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IndiaPulse

Ather Energy Limited (ATHERENERG)

Small Cap

Auto stocks · Small cap · NSE

Ather Energy Limited is an Indian electric two-wheeler manufacturer. The company focuses on EV scooter production, supported by its proprietary charging infrastructure (Ather Grid) and a growing network of experience and service centers. It recently launched new models and is expanding manufacturing capacity.

₹1,584
-54.90 · -3.35%
Quote04 Sept, 03:59 pm IST
Fundamentals05 Sept 2026 · screener
Score05 Sept, 10:20 pm IST · v4.3-runtime-valuation
Tags02 May 2026
Coverage7/14 · 50%
Valuation2026-07-20 · Rf 6.8% · Auto P/E 26.5 (n=128)
Data confidence
Verify one data layer
Investor decision lenses

One read, four checks

75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.

Weak fundamentals, management trust is acceptable, price trend is neutral, and recent execution is weak.

Suggested next step
Check latest quarters
Result consistency is weak; verify whether the thesis is improving or deteriorating.
U-Score
OVERVALUED
6

Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.

Trust
Mixed Trust
60

low confidence · 0/0 claims checked

Technical
Bullish
63

Timing lens: price trend and sector relative strength.

Result consistency
weak
45

Rolling lens: recent quarterly delivery, not the latest single-result score.

Latest result

Quarter ended 30 Jun 2026

Average · 30/100

YoY data unavailable — classification deferred

Filed 03 Aug 2026
Open results browser →
MetricThis quarterYoYQoQ
Revenue₹1,217 CrNDF+3.6%
EBITDA₹-33 Cr+75.4%+52.9%
Operating margin-2.7%+1830 bps+330 bps
PAT₹-51 CrNDFNDF
PAT margin-4.2%+2341 bps+432 bps

NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.

Business & thesis

Growth engines, tailwinds/headwinds, and risk radar from management commentary

Business and thesis

Where growth can come from, and what can break the case

Thesis intactReviewed 2026-06-15T22:53:18.146Z
Management commentary snapshot

Ather Energy reports strong Q4 FY26 and FY26 performance with significant volume growth, market share gains, and substantial EBITDA margin improvement, though still negative.

Ather demonstrates robust execution in volume growth and market penetration, doubling its experience centers and gaining significant market share. The substantial improvement in EBITDA margin, despite remaining negative, indicates progress towards profitability. However, the impact of commodity price inflation on future margins warrants close monitoring.

Current business mix

Revenue Mix

Latest issuer-disclosed distribution across 2 reported categories.

Businessmix
Sale of Vehicles87.0%
Sale of Non-Vehicles13.0%
Growth engines

Network Expansion

700 Experience Centres as on Mar’26, a 2x increase YoY (+349 additions). Network doubled in one year.

New Product Launches

High Range 450 & Rizta launched. Over 2.5 lakh Rizta units sold as on Mar’26 (within 21 months of launch).

EL-Scooter Platform

Designed to meet diverse needs, enabling growth in mass premium market, expanding TAM and margins.

Charging Infrastructure

6,000+ charging points as on Mar’26 (+1,143 added in FY26). Charging sessions grew 2.2x YoY.

Capacity and execution

Factory 3.0

Total capacity of 10 lakh units (5 lakh in Phase-I & 5 lakh in Phase-II). Phase-I commences in Q3 FY27.

Tailwinds

EV Industry Momentum

EV category searches surged 140% from Q1 to Q4 FY26. Strong industry volume growth of 35% in last 2 quarters.

Brand Health Improvement

YoY growth in Awareness +100%, Consideration +31%, Preference +50% in FY26. #1 searched EV brand in Q4 FY26.

Charging Standardization

Ather leads LEAF consortium, building one standard for all E2W charging, tackling network fragmentation.

Headwinds

Commodity Price Inflation

Near-term headwinds with +103% rise in precious metals price and +41% rise in aluminium & non-ferrous metals price from Q1 FY26 to Q4 FY26.

Risk radar

Commodity Price Volatility

Global input cost volatility drove a sharp increase in battery pack costs towards the end of FY26, pressuring gross margins.

Management accountability

What management said, and what results must prove

Management accountability

What management said, and what results must prove

Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.

Analyst reading lens
Compare BOTH

YoY comparison is crucial for assessing annual growth and overall financial improvement, especially for a rapidly expanding company. QoQ comparison is important to track sequential momentum in sales, market share, and margin trends, reflecting recent operational performance and market dynamics.

