Should I buy Samvardhana Motherson stock in 2025?
Is it the right time to buy Samvardhana Motherson?
ScoreSamvardhana Motherson International Limited (MOTHERSON), one of India’s automotive component powerhouses, continues to capture attention as it evolves into a diversified global player. As of July 2025, Motherson trades near ₹154 on NSE, with an impressive daily average volume of 16 million shares, signaling deep market interest and liquidity. Despite a challenging year for auto stocks globally, the company’s Q1 FY25 results surprised positively—net profit soared by 65% year-on-year, outpacing analyst forecasts. This growth is driven not just by its leadership in wiring harnesses and vision systems, but by recent strategic moves, such as entering aerospace and medical segments, and a bump in its stake in high-growth subsidiaries like CIM Tools. Analysts interpret the moderate volatility and slight price correction as a healthy consolidation after substantial expansion. Market sentiment has turned constructive, with nearly half of top analysts suggesting the stock is positioned for medium-term outperformance. In a sector managing cyclical shifts and global supply chain realignments, Motherson’s expanding non-auto portfolio stands out. The current consensus among more than 17 national and international banks puts the price target at ₹200, reflecting confidence in ongoing execution of growth strategies and sector leadership.
- ✅Strong net profit growth: +65% YoY in Q1 FY25 shows robust earnings momentum.
- ✅Accelerated diversification into aerospace, health, and medical segments.
- ✅Presence in 44 countries with over 400 manufacturing facilities.
- ✅Five-year earnings CAGR of 27% underlines sustained profitability.
- ✅Strategic OEM partnerships fuel business resilience and expansion.
- ❌High dependence on US and European auto cycles may limit short-term gains.
- ❌Sector volatility and global uncertainties could impact near-term performance.
Score- ✅Strong net profit growth: +65% YoY in Q1 FY25 shows robust earnings momentum.
- ✅Accelerated diversification into aerospace, health, and medical segments.
- ✅Presence in 44 countries with over 400 manufacturing facilities.
- ✅Five-year earnings CAGR of 27% underlines sustained profitability.
- ✅Strategic OEM partnerships fuel business resilience and expansion.
Is it the right time to buy Samvardhana Motherson?
- ✅Strong net profit growth: +65% YoY in Q1 FY25 shows robust earnings momentum.
- ✅Accelerated diversification into aerospace, health, and medical segments.
- ✅Presence in 44 countries with over 400 manufacturing facilities.
- ✅Five-year earnings CAGR of 27% underlines sustained profitability.
- ✅Strategic OEM partnerships fuel business resilience and expansion.
- ❌High dependence on US and European auto cycles may limit short-term gains.
- ❌Sector volatility and global uncertainties could impact near-term performance.
Score- ✅Strong net profit growth: +65% YoY in Q1 FY25 shows robust earnings momentum.
- ✅Accelerated diversification into aerospace, health, and medical segments.
- ✅Presence in 44 countries with over 400 manufacturing facilities.
- ✅Five-year earnings CAGR of 27% underlines sustained profitability.
- ✅Strategic OEM partnerships fuel business resilience and expansion.
- What is Samvardhana Motherson?
- What is the Samvardhana Motherson stock price?
- Our full analysis of the Samvardhana Motherson stock
- How to buy Samvardhana Motherson stock in India?
- Our 7 Tips for Buying Samvardhana Motherson Stock
- The latest news about Samvardhana Motherson
- FAQ
- On the same topic
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At HelloSafe, our expert has been tracking the performance of Samvardhana Motherson for over three years. Every month, over a million users in India trust us to decipher market trends and identify the best investment opportunities. Our analyses are provided for informational purposes and do not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, compensated by Samvardhana Motherson.
What is Samvardhana Motherson?
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | Indian | Based in India, benefits from strong domestic and global demand. |
| 💼 Market | NSE, BSE | Listed on India’s main stock exchanges, ensuring high liquidity. |
| 🏛️ ISIN code | INE775A01035 | Unique identifier for tracking and global investment access. |
| 👤 CEO | Vivek Chaand Sehgal | Longstanding leadership focused on strategic growth and expansion. |
| 🏢 Market cap | ₹1,08,310 crores | Large-cap status offers financial stability and investment appeal. |
| 📈 Revenue | ₹28,868 crores (Q1 FY25) | Shows ongoing growth through recent acquisitions and diversification. |
| 💹 EBITDA | ₹2,785 crores (Q1 FY25) | Improved margins highlight increased operational efficiency. |
| 📊 P/E Ratio (Price/Earnings) | 28.50 | Indicates moderate valuation with room for growth concerns. |
What is the Samvardhana Motherson stock price?
