Why is Motherson Sumi Wiring India Ltd ?
1
High Management Efficiency with a high ROCE of 45.38%
2
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.27 times
3
Poor long term growth as Operating profit has grown by an annual rate 5.41% of over the last 5 years
4
Flat results in Dec 25
- ROCE(HY) Lowest at 40.08%
- DEBTORS TURNOVER RATIO(HY) Lowest at 6.91 times
5
With ROCE of 41.2, it has a Expensive valuation with a 14.8 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 20.58%, its profits have fallen by -1.5%
6
High Institutional Holdings at 27.34%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
7
Market Beating Performance
- The stock has generated a return of 20.58% in the last 1 year, much higher than market (BSE500) returns of 9.12%
How much should you hold?
- Overall Portfolio exposure to Motherson Wiring should be less than 10%
- Overall Portfolio exposure to Auto Components & Equipments should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Motherson Wiring for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Motherson Wiring
20.45%
0.70
29.18%
Sensex
8.49%
0.74
11.41%
Quality key factors
Factor
Value
Sales Growth (5y)
18.06%
EBIT Growth (5y)
5.41%
EBIT to Interest (avg)
33.41
Debt to EBITDA (avg)
0.35
Net Debt to Equity (avg)
0.10
Sales to Capital Employed (avg)
4.20
Tax Ratio
24.95%
Dividend Payout Ratio
25.54%
Pledged Shares
0
Institutional Holding
27.34%
ROCE (avg)
44.89%
ROE (avg)
39.46%
Valuation Key Factors 
Factor
Value
P/E Ratio
48
Industry P/E
37
Price to Book Value
16.19
EV to EBIT
35.28
EV to EBITDA
28.39
EV to Capital Employed
14.80
EV to Sales
2.82
PEG Ratio
NA
Dividend Yield
0.74%
ROCE (Latest)
41.20%
ROE (Latest)
33.80%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
No Trend
Technical Movement
3What is working for the Company
NET SALES(Q)
Highest at Rs 2,887.07 cr
-3What is not working for the Company
ROCE(HY)
Lowest at 40.08%
DEBTORS TURNOVER RATIO(HY)
Lowest at 6.91 times
Loading Valuation Snapshot...
Here's what is working for Motherson Wiring
Net Sales - Quarterly
Highest at Rs 2,887.07 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Here's what is not working for Motherson Wiring
Debtors Turnover Ratio- Half Yearly
Lowest at 6.91 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio






