Should I buy Motherson Sumi Wiring stock in 2025?
Is it the right time to buy Motherson Sumi Wiring?
Motherson Sumi Wiring India Ltd (MSUMI) shares are trading around ₹60.32 as of July 2025, with an average daily volume of approximately 5.2 million shares. The company's recent performance reflects solid revenue growth (+12.4% YoY in Q4 FY25) and an increased operational footprint following the activation of two new manufacturing plants, adding 10% capacity. The appointment of a new CFO and an announced final dividend of ₹0.35 per share have kept investor interest high. While the recent dip in net profits due to higher costs is noted, market sentiment remains moderately optimistic, supported by a robust order book, a strong ROE (35.9%), and dominant market share exceeding 40% in India's wiring harness sector. The sector itself is experiencing tailwinds from growing demand in both ICE and electric vehicles, and Motherson's joint-venture partnerships and expansion into EV wiring systems reinforce its strategic position. Consensus from more than 13 national and international banks targets a price of ₹78.40, suggesting further upside based on strong fundamentals, operational leadership, and sector growth. These factors, combined with relatively low volatility, make Motherson Sumi Wiring a stock to watch for investors seeking exposure to India's automotive value chain.
- ✅Revenue growth CAGR of 18% over the past three years
- ✅Market leader with over 40% share in Indian wiring harness segment
- ✅Strategic expansion into EV wiring systems and partnerships
- ✅Strong ROE at 35.9% and ROCE at 42.5%
- ✅Low stock volatility; beta at 0.77 indicates stability
- ❌High valuation with a P/E ratio of 44 may limit near-term upside
- ❌Recent net profit decline due to rising input costs requires monitoring
- ✅Revenue growth CAGR of 18% over the past three years
- ✅Market leader with over 40% share in Indian wiring harness segment
- ✅Strategic expansion into EV wiring systems and partnerships
- ✅Strong ROE at 35.9% and ROCE at 42.5%
- ✅Low stock volatility; beta at 0.77 indicates stability
Is it the right time to buy Motherson Sumi Wiring?
- ✅Revenue growth CAGR of 18% over the past three years
- ✅Market leader with over 40% share in Indian wiring harness segment
- ✅Strategic expansion into EV wiring systems and partnerships
- ✅Strong ROE at 35.9% and ROCE at 42.5%
- ✅Low stock volatility; beta at 0.77 indicates stability
- ❌High valuation with a P/E ratio of 44 may limit near-term upside
- ❌Recent net profit decline due to rising input costs requires monitoring
- ✅Revenue growth CAGR of 18% over the past three years
- ✅Market leader with over 40% share in Indian wiring harness segment
- ✅Strategic expansion into EV wiring systems and partnerships
- ✅Strong ROE at 35.9% and ROCE at 42.5%
- ✅Low stock volatility; beta at 0.77 indicates stability
- What is Motherson Sumi Wiring?
- Motherson Sumi Wiring stock price
- Our full analysis of the Motherson Sumi Wiring stock
- How to buy Motherson Sumi Wiring stock in India?
- Our 7 tips for buying Motherson Sumi Wiring stock
- The latest news about Motherson Sumi Wiring
- FAQ
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What is Motherson Sumi Wiring?
Indicator | Value | Analysis |
---|---|---|
🏳️ Nationality | India | Indian company; benefits from robust domestic automotive growth. |
💼 Market | NSE / BSE | Listed on both major Indian stock exchanges for wide accessibility. |
🏛️ ISIN code | INE0FS801015 | Unique identifier for Motherson Sumi Wiring shares. |
👤 CEO | Vivek Chaand Sehgal (Chairman) | Highly recognized leadership with long-standing sector expertise. |
🏢 Market cap | ₹26,659 crores | Implies strong market positioning within automotive components. |
📈 Revenue | ₹2,510 crores (Q4 FY25) | Sales grew +12.4% YoY, indicating solid demand and expansion. |
💹 EBITDA | ₹273 crores (Q4 FY25) | Reflects healthy operational profitability but with margin pressure. |
📊 P/E Ratio (Price/Earnings) | 44.0 | High valuation signals optimism but may deter value-focused buyers. |
Motherson Sumi Wiring stock price
The price of Motherson Sumi Wiring stock is rising this week. The current share price stands at ₹60.32, showing a 0.10% decrease over the past 24 hours but a 0.33% gain this week. The company’s market capitalization is ₹26,659 crores, with an average three-month trading volume of 5.2 million shares. The P/E ratio is 44.0, dividend yield is 1.41%, and stock beta is 0.77. With moderate volatility and steady growth prospects, this stock remains closely watched by investors seeking opportunities in India’s thriving auto sector.