The price of Samvardhana Motherson stock is down slightly this week. As of now, the stock trades at ₹153.90, having slipped by 0.25% in the last 24 hours and 0.32% over the past week. The company’s market capitalization stands at ₹1,08,310 crores with an average 3-month daily volume of 16.05 million shares. Its P/E ratio is 28.50, the dividend yield is 0.55%, and the beta of 1.14 points to moderately higher volatility than the overall market. These factors combine to position Samvardhana Motherson as a prominent stock with both dynamic trading opportunities and long-term growth potential.
Our full analysis of the Samvardhana Motherson stock
Having thoroughly reviewed Samvardhana Motherson’s most recent financial results and the stock’s performance over the last three years, we have deployed our proprietary algorithms to synthesize financial indicators, technical market signals, comprehensive sector data, and competitive positioning. This in-depth multi-sourced analysis provides a forward-looking, well-rounded picture of its investment case. So, why might Samvardhana Motherson stock once again become a strategic entry point into the technology-enabled automotive sector in 2025?
Recent performance and market context
Samvardhana Motherson stock is currently trading at ₹153.90, reflecting a slight decline over the past week but exhibiting notable resiliency in the face of sector rotation. Over the last year, while the stock price has retraced by 25.5%, it has nevertheless maintained a robust market capitalization of ₹1,08,310 crores, with daily trading volumes averaging 16.05 million shares. Recent quarterly earnings delivered substantial upside surprises, with net profit up 65% year-on-year, and revenue climbing to ₹28,868 crores. These corporate achievements have unfolded against a backdrop of steady expansion in India’s automotive manufacturing industry, which continues to benefit from domestic demand resilience, progressive electrification, ongoing supply-chain localization, and favorable policies.
Technical analysis
From a technical standpoint, Samvardhana Motherson finds itself in a constructive zone. The RSI at 57.3 signals underlying accumulation, with the stock trading above its 20-day and 50-day moving averages and approaching the important 200-day moving average at ₹155.14. Support levels at ₹151.79 and ₹150.20 have consistently attracted buyers on dips, while resistance is concentrated at ₹155.86 and ₹158.69—a zone to watch for breakout potential. The MACD, presently slightly negative, points to cooling momentum in the very near term, but the overall technical structure remains consistent with a base-building phase—often seen as a prelude to renewed upside in established market leaders.
Fundamental analysis
Fundamentally, Samvardhana Motherson’s strength is both broad and deep. The company posted a 15% trailing twelve-month revenue increase and a five-year compound annual profit growth of 27%, reflecting best-in-class operational execution. Profitability metrics remain attractive, with EBITDA margins strengthening and net profit for the most recent quarter touching ₹994 crores. With a P/E ratio of 28.5, the valuation stands as a premium to the broader market but is justified by the group’s strong earnings trajectory, diverse global customer base, and proven capacity for synergetic acquisitions. Strategic expansion beyond traditional automotive roots—including aerospace, healthcare, and medical devices—demonstrates management’s foresight in positioning for next-generation mobility and technology trends.
- Global leader in wiring harnesses and vision systems for passenger vehicles
- Presence in 44 countries with over 400 manufacturing facilities
- Robust partnerships with tier-1 OEMs and sustained R&D investment
- Strong brand equity and established supplier credibility
Volume and liquidity
Liquidity is a key asset for Samvardhana Motherson. With an average of 16.05 million shares traded daily over the past three months, the stock remains easily accessible to both retail and institutional participants. The float structure, including 58.13% promoter holding and 33.38% institutional ownership, supports both price stability and ample dynamism for re-rating during market catalysts. High liquidity levels are usually associated with reduced transaction costs and increased confidence in price discovery, both positive attributes for new investors entering the stock.
Catalysts and positive outlook
- Non-automotive expansion: Acquisitions and investments in aerospace, health, and medical manufacturing are set to contribute 25% of targeted revenues by 2025, opening new growth verticals beyond cyclical auto trends.
- Major capex cycle: The ₹700 million USD investment planned for FY25-26 will enhance capacity, drive innovation, and strengthen competitive positioning.
- Vision 2025: Management’s ambitious goal to reach $36 billion in annual revenues with a targeted 40% return on capital employed signals ongoing confidence and aggressive market capture strategies.
- Favorable macro context: India’s automotive sector is supported by policy tailwinds (PLI schemes, localization incentives), robust consumer sentiment, and the global trend toward supply chain diversification.
- Successful integration of recent deals: The company’s proactive execution in integrating global assets and leveraging cross-segment operational efficiencies continues to win recognition from analysts and stakeholders.
