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India Nippon Electricals Limited (INDNIPPON) Fair Value & Analysis

Consumer Cyclical · IN · Market cap ₹24.8B (≈ $263M) · ISIN INE092B01025

What is India Nippon Electricals Limited really worth?

IN India Nippon Electricals Limited INDNIPPON · BSE
Price₹1,159
Fair Value₹803.79
Upside−30.6%
Quality58/100

A solid business, but trading 44% above our fair value of ₹803.79.

As of Aug 21, 2026, the fair value of India Nippon Electricals Limited is ₹803.79 per share against a price of ₹1,159, so the fair value sits 31% below the price. A model estimate blended from multiple valuation models, recalculated regularly.

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Risks

!Expensive Growth (revenue 5y +17.1 %/yr)
!Thin margins · 9.5% net margin
!negative free cash flow
!Moderate moat 50/100
Evidence: High Range ₹603.45 – ₹1,004

Fair value as of: Aug 21, 2026

From 15 valuation models · updated 16 days ago

Share price +0.8% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price sits above even our optimistic bull case (₹1,004). The favourable scenario is already priced in.
  • Solid but not exceptional quality (58/100) and above fair value, neither a clear bargain nor a standout compounder.

Price vs Fair Value (5 years)

₹1,241 ₹303.64 Fair Value ₹803.79 May 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 21, 2026.

How to read this chart

60‑month range ₹303.64 – ₹1,241 · fair‑value band ₹603.45 – ₹1,004 · the ₹1,159 price screens above the ₹803.79 fair value. Dashed = 300-day average. As of Aug 21, 2026.

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Analysis

India Nippon Electricals Limited (INDNIPPON) currently trades at ₹1,159, while our model-based Fair Value estimate is ₹803.79, implying the stock looks roughly 44.1% overvalued today. The Quality Score stands at 58/100 (solid quality), in the Consumer Cyclical sector. Bull case: the Growth Earnings group reads highest at a median of ₹1,173 per share, and 2 of the 15 models we run sit above the ₹1,159 price. Bear case: the Asset-Based group reads lowest at ₹243.26, and 13 of the 15 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, India Nippon Electricals Limited generated revenue of ₹9.5B at a net margin of 9.5%. Revenue grew 29.9% year over year. It earns a return on equity of 12.3%. The stock trades on a trailing P/E of 29.3. Fundamentals as of Aug 21, 2026

Our scenario range runs from ₹603.45 (bear case) to ₹1,004 (bull case); at ₹1,159, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 9% below its 52-week high and 80% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at −38% fair-value upside, at −31%, INDNIPPON screens cheaper than that median.

Fair Value models

This estimate rests on fiscal year 2026 figures, and about 5 months have passed since. In that time the company retained roughly ₹17.23 per share, which is 2.6 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
EPV ₹375.11 ₹437.22 ₹491.57 70
ROIC Compounder ₹384.29 ₹546.42 ₹697.16 70
Owner Earnings ₹546.81 ₹1,103 ₹2,163 69
All 15 models by family
DCF Models
Owner Earnings ₹546.81 ₹1,103 ₹2,163 69
Earnings-Based
Graham-Dodd ₹334.18 ₹1,924 ₹2,676 63
Lynch FV ₹542.50 ₹775.00 ₹1,007 61
PEG = 1.0 ₹542.50 ₹775.00 ₹1,007 57
EPV ₹375.11 ₹437.22 ₹491.57 70
Multiples
P/E Multiple ₹810.87 ₹1,081 ₹1,351 63
P/S Multiple ₹418.91 ₹558.54 ₹698.18 58
P/B Multiple ₹626.58 ₹835.44 ₹1,044 55
EV/EBIT ₹603.45 ₹803.79 ₹1,004 63
EV/EBITDA ₹474.40 ₹631.73 ₹789.05 64
EV/Revenue ₹393.41 ₹560.97 ₹728.54 51
Asset-Based
NCAV (Graham) ₹181.54 ₹243.26 ₹363.08 51
Economic Profit
Residual Income ₹349.87 ₹439.88 ₹1,088 69
ROIC Compounder ₹384.29 ₹546.42 ₹697.16 70
Growth Earnings
Growth-Adj P/E ₹821.35 ₹1,173 ₹1,525 67

Widest divergence: Growth Earnings (₹1,173) versus Asset-Based (₹243.26). Highest evidence: EPV (70).

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Key figures & financial health

P/E ratio 29.3
P/S ratio 3.09 P/E × margin
EPS (TTM) ₹39.55 price ÷ EPS = P/E 29.3
Dividend yield 1.4% payout 41.4%
Net margin 10.6% FY2026
Return on equity 12.3% TTM
More key figures
Profitability
Return on assets (EBIT) 6.9% avg 5y
Operating margin 9.3% TTM
Growth
Revenue (TTM) ₹9.5B TTM
Revenue growth (YoY) +29.9% 3y avg +17.1%
EPS growth (YoY) +9.7%
Balance sheet & cash flow
Free cash flow −₹18.8M FY2026

Figures from reported company fundamentals · as of Aug 21, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 58/100

Of which business quality 57 · Market factors (momentum, volatility) 82

Profitability 59
Margins and returns on capital today
Quality Growth 68
Are margins and returns improving?
Cashflow 10
Earnings quality: real cash, not paper profit
Fin. Strength 80
Balance sheet, leverage, solvency risk
Investment 50
Disciplined investing over empire-building
Low Volatility 70
Calm price path (market factor)
Momentum 90
Price trend over the last 3–12 months (market factor)
52W Momentum 84
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

India Nippon Electricals Limited provides electronic ignition systems for automotive industry in India and internationally.

