Setco Automotive Limited (SETCO) Fair Value & Analysis

Consumer Cyclical · IN · Market cap ₹2.1B

Below-average quality, and screening another 11% overvalued on our models.

What matters now

• The model range is unusually wide (₹3.11 to ₹39.91). The outcome hinges heavily on assumptions, so read the point estimate with caution.
• Evidence is limited here (fewer models, shorter history), so the fair value is a rougher estimate than usual.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ₹2.73 – ₹19.28 · fair‑value band ₹3.11 – ₹39.91 · the ₹17.50 price screens above the ₹15.56 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Setco Automotive Limited (SETCO) currently trades at ₹17.50, while our model-based Fair Value estimate is ₹15.56, implying the stock looks roughly 11.1% overvalued today. The Quality Score stands at 48/100 (below-average quality), in the Consumer Cyclical sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: low).

Over the trailing twelve months, Setco Automotive Limited generated revenue of ₹7.7B at a net margin of -17.8%. Revenue grew 10.8% year over year. It earns a return on equity of -71.9%. Net debt stands at ₹11.0B. Fundamentals as of Aug 13, 2026

Our scenario range runs from ₹3.11 (bear case) to ₹39.91 (bull case); at ₹17.50, the current price sits within 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 10% below its 52-week high and 178% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at -52% fair-value upside, at -11%, SETCO screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted 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.

Widest divergence: Multiples (₹18.80) versus Dividend Discount (₹0.0700). Highest evidence: ROIC Compounder (72).

Key figures & financial health

Quality Score breakdown

About the company

Setco Automotive Limited, together with its subsidiaries, manufactures and trades in clutches and other automotive components in India and internationally.

Full company description

Setco Automotive Limited, together with its subsidiaries, manufactures and trades in clutches and other automotive components in India and internationally. The company offers brake linings; clutch products for commercial vehicles and farm tractors comprising cover and disc assemblies, and repair kits; clutch release and center support bearings; flywheels; universal joint crosses; water pumps; load cushions; torque rod bushes; and lubricants, such as bike and car engine oils, heavy commercial vehicle and tractor engine oils, coolants, greases, and various setcoil products. It also provides training programs to vehicle manufacturers, dealers, and distributors on the mechanics of clutch settings and maintenance. The company sells its products under the LIPE and Lava Cast brands. It exports its products to the United States. The company serves the automotive and construction equipment industries, as well as original equipment manufacturers and the aftermarket. The company was formerly known as Gujrat Setco Clutch Limited and changed its name to Setco Automotive Limited in February 2006. Setco Automotive Limited was incorporated in 1982 and is based in Mumbai, India.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Setco Automotive Limited reported revenue of ₹7.2B in FY2025 versus ₹3.6B in FY2021, a compound +18.9%/yr. Reported net income was −₹1.1B in FY2025.

SETCO screens 11% overvalued. Compare with Hyundai Mobis Co →

Peer Group

Auto Parts · 639 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.

Valuation Multiples vs Auto Parts median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

PAST 0: with negative equity (buybacks among others) return on equity is not meaningfully computable.

Values & ESG

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

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.