Announcement
Announcement Under Regulation 30(5) - SEBI LODR 16 Oct - Company intimates authorized KMPs for material event disclosures under Regulation 30(5).
Source: Bse
Balu Forge Industries Limited (BALUFORGE)
Small CapAuto stocks · Small cap · NSE
Balu Forge Industries manufactures precision machined and forged components for diverse end-markets including automotive, industrial machinery, power generation, defence, and railways. It supplies to 25 global OEMs across 80 countries, operating four facilities in India and UAE with integrated forging, heat-treatment, and machining lines.
Data qualityFresh enough for analysisQuote updated 21 Oct, 03:31 pm ISTDetails
Quote21 Oct, 03:31 pm IST
Base fundamentals21 Oct 2026 · screener
Latest result12 Aug, 09:04 pm IST
Score21 Oct, 06:09 pm IST · v4.3-runtime-valuation
Tags02 May 2026
Coverage13/14 · 93%
Valuation2026-07-20 · Rf 6.8% · Auto P/E 25.7 (n=127)
Technical timing lens
Trend score and candlestick chart
35BearishSMA20 -13.5% / mo · MACD − · sector -2.2pp vs Nifty 500 (3M)
Stock trend: 29
Sector RS: 44
Sector 3M: -7.8% vs Nifty 500 -5.6%
Auto FPI tailwindNot confirmed
Latest mapped FPI equity flow was not positive. View sector evidence
Technical chart
BALUFORGED candles · FIT view-6.7%Latest close ₹450.70 on 2026-10-21
Bar
-4.1%
RSI
34
MACD hist
-2.93
52W pos
34%
2026-10-21O ₹470.00H ₹480.00L ₹446.00C ₹450.70Vol 6.2L sh
Up bar
Down bar
EMA 20
EMA 50
Volume + 20D avg
Result date
RSI(14)
MACD / signal
Market context
Relative performance and chart statistics
Adjusted completed-session prices, rebased to 100
BALUFORGENifty AutoNifty 500
- BALUFORGE
- +2.1%
- Nifty 500
- -6.5%
- Nifty Auto
- -7.8%
- Vs Nifty 500
- +8.6 pp
Chart stats
21 Oct 2026- From 52W high
- -33.0%
- 52W range position
- 33%
- ATR (14)
- 4.7%
- Volume vs 20D
- 1.29x
- Avg traded value
- ₹24 Cr
- 20D price channel
- ₹446 - ₹529
₹672.4
₹341.1 - ₹672.4
₹21
Latest completed session
20-session average
37.5% annualized volatility
Research snapshot
What the evidence says now
Investable fundamentals, management evidence is still limited to a financial-only Trust Lite signal, price trend argues for patience, and recent execution is consistent.
Suggested next step
Research, do not rush
The evidence is not strongly aligned. Compare peers and wait for a cleaner setup.
U-Score
Legacy · UNDERVALUED61
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
Latest result
Average52
Revenue +29.2% · PAT +15.8% YoY
Technical
Bearish35
Price trend and sector-relative-strength timing.
Valuation
Legacy model+48.6%
Legacy margin-of-safety estimate; the revised evidence label remains in shadow validation.
Trust
Limited evidence76
Financial-only signal; management claim evidence is not sufficient yet.
Financials
Fundamentals, quarterly history, margins, returns and balance-sheet evidence
Financials
Fundamentals, quarterly history, margins, returns and balance-sheet evidence
Latest result
Quarter ended 30 Jun 2026
Average · 52/100margin compression · Rev +29% YoY · PAT +16% YoY · +14% QoQ
Filed 12 Aug 2026
Open results browser →| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹301 Cr | +29.2% | +14.0% |
| EBITDA | ₹85 Cr | +18.1% | +41.7% |
| Operating margin | 28.0% | -300 bps | +500 bps |
| PAT | ₹66 Cr | +15.8% | +0.0% |
| PAT margin | 21.9% | -253 bps | -307 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Fundamentals
Valuation
- P/E
- 20.50
- P/B
- 3.45
- EV/EBITDA
- 17.40
- Market Cap
- 5486.00Cr
Profitability
- ROE
- 19.60%
- ROCE
- 22.70%
- ROA
- 14.48%
- Dividend Y
- 0.03%
Growth (CAGR)
- Revenue 5Y
- 51.00%
- EPS 5Y
- 102.00%
- Revenue 3Y
- 50.00%
- EPS 3Y
- 88.00%
Balance Sheet
- Debt/Equity
- 0.10
- Interest Coverage
- 16.42×
- Altman Z
- 8.62
- Book Value
- 131.00
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 2/5
- OCF
- 32.00 Cr
- EPS TTM
- 22.75
Shareholding
- Promoter Hold
- 53.99%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 34%
Financial History
Updated 21/10/2026
Revenue
₹ CrLatest: 301+14.0% vs prev
Net Profit
₹ CrLatest: 66.0+0.0% vs prev
ROE is shown only in the Annual view — quarterly equity data isn't published.