Full company description

India Nippon Electricals Limited provides electronic ignition systems for automotive industry in India and internationally. The company offers AC generator/flywheel magneto products, such as stator, and rotor products, as well as CDI and TCI products; regulator and rectifier units; ignition coils; exhaust gas controller and engine controller units; auto choke-generation purpose engines; dual output ignition products; and PM alternators. It also offers speed, lever, temperature, angle/linear position, differential/absolute, throttle position, steering angle, tire pressure monitoring, RPAS ultrasonic, and TMAP sensors. In addition, the company provides DC-DC converter, traction motors, and motor controllers; ISG machine and controllers; and EFI ECU products. Its products have applications in two-wheelers, three-wheelers, small gasoline engines, and portable gensets; and non-automotive industry. The company was incorporated in 1984 and is based in Chennai, India. India Nippon Electricals Limited operates as a subsidiary of Lucas Indian Service Limited.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

India Nippon Electricals Limited reported revenue of ₹10.5B in FY2026 versus ₹5.6B in FY2022, a compound +17.2%/yr. Reported net income was ₹1.1B in FY2026, compounding +22.6%/yr from FY2022.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2026)
₹10.5B
Latest YoY
+26.6%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+17.1%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+17.1%
Avg. revenue growth/yr (7Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+10.6%
Value creation/yr (5Y, in INR) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year. Measured in INR: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
≈ +19.1% (approximate, leans on 2026) · in INR
Earnings growth per share plus dividend yield: the value created per share and year.
Earnings growth per share+17.7%
Dividend yield1.4%
Operating margin (EBIT) Operating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.7.7% (2021) → 9.6% (2026) · rising
Worst earnings drop32% (2021) · in INR
⚠ Rate leans on 2026: that final year sits 88% above its own trend (e.g. a one-off disposal gain) and could not be adjusted
Revenue +17.2%/yr
FY22 ₹5.6B
FY23 ₹6.6B
FY24 ₹7.2B
FY25 ₹8.3B
FY26 ₹10.5B
Net income +22.6%/yr
FY22 ₹492M
FY23 ₹482M
FY24 ₹593M
FY25 ₹823M
FY26 ₹1.1B

INDNIPPON screens 44% overvalued. Compare with O'Reilly Automotive, Inc →

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Cite: Fair Value Calculator (2026). "India Nippon Electricals Limited Fair Value". https://www.fairvalue-calculator.com/stock/INDNIPPON.BSE

Peer Group

Auto Parts · 641 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 57 · Above median
Fair Value upside −39% · Below median
Return on equity (TTM) 12% · Top 25%
Return on assets 6% · Top 25%
Net margin (TTM) 9% · Top 25%
Operating margin (TTM) 9% · Above median
Revenue growth 30% · Top 25%
Dividend yield (TTM) 1.4% · Below median

Valuation Multiples vs Auto Parts median · lower = cheaper

P/E (TTM) 29.3× · Pricier than median
P/B 3.02× · Pricier than median
P/S (TTM) 2.63× · Pricier than 75% of peers
EV/EBITDA 23.7× · Pricier than 75% of peers

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Auto Parts stocks, each showing price versus our Fair Value estimate (as of Aug 21, 2026).

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Samvardhana Motherson International Limited MOTHERSON ₹165.30 ₹80.63 −51%
Magna International Inc MGA $65.57 $68.17 +4%
Genuine Parts Company GPC $137.51 $58.07 −58%
Bosch Limited BOSCHLTD ₹48,700 ₹11,534 −76%
Ningbo Tuopu Group 601689 ¥45.82 ¥28.28 −38%
Bharat Forge Limited BHARATFORG ₹2,063 ₹393.20 −81%

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Frequently asked questions

Is India Nippon Electricals Limited (INDNIPPON) overvalued or undervalued?
As of Aug 21, 2026, our model estimates a fair value of ₹803.79 versus a price of ₹1,159, about −31% upside (overvalued).
What is the fair value of INDNIPPON?
Our model-based fair value for India Nippon Electricals Limited is ₹803.79 (as of Aug 21, 2026), built from audited fundamentals. The current price: ₹1,159.
What is the quality score of INDNIPPON?
India Nippon Electricals Limited has a Quality Score of 58/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for India Nippon Electricals Limited (INDNIPPON)?
Our model-based price target is the fair value of ₹803.79 (as of Aug 21, 2026) from 15 valuation models. Cautious scenario ₹603.45, optimistic scenario ₹1,004. It is a calculation from audited fundamentals, not an analyst target.
What is the India Nippon Electricals Limited stock forecast for 2026?
Our models put fair value at ₹803.79, about −31% upside versus a price of ₹1,159 (overvalued). Cautious scenario ₹603.45, optimistic scenario ₹1,004. The calculation is refreshed regularly with new filings.
What is the revenue of India Nippon Electricals Limited (INDNIPPON)?
India Nippon Electricals Limited reported trailing-twelve-month revenue of about ₹9.5B (latest available figure, as of Aug 21, 2026).
What is the net profit margin of INDNIPPON?
The net profit margin of India Nippon Electricals Limited is about 9.5%, meaning it keeps roughly 9.5% of revenue as net income. Based on the latest reported figures.
Does India Nippon Electricals Limited pay a dividend?
India Nippon Electricals Limited currently shows a dividend yield of about 1.41% relative to its recent price (as of Aug 21, 2026).
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