95, indicating a depreciation of nearly 47.4% from that peak. Additionally, the stock is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, underscoring the prevailing bearish momentum.
In comparison, the broader market has shown relative resilience. The Sensex, despite a negative close at 83,122.87 points (down 0.54% or 371.62 points), remains within 3.65% of its 52-week high of 86,159.02. However, the Sensex has experienced a three-week consecutive decline, losing 3.08% in that timeframe, indicating some broader market weakness.
Financial Performance and Valuation Metrics
Over the past year, Igarashi Motors India Ltd has delivered a total return of -42.92%, significantly underperforming the Sensex’s positive 8.50% return during the same period. This underperformance extends to longer time horizons as well, with the stock lagging the BSE500 index over the last three years, one year, and three months.
The company’s net sales have grown at a modest compound annual growth rate (CAGR) of 12.34% over the last five years, which is considered subdued within the auto components sector. Profitability has also been under pressure, with the profit after tax (PAT) for the nine months ended September 2025 declining by 52.06% to Rs.10.11 crore. Over the past year, profits have fallen by 32.6%, reflecting challenges in maintaining earnings growth.
Return on capital employed (ROCE) stands at 5.3%, indicating moderate capital efficiency. The enterprise value to capital employed ratio is 2.2, suggesting a fair valuation relative to the company’s capital base. Despite this, the stock is trading at a discount compared to the average historical valuations of its peers in the auto components and equipment sector.
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Shareholding and Sectoral Positioning
The majority shareholding of Igarashi Motors India Ltd is held by promoters, indicating concentrated ownership. The company operates within the Auto Components & Equipments industry and sector, which has witnessed mixed performance amid evolving automotive demand and supply chain dynamics.
Despite the stock’s recent decline, it remains a part of the auto components sector, which has seen varied performance across companies depending on product mix, client base, and geographic exposure. Igarashi Motors’ valuation metrics suggest it is trading at a discount relative to peers, though this is reflective of its subdued growth and profitability trends.
Recent Rating and Market Sentiment
MarketsMOJO assigns Igarashi Motors India Ltd a Mojo Score of 34.0, with a current Mojo Grade of Sell. This represents an upgrade from a previous Strong Sell rating as of 11 Nov 2025, indicating a slight improvement in outlook, albeit still negative. The market capitalisation grade stands at 3, reflecting the company’s mid-tier size within the sector.
On the day of the new 52-week low, the stock’s performance was in line with the sector’s movement, suggesting sector-wide pressures may be influencing price action alongside company-specific factors.
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Summary of Key Metrics
To summarise, Igarashi Motors India Ltd’s stock has declined to Rs.370.55, its lowest level in 52 weeks, following a sustained period of negative returns and earnings contraction. The stock’s valuation metrics indicate a discount relative to peers, but this is accompanied by modest sales growth and declining profitability. The company’s ROCE of 5.3% and enterprise value to capital employed ratio of 2.2 reflect fair valuation but limited capital efficiency.
The broader market context shows some weakness in the Sensex, which has declined over the past three weeks, though it remains near its 52-week high. Igarashi Motors’ underperformance relative to the Sensex and BSE500 indices highlights the challenges faced by the company within its sector.
Investors and analysts will continue to monitor the stock’s price action and financial results to assess any changes in trend or valuation dynamics.
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