LGB Forge

Why is LGB Forge Ltd falling/rising?

As of 11-Aug, LGB Forge Ltd's stock price is rising to 5.71, reflecting a 0.18% increase and outperforming its sector. Increased investor participation and a positive short-term trend indicate heightened interest, despite longer-term declines.

As of 11-Aug, LGB Forge Ltd's stock price is rising, currently at 5.71, reflecting a change of 0.01 (0.18%) upward. The stock has shown a positive performance today, outperforming its sector by 2.82%. Additionally, it has been gaining for the last three days, with a total return of 3.41% during this period. <BR><BR>Investor participation has also increased, as evidenced by a significant rise in delivery volume, which has surged by 193.78% compared to the 5-day average. This indicates heightened interest and activity among investors. Furthermore, the stock's current price is higher than its 5-day, 20-day, and 50-day moving averages, suggesting a short-term upward trend. <BR><BR>Overall, these factors contribute to the stock's rising price, despite its longer-term performance showing declines over the year and beyond.

Should I buy, sell or hold LGB Forge Ltd?

Which are the latest news on LGB Forge?

When is the next results date for LGB Forge Ltd?

The next results date for LGB Forge Ltd is 10 August 2026.

The next results date for LGB Forge Ltd is scheduled for 10 August 2026.

What does LGB Forge do?

LGB Forge Ltd is a micro-cap manufacturer of cold and hot forged components in the auto industry, incorporated in 2006, with recent quarterly net sales of 26 Cr and a net loss of 1 Cr. The company has a market cap of INR 156 Cr and key financial metrics indicating a challenging performance.

Overview:<BR>LGB Forge Ltd is a manufacturer of cold and hot forged components operating in the auto components and equipment industry, categorized as a micro-cap company.<BR><BR>History:<BR>LGB Forge Ltd was incorporated as a public limited company on June 7, 2006. The company has evolved from the LGB Group of Industries, which was founded in 1937 as a transport company and transitioned into a diversified manufacturing entity. The latest quarterly results reported net sales and net profit for the period ending March 2026.<BR><BR>Financial Snapshot:<BR>- Net Sales: 26 Cr (Quarterly Results - Mar 2026)<BR>- Net Profit: -1 Cr (Quarterly Results - Mar 2026)<BR>- Market Cap: INR 156 Cr (Micro Cap)<BR><BR>Key Metrics:<BR>- P/E: N/A (Loss Making)<BR>- Industry P/E: 46<BR>- Dividend Yield: 0.00%<BR>- Debt-Equity: 1.67<BR>- Return on Equity: -9.34%<BR>- Price to Book: 9.59<BR><BR>Contact Details:<BR>Address: 6/16/13 Krishnarayapuram Road, Ganapathy Post Coimbatore Tamil Nadu : 641006 <BR>Tel: 91-422-2532325 <BR>Email: info@lgb.co.in <BR>Website: http://www.lgbforge.co.in

How big is LGB Forge?

As of 10th June, LGB Forge Ltd has a market capitalization of 156.00 Cr and reported Net Sales of 103.18 Cr with a Net Profit loss of 2.22 Cr over the latest four quarters. Shareholder's Funds were 18.29 Cr and Total Assets were 62.52 Cr as of March 2025.

As of 10th June, LGB Forge Ltd has a market capitalization of 156.00 Cr, categorizing it as a Micro Cap company.<BR><BR>In the latest four quarters, LGB Forge reported Net Sales of 103.18 Cr. However, the company experienced a loss of 2.22 Cr in Net Profit during the same period.<BR><BR>The latest annual period for the balance sheet is March 2025, where Shareholder's Funds amounted to 18.29 Cr and Total Assets were valued at 62.52 Cr.

Who are in the management team of LGB Forge?

The management team of LGB Forge includes Chairman B Vijayakumar, Managing Director V Rajvirdhan, and several independent directors, along with a company secretary. The team consists of a mix of executive and independent members responsible for governance and compliance.