- ESG focus: Ongoing initiatives for sustainability in manufacturing and transparent corporate governance appeal to the increasingly influential responsible investment community.
Investment strategies
For short-term traders, current price action near multi-month support (₹151.79–₹150.20) offers a compelling tactical entry point, especially on confirmation of an upward breakout above the 200-DMA. Medium-term investors can benefit from accumulating shares ahead of major capex implementations and anticipated earnings releases, optimizing returns as business transformation efforts materialize in financials. For long-term investors, the strategic diversification, global leadership, and earnings compounders embedded in Samvardhana Motherson’s model present an attractive mix of capital preservation and high-growth exposure. The 0.55% dividend yield, while modest, reinforces the company’s shareholder orientation and cash generative abilities.
Is it the right time to buy Samvardhana Motherson?
Samvardhana Motherson demonstrates sector leadership, diversified revenue streams, and a well-defined strategy for sustained growth. Recent performance, management vision, and a record of both organic and inorganic expansion place it in a strong position to capture the next phase of mobility and technology-driven value chains in India and globally. The stock’s liquidity, technical resilience, and clear commitment to innovation all highlight an upside proposition that seems to represent an excellent opportunity for new and existing investors alike.
With the Indian automotive and technology ecosystem entering a structural up-cycle, the fundamentals justify renewed interest in Samvardhana Motherson. As always, disciplined risk management and ongoing monitoring are essential, but the current entry point may prove especially advantageous in a well-constructed diversified portfolio. Samvardhana Motherson offers an appealing combination of defensive strength and dynamic future potential, warranting serious attention from anyone seeking exposure to India’s transformation in manufacturing and advanced technology integration.
How to buy Samvardhana Motherson stock in India?
Buying Samvardhana Motherson stock online is a straightforward and secure process if you use a regulated Indian broker. Investors can choose either the traditional route—spot buying and owning the stock directly—or trade price movements through CFDs (Contracts for Difference). Both options offer unique benefits and fit different investment profiles. See our broker comparison further down the page to help you select the right platform for your needs.
Spot buying
A cash (spot) purchase means you buy Samvardhana Motherson shares on the NSE or BSE and become a direct shareholder. Most Indian brokers charge a fixed commission per order, typically ranging from ₹15–₹25, plus minimal statutory charges.
Samvardhana Motherson Share Gain Scenario
If the Samvardhana Motherson share price is ₹153.90, you can buy around 6 shares with a ₹1,000 stake, including a brokerage fee of around ₹25.
✔️ Gain scenario: If the share price rises by 10%, your shares are now worth ₹1,100. Result: +₹100 gross gain, i.e. +10% on your investment.
Trading via CFD
With CFDs, you speculate on Samvardhana Motherson share price movements without owning the actual shares. Fees typically include the spread (difference between buying and selling price) and possible overnight financing charges if you hold a position for more than a day.
CFD Gain Scenario: Samvardhana Motherson
You open a CFD position on Samvardhana Motherson shares, with 5x leverage and a ₹1,000 stake.
This gives you a market exposure of ₹5,000.
Gain scenario:
If the stock rises by 8%, your position gains 8% × 5 = 40%.
Result: +₹400 gain, on a bet of ₹1,000 (excluding fees).
Final advice
Before investing, be sure to compare brokers’ fees, conditions, and platforms carefully. Your choice—buying shares outright or trading CFDs—should always depend on your personal strategy, experience, and risk tolerance. Find a detailed comparison below to help you make an informed decision.
Check out the best brokers in India!Compare brokersOur 7 Tips for Buying Samvardhana Motherson Stock
| 📊 Step | 📝 Specific tip for Samvardhana Motherson |
|---|---|
| Analyze the market | Assess automotive trends and growing non-auto diversification that drive Samvardhana Motherson’s revenue in India and globally. |
| Choose the right trading platform | Select a SEBI-registered Indian broker with user-friendly tools and access to NSE/BSE for Samvardhana Motherson shares. |
| Define your investment budget | Allocate funds in line with your goals, mindful of sector cycles and stock volatility in Samvardhana Motherson. |
| Choose a strategy (short or long term) | Decide if you want to benefit from short-term sector moves or long-term growth from global expansion initiatives. |
| Monitor news and financial results | Track quarterly results, new business deals, and diversification moves for up-to-date insights on Samvardhana Motherson. |
| Use risk management tools | Use stop-loss orders and portfolio diversification to protect against volatility in Samvardhana Motherson’s sector. |
| Sell at the right time | Review resistance levels and consider selling around major news or after strong upward price trends in Samvardhana Motherson. |
The latest news about Samvardhana Motherson
Samvardhana Motherson reported a 65% yearly increase in net profit, driven by Indian and global demand. For Q1 FY25, net profit surged to ₹994 crores and revenues to ₹28,868 crores, reflecting strength across domestic and international auto markets and outperforming analyst expectations. Strong EBITDA growth (+44% YoY) underlines improved margin execution and operating leverage, which are positive signals for investors focused on India’s auto supply sector.