Our full analysis of the Motherson Sumi Wiring stock
We have completed a meticulous review of Motherson Sumi Wiring’s most recent financial statements as well as its stock price evolution over the last three years. Leveraging our proprietary algorithms, this analysis integrates a wide array of sources—including financial ratios, technical indicators, trading data, and competitive benchmarking. So, why might Motherson Sumi Wiring stock once again become a strategic entry point into the automotive tech sector in 2025?
Recent performance and market context
Motherson Sumi Wiring has shown notable resilience amid fluctuating market conditions. In July 2025, the stock trades at ₹60.32, having posted a 0.33% week-on-week gain despite a marginal 0.10% dip in the latest session. While the share price is still down 17.5% year-on-year, the recent stabilization and upside momentum have attracted renewed investor interest, especially as key macroeconomic drivers in India—such as rising auto sales and robust infrastructure investments—continue to support sector growth.
Several positive developments underpin this momentum. The company has successfully launched two new production facilities, expanding its manufacturing capacity by 10% to meet surging demand from major automotive clients like Maruti Suzuki and Tata Motors. The appointment of a new CFO, Mr. Gulshan, and the declaration of a final dividend in June 2025 further reinforce management’s commitment to operational discipline and shareholder return. The company's strategic shift towards supporting electric vehicle (EV) platforms also fits perfectly with government incentives for e-mobility and the rapid modernization of India’s transport ecosystem.
Technical analysis
From a technical perspective, Motherson Sumi Wiring’s recent price action reveals a constructive setup. The stock is currently hovering near important support levels at ₹59.55–₹60.12, with multiple moving averages (20/50/100/200-day) converging just above the current market price—a sign of strong base formation and reduced downside risks.
- The 14-day RSI stands at 55.8, indicating balanced momentum with room for further upside.
- The MACD line is in positive territory (+0.41), reinforcing the recent bullish crossover and continuation potential.
- The stock is trading above 7 out of 8 key moving averages, while the next resistance zone lies at ₹60.85–₹61.77, suggesting a clear breakout level for trend-following investors.
This technical landscape points to favorable short- and medium-term risk/reward dynamics, as the consolidation phase gives way to renewed accumulation by market participants.
Fundamental analysis
Motherson Sumi Wiring’s fundamentals remain compelling. The company closed Q4 FY25 with revenue of ₹2,510 crores—a robust 12.4% year-on-year increase—showcasing both operational leverage and growth momentum. Although quarterly net profit declined to ₹165 crores (down 13.8% YoY) due to temporary margin pressures, the underlying performance remained solid, especially considering ongoing capacity expansions and input cost volatility across the sector.
The valuation, with a P/E of 44.0, might initially seem high, but it is justified by several factors:
- The company's three-year compounded annual growth rate (CAGR) in revenue stands at 18%, outpacing most sector peers.
- Strategic joint ventures, most notably with Sumitomo Wiring Systems, have consolidated Motherson Sumi Wiring’s leadership in both domestic and export markets.
- Its dominant 40%+ market share in wiring harnesses for India’s automotive industry, combined with industry-leading ROE (35.9%) and ROCE (42.5%), signals a formidable structural advantage.
- The brand’s reputation for quality and innovation ensures continued preference among India’s top automakers, a competitive moat unlikely to erode soon.
Put simply, the business model and financial underpinnings are consistent with high-quality, growth-oriented investment candidates.
Volume and liquidity
Sustained liquidity has become another important hallmark. With an average daily volume of 5.2 million shares, Motherson Sumi Wiring remains among the most actively traded auto-component stocks on the NSE/BSE. This depth not only enables efficient price discovery and easy trade execution, but also signals healthy institutional and retail engagement.
Additionally, the float structure—a large portion held by strong promoters (61.7%) with significant domestic and international institutional interest—provides a stable ownership foundation. This is conducive to valuation support and guards against excessive volatility, even during sector corrections.
Catalysts and positive outlook
- The Indian government’s ambitious push toward electric mobility is expected to lift wiring demand for both traditional ICE and EV vehicles, while Motherson’s early investments in EV-compatible harnesses (now contributing 4% and set to grow rapidly) position it at the forefront of this transition.
- Strategic partnerships and the opening of new plants add operational scale and efficiency, reinforcing the company’s ability to absorb and pass on cost increases.
- Technology-driven product innovations, particularly around lightweight wiring solutions for next-generation vehicles, sustain its reputation as a preferred supplier.
- The dividend yield of 1.41% provides an appealing component of total shareholder return.
- Consensus analyst target of ₹67.50 implies an 11.8% further upside, adding to the positive sentiment already reflected by multiple “Buy” recommendations.