Sector KPIs management disclosed

Units Sold (Wholesale)

Q4 FY26: 83K units (+76% YoY | +23% QoQ). FY26: 263K units (+69% YoY).

Market Share

Q4 FY26: 18.6% (+1,100 bps vs Q1 FY25). FY26: 17.4%.

Revenue from Operations per Unit

Q4 FY26: INR 140,817. FY26: INR 121,386 (vs INR 128,295 in FY25).

Adjusted Gross Margin %

Q4 FY26: 25% (+700 bps YoY | +0 bps QoQ). FY26: 24% (+500 bps YoY).

Management forward view

Distribution & Market Presence

Management aims to deepen distribution and expand market presence across India, leveraging EC additions.

EL Platform Strategy

The EL platform is expected to expand the Total Addressable Market (TAM) and improve margins.

Manufacturing & Vertical Integration

Factory 3.0 in AURIC will boost EL scooter capacity and enable vertical integration for battery, scooter, transmission, painting, and electronics assembly.

Thesis monitor

Numbers and claims to verify in the next filings

CheckpointCurrent evidenceWhat to verify next
EBITDA Margin(2.5%) in Q4 FY26Continued improvement towards sustained profitability.
Market Share18.6% in Q4 FY26Sustained gains across all regions, particularly in Middle and Rest of India.
Factory 3.0 Phase-I CommencementTargeted Q3 FY27Timely commissioning and efficient ramp-up of the 5 lakh unit capacity.
COGS per UnitINR 108,497 in Q4 FY26 (-9% YoY)Ability to maintain cost reduction trajectory despite commodity price headwinds.

Verification checkpoints are IndiaPulse research interpretation, not investment advice.

Technical timing lens

Trend score and candlestick chart

63Bullish

full bull SMA stack · SMA20 +19.1% / mo · MACD + · near 52W high · sector -3.3pp vs Nifty (3M)

Stock trend: 84
Sector RS: 31
Sector 3M: -4.8% vs Nifty -1.5%

Technical chart

ATHERENERGdaily · 1Y · AUTO+131.5%
Latest close ₹1584.00 on 2026-09-04
Bar
-3.6%
RSI
59
MACD hist
3.47
52W pos
87%
2026-09-04O ₹1644.00H ₹1644.50L ₹1560.90C ₹1584.00Vol 55.9L sh
₹595.93₹896.62₹1.20k₹1.50k₹1.80k52H1584.002026-032026-06VolRSIMACD2026-032026-042026-062026-072026-09
Up bar
Down bar
EMA 20
EMA 50
Volume + 20D avg
Result date
RSI(14)
MACD / signal

Daily technical trend read

Mixed signals

Signals are conflicting — long-term uptrend intact. RSI 59. Wait for confirmation.

  • Price > SMA20 > SMA50 > SMA200 — full bullish stack.
  • SMA20 rising (~16.0% over last month) — short-term momentum positive.
  • RSI(14) at 59 — falling, no extreme reading.
  • MACD above signal but histogram contracting — bullish momentum cooling.
  • 9% off 52W high · 221% above 52W low.

Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.

Nifty 500 leadership

Relative Strength & Trend Stage

99
RS percentile
Stage 2 Uptrend
1M return
+6.9%
3M return
+53.4%
6M return
+122.9%
1Y return
+184.7%
RS 1D
0
RS 20D
0
Sector rank
#6
Industry rank
#13
Stage evidence
  • Price is 55.0% above the 30-week proxy.
  • The 50-DMA is above the 30-week proxy and its slope is rising +13.3%.
  • Both 3-month and 6-month returns are positive.
50-DMA
price above
200-DMA
price above
Sector
weakening
Industry
weakening
Relative-strength line vs Nifty 500 (base 100)
264 observations
04 Sept 2026Value 383.27-3.35%
84171258345432Aug 25Dec 25Apr 26Sept 26383
RS vs Nifty 500383

Valuation & score drivers

U-Score 6 · OVERVALUED · pillar breakdown, sector model, fair-value anchor

6U-SCORE
OVERVALUED

Fundamental score breakdown

OVERVALUED
Valuation2/30
Growth0/25
Quality0/20
Balance Sheet5/15
Cash Flow0/10
Piotroski
2/9 (+0)
Penalties
-1
Raw sum
6

Why this score?