The management team of LGB Forge includes the following individuals:<BR><BR>1. **B Vijayakumar** - Chairman (Non-Executive)<BR>2. **V Rajvirdhan** - Managing Director<BR>3. **P Shanmugasundaram** - Independent Director<BR>4. **P V Ramakrishnan** - Independent Director<BR>5. **Rajsri Vijayakumar** - Director<BR>6. **V. Ragupathi** - Director<BR>7. **A. Sampathkumar** - Director<BR>8. **B Vijayakumar** - Director (also serves as Chairman)<BR>9. **Premkumar Parthasarathy** - Independent Director<BR>10. **Sajeev Mathew Rajan** - Independent Director<BR>11. **Saravana Marthandam** - Independent Director<BR>12. **K. Kousalya** - Company Secretary & Compliance Officer<BR><BR>This team comprises a mix of executive and independent directors, along with a company secretary responsible for compliance.

Who are the peers of the LGB Forge?

LGB Forge's peers include Him Teknoforg., Simm. Marshall, Bharat Gears, Machino Plastics, IP Rings, Bhagwati Auto, SNL Bearings, Pritika Engineer, AVATAR Industrie, and Sintercom India. LGB Forge shows below-average management risk, poor growth, and the lowest 1-year return at -48.75% among its peers.

Peers: The peers of LGB Forge are Him Teknoforg., Simm. Marshall, Bharat Gears, Machino Plastics, IP Rings, Bhagwati Auto, SNL Bearings, Pritika Engineer, AVATAR Industrie, and Sintercom India.<BR><BR>Quality Snapshot: Below Average management risk is observed at Him Teknoforg., Simm. Marshall, Machino Plastics, IP Rings, LGB Forge, Pritika Engineer, AVATAR Industrie, and Sintercom India, while Average management risk is found at Bharat Gears and Bhagwati Auto. Good growth is noted at Machino Plastics, Bhagwati Auto, Pritika Engineer, and Sintercom India, while Below Average growth is seen at Him Teknoforg., Simm. Marshall, Bharat Gears, IP Rings, LGB Forge, and AVATAR Industrie. Average capital structure is present at Bhagwati Auto, while Below Average capital structure is found at Him Teknoforg., Simm. Marshall, Bharat Gears, Machino Plastics, IP Rings, LGB Forge, Pritika Engineer, and AVATAR Industrie, and Excellent capital structure is observed at SNL Bearings.<BR><BR>Return Snapshot: Bhagwati Auto has the highest 1-year return at 41.22%, while LGB Forge has the lowest at -48.75%, indicating a significantly poorer performance compared to its peers. Additionally, SNL Bearings and LGB Forge have negative six-month returns.

Are LGB Forge Ltd latest results good or bad?

LGB Forge Ltd's latest results are concerning, showing a net loss of ₹0.51 crore in Q4 FY26, a decline from the previous year's loss, despite a 7.23% revenue increase. The company faces significant operational challenges, highlighted by a sharp drop in operating margins and three consecutive quarterly losses.

LGB Forge Ltd's latest results indicate a challenging situation for the company. In the fourth quarter of FY26, the company reported a net loss of ₹0.51 crore, which is a deterioration compared to a loss of ₹0.40 crore in the same quarter last year. While revenue increased by 7.23% year-on-year to ₹25.66 crore, this growth has not translated into profitability, as the operating margin fell sharply to 2.61%, down from 6.04% in the previous quarter.<BR><BR>The company has now recorded three consecutive quarterly losses, raising concerns about its operational efficiency and cost structure. The return on equity is notably negative at -7.92%, indicating that shareholder value is being destroyed. Additionally, the company's high debt-to-equity ratio of 1.37 and negative interest coverage ratio suggest financial strain.<BR><BR>Overall, despite some revenue growth, the significant margin compression and ongoing losses point to a troubling financial outlook for LGB Forge. The combination of these factors leads to the conclusion that the latest results are not good and reflect deeper operational challenges that the company needs to address.

How has been the historical performance of LGB Forge?

LGB Forge has experienced declining net sales and profitability, with net sales dropping from 130.06 Cr in Mar'22 to 94.04 Cr in Mar'25, and operating profit turning negative by Mar'25. Despite a decrease in total assets and liabilities, cash flow from operating activities improved to 15.00 Cr in Mar'25.