Technicals
Trend interpretation, Stage 2, relative strength, volume and indicator evidence
Technicals
Trend interpretation, Stage 2, relative strength, volume and indicator evidence
Daily technical trend read
Bearish setupTrend is weak — long-term trend down. RSI 34.
- Price below SMA200 (long-term downtrend) — short-term bounces likely countertrend.
- SMA20 falling (~15.6% over last month) — short-term momentum negative.
- RSI(14) at 34 — falling, no extreme reading.
- MACD below signal, histogram expanding negatively — bearish momentum building.
- 32% off 52W high · 32% 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
41
RS percentile
Stage 1 Base / Transition
1M return
-13.1%
3M return
+2.1%
6M return
-4.3%
1Y return
-29.5%
RS 1D
-3
RS 20D
-9
Sector rank
#5
Industry rank
#30
Stage evidence
- Price is within 7.0% of the 30-week proxy.
- The 30-week proxy changed +0.9% over 20 sessions.
- The moving-average structure does not confirm Stage 2 or Stage 4.
50-DMA
price below
200-DMA
price below
Sector
neutral
Industry
weakening
Relative-strength line vs Nifty 500 (base 100)
262 observations
21 Oct 2026Value 74.47-3.10%
RS vs Nifty 50074
Valuation & peers
U-Score 61 · legacy U-Score band UNDERVALUED · valuation evidence and comparable companies
Valuation & peers
U-Score 61 · legacy U-Score band UNDERVALUED · valuation evidence and comparable companies
Financial Turnaround
Fundamental score breakdown
U band · UNDERVALUEDValuation10/30
Growth23/25
Quality11/20
Balance Sheet10/15
Cash Flow2/10
Piotroski
8/9 (+5)
Penalties
0
Raw sum
61
Why this score?
Top U-Score contributors and drags from the latest stored fundamentals.
61/100 · legacy band UNDERVALUED
Positive drivers
- Piotroski is strong at 8/9.
- Fair-value margin of safety is positive at 48.6%.
- Growth contributes 23/25 to the score.
Main drags
- Cash flow is weaker at 2/10; verify the latest quarterly trend.
- Valuation is weaker at 10/30; verify the latest quarterly trend.
- Quality is weaker at 11/20; 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.
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
20.5
PB
3.5
EV/EBITDA
17.4
ROE
19.6%
ROCE
22.7%
FCF Yield
—
Debt/Equity
0.1
MoS
+48.6%
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: 21 Oct 2026
v4.3-runtime-valuation
Final score
61
Previous: 61
Legacy U-Score band
UNDERVALUED
Previous: UNDERVALUED
Margin of safety
+48.6%
Previous: +48.6%
Score history
12 stored score snapshots. Latest stored move: +0 points.
21 Oct 2026
v4.3-runtime-valuation
61
61
61
61
61
61
61
61
61
61
61
61
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
₹258.95
-74.0% MoS
Growth-justified P/E
38.5
Growth-justified Value
₹877.01
+48.6% MoS
PEG
0.21
Comparable companies
Peers
Business-comparable peers in Auto — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.
Ticker
Name
Why peer
Score
PE
ROE
MoS
Verdict
HILTON
Small
Hilton Metal Forging Limited
Auto Components
match 161
44
16.9
2.6%
+58%
WATCHLIST
GANGAFORGE
Small
Ganga Forging Limited
Auto Components
match 158
9
—
-13.2%
—
OVERVALUED
HAPPYFORGE
Small
Happy Forgings Limited
Auto Components
match 153
43
58.0
15.0%
-40%
WATCHLIST
MUNISH
SME
Munish Forge Ltd.