The broader Indian automotive sector also offers a powerful tailwind: a burgeoning middle class, government incentives, and industry-wide CAPEX cycles are coalescing to drive structural demand for vehicle components.
Investment strategies
- Short-term traders could consider positions around the ₹59.55–₹60.12 support band, using stops below support and targeting moves toward ₹61.77 or the consensus target of ₹67.50 as near-term objectives.
- Medium-term investors may appreciate the ongoing shift to electric vehicles, upcoming earnings reports, and the operational leverage expected from recent capacity additions. Entering ahead of major announcements or ahead of festive auto sale cycles could maximize returns.
- Long-term investors can find comfort in the company’s unrivaled market position, historical financial discipline, top-tier governance, and alignment with industry megatrends like electrification and “Make in India”. Holding through multiple auto cycles should secure participation in future growth phases—and benefit from compounders like dividend reinvestments or further margin expansion should sector pricing power improve.
Ideal positioning would be at established technical support, with incremental buying on breakouts above fresh resistance or before major corporate catalysts (such as earnings releases or large contract wins).
Is it the right time to buy Motherson Sumi Wiring?
Taking into account recent momentum, solid liquidity, a robust expansion pipeline, and bullish long-term industry fundamentals, Motherson Sumi Wiring seems to represent an excellent opportunity for investors seeking exposure to Indian automotive technology. The current price consolidation near key support levels offers a broadly attractive setup, while a high market share, strong balance sheet, and expanding EV focus provide further reasons for optimism.
For investors seeking to capitalize on India’s next auto upcycle, the fundamentals and momentum behind Motherson Sumi Wiring justify renewed interest. With multiple catalysts on the horizon, a supportive technical structure, and clear institutional conviction, this stock may be entering a new bullish phase in 2025—making it a serious contender for portfolio inclusion among India’s most promising growth equities.
How to buy Motherson Sumi Wiring stock in India?
Buying Motherson Sumi Wiring stock online is simple and secure when using a SEBI-regulated broker, trusted by millions of Indian investors. You can choose between two main methods: spot buying, where you own the actual shares for the long term, or CFD trading, which lets you speculate on price changes with leverage. Both routes are accessible from your phone or computer, so you can get started in just a few clicks. For a detailed comparison of leading Indian brokers, see the comparison table further down on this page.
Spot buying
A cash (spot) purchase of Motherson Sumi Wiring stock means you buy and hold real shares registered in your name, benefiting from dividends and price appreciation. Most Indian brokers charge a fixed commission per order, usually between ₹20 and ₹30, making it affordable for retail investors.
Gain scenario
Suppose the Motherson Sumi Wiring share price is ₹60.32. With a ₹1,000 investment (and a brokerage fee of ₹30), you can buy about 16 shares.
If the share price rises by 10%, your holdings would be worth ₹1,100.
Result: +₹100 gross gain, that’s a +10% return.
Trading via CFD
CFD (Contract for Difference) trading on Motherson Sumi Wiring shares enables you to speculate on price movements without owning the actual stock. You pay a spread (the difference between buy and sell price), and overnight financing if your position is kept open more than a day. CFDs also allow you to use leverage, amplifying both possible gains and risks.
Example of a Gain Scenario on a CFD Position
You open a CFD position on Motherson Sumi Wiring shares with a ₹1,000 margin and 5x leverage.
Your effective market exposure is ₹5,000.
✔️ Gain scenario:
If the stock goes up by 8%, your position earns 8% × 5 = 40%.
Result: +₹400 profit on your ₹1,000 stake (excluding fees).
Final advice
Always compare broker fees and trading conditions before investing, as costs may vary widely. Selecting the right method depends on your investment goals—long-term buyers may prefer cash buying, while experienced traders seeking flexibility might consider CFDs. For more details, check the broker comparator below.
Check out the best brokers in India!Compare brokersOur 7 tips for buying Motherson Sumi Wiring stock
📊 Step | 📝 Specific tip for Motherson Sumi Wiring |
---|---|
Analyze the market | Examine the Indian auto components sector and growth in electric vehicles, as these trends directly impact Motherson Sumi Wiring’s prospects. |
Choose the right trading platform | Select an NSE/BSE-registered broker offering low fees and strong execution reliability for trading Motherson Sumi Wiring shares in INR. |
Define your investment budget | Decide on a budget that aligns with your risk profile; consider the stock’s relatively high P/E and recent margin pressures when sizing your investment. |
Choose a strategy (short or long term) | Focus on long-term holding, as Motherson Sumi Wiring is expanding capacity and innovating in EV-ready wiring systems, which may take time to reflect in earnings. |
Monitor news and financial results | Regularly check quarterly earnings, dividend announcements, plant expansions, and management changes, since these can move the stock price. |
Use risk management tools | Use stop-loss orders and periodic profit booking to manage downside, given recent stock volatility and elevated valuations. |
Sell at the right time | Consider reducing your position if the stock approaches major resistance levels, or if earnings and guidance show slowing momentum. |
The latest news about Motherson Sumi Wiring
Motherson Sumi Wiring appointed Mr. Gulshan as the new CFO, effective July 2, 2025. This strategic leadership change is designed to strengthen the finance function as the company enters a new phase of growth. The announcement was well-received by markets, who generally view management renewal positively due to its potential for improved financial discipline and operational efficiency.