Strategic capital deployment continues, with ₹700 million USD earmarked for FY 2025-26 expansion initiatives. Major investments target both core automotive capacity and diversification into high-growth segments like aerospace and medical technologies. This signals confidence in the company’s ability to adapt and expand within and beyond the Indian automotive landscape, offering additional long-term growth levers for local shareholders.
Recent acquisition of increased stake in CIM Tools strengthens Samvardhana Motherson’s presence in precision manufacturing. Following the conversion of CCDs worth ₹175 crores, the company raised its equity in CIM Tools from 55% to 68.14%. This expanded control supports the group’s strategy in the aerospace sector, a vertical emphasized as a future growth driver in India’s “Make in India” policy context.
Technical indicators reflect a stable to slightly positive trend for Samvardhana Motherson on the Indian stock exchanges. The stock now trades above its short- and medium-term moving averages, with an RSI of 57.3 and steady volumes averaging 16 million shares daily. Key support at ₹151.79 with resistance at ₹155.86 suggests opportunities for active monitoring as the company approaches upcoming results and business updates.
Dividend distribution of ₹0.35 per share supports investor confidence and income generation in the Indian market. With a current yield of 0.55%, Samvardhana Motherson maintains a stable, albeit modest, payout policy, which complements its growth-oriented capital allocation strategy and appeals to investors seeking a blend of yield and capital appreciation in India's competitive auto component sector.
FAQ
What is the latest dividend for Samvardhana Motherson stock?
Samvardhana Motherson currently pays a dividend of ₹0.35 per share, with a yield of about 0.55%. The most recent dividend was declared for FY25 and reflects the company’s consistent, though moderate, distribution policy as it balances shareholder returns with growth investments. Historically, payouts have been steady, supporting investor confidence.
What is the forecast for Samvardhana Motherson stock in 2025, 2026, and 2027?
Based on the present share price of ₹153.90, projections indicate ₹200 by end-2025, ₹230 by end-2026, and ₹308 by end-2027. These levels reflect the company’s strong fundamentals, positive analyst sentiment, and ongoing global expansion, particularly in high-potential segments like aerospace and medical technology.
Should I sell my Samvardhana Motherson shares?
Holding your Samvardhana Motherson shares may be wise, as the company demonstrates resilience and a clear growth strategy. Strategic diversification, strong partnerships, and robust earnings growth support its long-term prospects. Given its leadership in the automotive sector and expanding global footprint, the stock offers mid- to long-term opportunity for Indian investors.
How are dividends and gains from Samvardhana Motherson shares taxed in India?
For Indian residents, dividends are taxable at the recipient’s income tax rate and are subject to TDS beyond ₹5,000 annually. Long-term capital gains above ₹1 lakh are taxed at 10% without indexation, while short-term gains attract a 15% tax. Samvardhana Motherson shares are fully eligible under standard Indian equity investment frameworks.
What is the latest dividend for Samvardhana Motherson stock?
Samvardhana Motherson currently pays a dividend of ₹0.35 per share, with a yield of about 0.55%. The most recent dividend was declared for FY25 and reflects the company’s consistent, though moderate, distribution policy as it balances shareholder returns with growth investments. Historically, payouts have been steady, supporting investor confidence.
What is the forecast for Samvardhana Motherson stock in 2025, 2026, and 2027?
Based on the present share price of ₹153.90, projections indicate ₹200 by end-2025, ₹230 by end-2026, and ₹308 by end-2027. These levels reflect the company’s strong fundamentals, positive analyst sentiment, and ongoing global expansion, particularly in high-potential segments like aerospace and medical technology.
Should I sell my Samvardhana Motherson shares?
Holding your Samvardhana Motherson shares may be wise, as the company demonstrates resilience and a clear growth strategy. Strategic diversification, strong partnerships, and robust earnings growth support its long-term prospects. Given its leadership in the automotive sector and expanding global footprint, the stock offers mid- to long-term opportunity for Indian investors.
How are dividends and gains from Samvardhana Motherson shares taxed in India?
For Indian residents, dividends are taxable at the recipient’s income tax rate and are subject to TDS beyond ₹5,000 annually. Long-term capital gains above ₹1 lakh are taxed at 10% without indexation, while short-term gains attract a 15% tax. Samvardhana Motherson shares are fully eligible under standard Indian equity investment frameworks.
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