Answer:<BR>The historical performance of LGB Forge shows a fluctuating trend in net sales and profitability over the years.<BR><BR>Breakdown:<BR>LGB Forge's net sales have seen a decline from 130.06 Cr in Mar'22 to 94.04 Cr in Mar'25, with a notable drop in Mar'23 to 116.22 Cr. The total operating income followed a similar trend, peaking in Mar'22 and then decreasing to 94.04 Cr in Mar'25. The raw material cost has varied, with a significant drop from 73.30 Cr in Mar'22 to 43.31 Cr in Mar'25. Operating profit, which was positive at 10.23 Cr in Mar'22, turned negative in subsequent years, reaching -1.22 Cr by Mar'25. The profit after tax also reflected this downturn, moving from a profit of 3.44 Cr in Mar'22 to a loss of 1.22 Cr in Mar'25. On the balance sheet, total liabilities decreased from 85.19 Cr in Mar'23 to 62.52 Cr in Mar'25, while total assets also declined from 85.19 Cr to 62.52 Cr in the same period. Cash flow from operating activities improved to 15.00 Cr in Mar'25, contrasting with a negative cash flow in Mar'23. Overall, LGB Forge's financial performance indicates challenges in maintaining profitability and sales, alongside a reduction in total assets and liabilities.

Is LGB Forge overvalued or undervalued?

As of August 8, 2025, LGB Forge is considered overvalued with a PE ratio of -238.68 and an EV to EBITDA of 77.85, significantly lagging behind peers like Bharat Forge and CIE Automotive, and has underperformed the Sensex with a year-to-date return of -39.27%.

As of 8 August 2025, LGB Forge's valuation grade has moved from risky to expensive, indicating a significant shift in its perceived value. The company is currently overvalued, as evidenced by its troubling financial ratios, including a PE ratio of -238.68, an EV to EBITDA of 77.85, and a Price to Book Value of 13.05. These figures suggest that the market is pricing the stock excessively high relative to its earnings and book value.<BR><BR>In comparison to its peers, LGB Forge stands out unfavorably; for instance, Bharat Forge, which is rated fair, has a PE ratio of 52.86 and an EV to EBITDA of 22.19, while CIE Automotive, rated attractive, has a PE of 19.3 and an EV to EBITDA of 11.39. This stark contrast highlights LGB Forge's overvaluation in the context of its industry. Additionally, the company's stock performance has lagged behind the Sensex, with a year-to-date return of -39.27% compared to the Sensex's 2.20%, further reinforcing the notion that LGB Forge is not a sound investment at its current price.

Who are the top shareholders of the LGB Forge?

The top shareholders of LGB Forge include promoter V Rajvirdhan with a 28.45% stake, while individual investors hold 23.19%. There are no pledged promoter holdings or mutual fund investments, and two foreign institutional investors hold a negligible percentage.

The top shareholders of LGB Forge primarily consist of its promoters, with V Rajvirdhan holding the highest stake at 28.45%. There are no pledged promoter holdings, and the company does not have any mutual fund investments. Additionally, two foreign institutional investors (FIIs) hold a negligible percentage of shares. Individual investors collectively hold 23.19% of the company.

What is the technical trend for LGB Forge?

As of June 2, 2025, LGB Forge's trend is mildly bearish due to daily moving averages, despite some mildly bullish signals from weekly MACD and KST, with overall bearish sentiment reinforced by monthly indicators and neutral signals from RSI and OBV.

As of 2 June 2025, the technical trend for LGB Forge has changed from sideways to mildly bearish. The current stance is mildly bearish, primarily driven by the daily moving averages indicating a bearish trend. While the weekly MACD and KST show mildly bullish signals, the monthly indicators are mostly bearish, suggesting a lack of strength in the bullish momentum. The Bollinger Bands are mildly bullish on both weekly and monthly time frames, but this is countered by the overall bearish sentiment from the moving averages. The absence of clear signals in the RSI and OBV further supports a neutral to bearish outlook.

Has LGB Forge declared dividend?

No Dividend History Available