Top U-Score contributors and drags from the latest stored fundamentals.

6/100 · OVERVALUED

Positive drivers

  • Balance sheet contributes 5/15 to the score.
  • Valuation contributes 2/30 to the score.
  • Growth contributes 0/25 to the score.

Main drags

  • Altman Z is 0.0, in distress territory.
  • Penalty bucket subtracts 1 points.
  • Growth is weaker at 0/25; verify the latest quarterly trend.
Sector valuation model

Consumer valuation: PE/PEG and brand-quality premium

Consumer franchises can deserve higher multiples, but only when growth quality supports them.

Consumer PE/PEG
Primary lens
PE and PEG relative to growth, ROE, margins, and brand strength.
Secondary checks
Volume growth, pricing power, distribution, same-store or category growth.
Main risk check
Premium valuation needs durable growth and margin resilience.
PE
PB
EV/EBITDA
ROE
ROCE
FCF Yield
Debt/Equity
0.0
MoS
Score movement

Stored run vs live recompute

This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.

Stored run: 05 Sept 2026
v4.3-runtime-valuation
Final score
6
Previous: 6
Verdict
OVERVALUED
Previous: OVERVALUED
Margin of safety
No stored baseline yet

Score history

12 stored score snapshots. Latest stored move: +0 points.

05 Sept 2026
v4.3-runtime-valuation
15
15
6
6
6
6
6
6
6
6
6
6

Factor attribution

No pillar movement versus the latest stored run. Historical score trend will appear after snapshot storage is enabled.

Modelled fair value

Graham Number
Growth-justified P/E
7.4
Growth-justified Value
— MoS
PEG

Trust score

Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth

Trust Score
60Mixed Trust · low confidenceTrust Lite

Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.

Mixed Trust: Claim history is still being built. It ranks around the 28th percentile of the scored universe and 13th percentile within Auto. Main check: cash conversion is weak at 43/100.

Healthy Trust Lite: Promoter pledge is zero. Key concern: Promoter holding fell 1.3%.

Computed 05 Sept 2026
management-trust-v1
37 docs text-extracted · 10 concalls text-extracted
Score band
Mixed Trust

Usable, but needs evidence. Treat guidance with a margin of safety.

Relative rank
28th percentile

overall median 67 · Auto: 13th pctile, median 74 · Small: 32nd pctile, median 66

Evidence depth
Financial-only

37 documents have extracted text, but claim history is not strong enough yet.

Claim delivery
Outcome history still building

0 claims extracted · No contradicted claim yet

How to read this Trust Score

Mixed Trust · low confidence
What it measures
Reliability of management and financial delivery, using financial behaviour only.
Confidence
Treat this as an early read until more concalls and outcomes are matched.
Investor use
Acceptable, but check the weakest sub-score before increasing exposure.

Read Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.

Forensic breakdown

Read low sub-scores as due-diligence warnings, not automatic sell signals.

Promoter
70
acceptable · holding, pledge, alignment
Cash flow
43
weak · profit to cash conversion
Balance sheet
80
strong · leverage and solvency
Discipline
60
acceptable · capital discipline
Results
45
watch · quarterly consistency

Trust positives

  • Promoter pledge is zero.
  • Debt/equity is 0.00.

Trust risks

  • Promoter holding fell 1.3%.
  • Only 0 years of positive FCF.
  • OPM spread across recent quarters is 22.3%.

Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.

Financials

Full fundamentals table and 10-year revenue / profit / ROE history

Fundamentals

Valuation

P/E
P/B
EV/EBITDA
Market Cap
62822.00Cr

Profitability

ROE
ROCE
ROA
Dividend Y

Growth (CAGR)

Revenue 5Y
EPS 5Y
Revenue 3Y
EPS 3Y

Balance Sheet

Debt/Equity
0.00
Interest Coverage
-4.98×
Altman Z
0.00
Book Value

Cash Flow

FCF Yield
FCF Positive Y
0/5
OCF
EPS TTM
-13.51

Shareholding

Promoter Hold
39.58%
Promoter Pledge
0.00%
Momentum 52W
87%

Financial History

Updated 5/9/2026

Revenue

₹ Cr
No data

Net Profit

₹ Cr
No data

Return on Equity

%
No data

Peers

Business-comparable names in Auto, ranked by similarity

Verify on:NSE India ↗
All information is for study purposes only. For investment decisions, consult your financial advisor. See Playbook for methodology.