Share Market Update – Bhagwati Autocast Share Price Target 2025

Bhagwati Autocast Share Price Target 2025:- Bhagwati Autocast Ltd, established in 1981 and headquartered near Bavla in Ahmedabad, Gujarat, is a prominent Indian manufacturer specializing in high-quality cast iron (CI) and spheroidal graphite iron (SGI) castings. The company operates a state-of-the-art facility equipped with a Disa Flex-70 high-pressure molding line, boasting an annual production capacity of 18,000 tons. Bhagwati Autocast’s product portfolio includes critical components such as cylinder blocks, crankcases, hydraulic lift housings, gearboxes, clutch housings, and front axle supports, catering to diverse industries like automotive, agriculture, air and gas compression, refrigeration, and wind energy. Bhagwati Autocast Share Price on BOM as of 5 May 2025 is 332.05 INR.

Bhagwati Autocast Ltd: Current Market Overview

• Open: 324.00
• High: 349.00
• Low: 324.00
• Mkt cap: 95.65Cr
• P/E ratio: 12.75
• Div yield: 0.60%
• 52-wk high: 596.30
• 52-wk low: 319.95

Bhagwati Autocast Share Price Chart

Bhagwati Autocast Share Price Target 2025 (Prediction)

Bhagwati Autocast Shareholding Pattern

• Promoters: 73.92%
• FII: 0%
• DII: 0%
• Public: 26.08%

Key Factors Affecting Bhagwati Autocast Share Price Growth

Here are five key factors influencing the growth prospects of Bhagwati Autocast Ltd (BSE: 504646):

1. Strong Financial Performance

   In Q3 FY2024–25, Bhagwati Autocast reported a remarkable net profit of ₹1.41 crore, a 14,000% year-on-year increase, alongside a 29.64% rise in sales to ₹31.67 crore.

2. Improved Operating Margins

   The company achieved an operating profit margin of 9% in Q3 FY2024–25, up from 1.23% in the same quarter the previous year, indicating enhanced operational efficiency.

3. Healthy Return Ratios

   Bhagwati Autocast boasts a Return on Equity (ROE) of 18.41% and a Return on Capital Employed (ROCE) of 22.56%, reflecting strong profitability and efficient capital utilization.

4. Attractive Valuation

   With a Price-to-Earnings (P/E) ratio of 12.8x, the stock is trading below the peer average of 17.7x, suggesting potential undervaluation and room for price appreciation.

5. Positive Industry Outlook

   The company is poised to benefit from increased demand in the tractor industry and infrastructure development, which are expected to drive growth in its casting and forging segments.

Risks and Challenges for Bhagwati Autocast Share Price

Here are five key risks and challenges that could impact Bhagwati Autocast Ltd:

1. Volatile Financial Performance

   In Q2 FY2024–25, Bhagwati Autocast reported a net loss of ₹0.48 crore, with earnings per share (EPS) dropping to ₹-1.67—the lowest in five quarters. Net sales also declined by 11.54% year-on-year, indicating potential instability in revenue streams and profitability.

2. Exposure to Cyclical Industries

   The company’s performance is closely tied to the tractor and automotive sectors, which are inherently cyclical. Factors such as monsoon variability, government procurement policies, and credit availability can significantly influence demand, making revenue streams unpredictable.

3. Low Pricing Power and High Competition

   Operating in a highly competitive market, Bhagwati Autocast has limited ability to set prices, making it vulnerable to market pressures and potentially impacting profit margins.

4. Elevated Valuation Metrics

   With a Price-to-Earnings (P/E) ratio of 21.9 and a Price-to-Book (P/B) ratio of 3.15, the stock appears to be trading at a premium. This elevated valuation may limit upside potential and increase susceptibility to market corrections.

5. Limited External Shareholding

   The majority of the company’s shares are held by promoters, indicating a lack of significant institutional or external investor participation. This concentration can lead to lower liquidity and may affect stock stability and investor confidence.

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