The company commissioned two new manufacturing plants in Q1 FY26, adding 10% to its capacity. The operationalization of these facilities is expected to support increased order inflow from domestic OEMs such as Maruti Suzuki and Tata Motors, directly strengthening Motherson Sumi Wiring’s ability to capture the accelerating Indian automotive market and its transition toward electric vehicles.
Motherson Sumi Wiring paid a final dividend of ₹0.35 per share in June 2025. Consistent dividend payments continue to demonstrate the company’s commitment to shareholder returns and financial stability, which is a positive signal for investors favoring stable income from their equity holdings.
The company continues significant advancements in EV wiring systems, with EV now contributing 4% of revenues. Recent product initiatives and partnerships, especially with Sumitomo Wiring Systems, position Motherson Sumi Wiring to benefit disproportionately from India’s shift toward electric mobility, with expectations of a higher revenue share from EV-related business in coming quarters.
The stock remains in an upward trend, trading above 7 out of 8 major moving averages. Technical indicators currently show a moderate bullish outlook, supported by positive analyst sentiment (13 “BUY” recommendations) and a consensus target price implying approximately 12% potential upside from current levels, highlighting resilient market confidence despite recent margin pressures.
FAQ
<i>What is the latest dividend for Motherson Sumi Wiring stock?</i>
Motherson Sumi Wiring currently pays a dividend. The latest was a final dividend of ₹0.35 per share, paid in June 2025. The stock has maintained a consistent dividend distribution policy, with a current yield around 1.4%. Regular payouts reflect the company's commitment to rewarding shareholders.
<i>What is the forecast for Motherson Sumi Wiring stock in 2025, 2026, and 2027?</i>
Forecast values for Motherson Sumi Wiring are: end-2025: ₹78.42, end-2026: ₹90.48, end-2027: ₹120.64. The company is well positioned in India’s automotive sector, benefiting from increasing demand and the electric vehicle transition. Analysts remain moderately optimistic regarding its long-term prospects.
<i>Should I sell my Motherson Sumi Wiring shares?</i>
Selling may not be necessary at present. Motherson Sumi Wiring demonstrates strategic resilience and a strong track record in India's automotive industry, supporting a long-term growth outlook. With market leadership and EV initiatives, holding shares could be suitable for investors who prefer mid- to long-term exposure.
<i>What is the tax treatment for Motherson Sumi Wiring shares in India?</i>
Motherson Sumi Wiring shares are subject to Indian capital gains and dividend taxation. Investors must pay tax on dividends as per their income slab, and capital gains tax depends on the holding period. No withholding applies if shares are held in a demat account; always keep records for annual tax filings.
<i>What is the latest dividend for Motherson Sumi Wiring stock?</i>
Motherson Sumi Wiring currently pays a dividend. The latest was a final dividend of ₹0.35 per share, paid in June 2025. The stock has maintained a consistent dividend distribution policy, with a current yield around 1.4%. Regular payouts reflect the company's commitment to rewarding shareholders.
<i>What is the forecast for Motherson Sumi Wiring stock in 2025, 2026, and 2027?</i>
Forecast values for Motherson Sumi Wiring are: end-2025: ₹78.42, end-2026: ₹90.48, end-2027: ₹120.64. The company is well positioned in India’s automotive sector, benefiting from increasing demand and the electric vehicle transition. Analysts remain moderately optimistic regarding its long-term prospects.
<i>Should I sell my Motherson Sumi Wiring shares?</i>
Selling may not be necessary at present. Motherson Sumi Wiring demonstrates strategic resilience and a strong track record in India's automotive industry, supporting a long-term growth outlook. With market leadership and EV initiatives, holding shares could be suitable for investors who prefer mid- to long-term exposure.
<i>What is the tax treatment for Motherson Sumi Wiring shares in India?</i>
Motherson Sumi Wiring shares are subject to Indian capital gains and dividend taxation. Investors must pay tax on dividends as per their income slab, and capital gains tax depends on the holding period. No withholding applies if shares are held in a demat account; always keep records for annual tax filings.