Auto Components
match 151
40
20.6
10.4%
+47%
WATCHLIST
FORGEAUTO
SME
Forge Auto International Ltd.
Auto Components
match 150
37
8.9
17.7%
-15%
WATCHLIST
Business, management & trust
Growth engines, risks, management commitments and evidence-backed delivery
Business, management & trust
Growth engines, risks, management commitments and evidence-backed delivery
Business and thesis
Where growth can come from, and what can break the case
Thesis intactReviewed 2026-07-20T00:40:43.751Z
Management commentary snapshot
FY26 Revenue from Operations grew 19.9% YoY to Rs. 11,074 Mn, with EBITDA margin at 27.0% and PAT margin at 22.7%. Q4 FY26 revenue declined 2.3% YoY and 15.3% QoQ, while EBITDA fell 20.1% YoY and 29.1% QoQ, indicating a sequential slowdown.
Balu Forge is strategically expanding into high-value defence, aerospace, and railway sectors, evidenced by new orders and NATO induction. While FY26 showed strong growth, Q4 FY26 results indicate a sequential slowdown in revenue and profitability, warranting close monitoring of execution and demand in new segments.
Current business mix
FY26 Order Book by Industries
Latest issuer-disclosed distribution across 6 reported categories.
Agriculture10.0%
Defence/Aerospace/Railway50.0%
Oil & Gas7.0%
Power Generation3.0%
Heavy Engineering & Industrial Machinery11.0%
Commercial Vehicles19.0%
Growth engines
Expanding in High-Value Engineering Sectors
Expanding into defence, aerospace, railways, energy, and industrial equipment with complex precision components.
Facility at Hattargi for Future Growth
Developing a 46-acre facility with machining capacity of 58,000+ MTPA and captive forging capacity of 1,00,000+ MTPA.
Acquired Integrated Manufacturing Platform
Acquired facilities from Mercedes-Benz Truck AG (Germany), Thyssenkrupp AG (France), and Ursus SA (Poland).
Ongoing Investment in Technology and R&D
Equipped with 7-axis and 11-axis machining systems and a 25-ton hydraulic hammer for high-precision forgings.
Capacity and execution
Large-caliber ammunition shell line
Commissioned a 360,000 shells per annum large-caliber ammunition shell line at its greenfield Belgaum facility.
Precision machining line
Commercialized a high-precision machining line comprising advanced 7-Axis and 11-Axis CNC machines at its Belgaum facility.
Forging capacity expansion
Forging capacity of 100,000 MTPA, planned to be expanded in phases to 150,000 MTPA.
25T hydraulic hammer
Acquired one of the world’s largest closed die forging 25T hydraulic hammer, significantly enhancing forging capacity. Presently under commissioning.
Tailwinds
India Defence Outlook
Indian Ammunition Market Expected to Reach Rs. 107 Bn by 2030.
Global Ammunition Market
Global Ammunition Market Expected to Reach Rs. 1,714 Bn by 2030.
Defence Budget Allocation
75% of FY26 Capital Procurement Allocated for Indian Industry.
China+1 and Europe+1 Shift
The China+1 shift, alongside the emerging Europe+1 trend, is creating new opportunities with increasing production moving out of the EU.
Risk radar
Geopolitical Risks
Subject to certain risks and uncertainties like government actions, local political or economic developments.
Technological Risks
Subject to certain risks and uncertainties like technological risks.
Competitive Environment
Future developments in its businesses and its competitive and regulatory environment.
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
Full-year (FY26 YoY) provides a comprehensive view of the company's growth trajectory and strategic shifts. Quarterly (Q4 FY26 YoY and QoQ) is crucial to assess recent momentum, especially given the sequential decline in revenue and profitability, and the commissioning of new lines.
Sector KPIs management disclosed
Revenue from Operations (FY26)
Rs. 11,074 Mn
EBITDA Margin (FY26)
27.0%
PAT Margin (FY26)
22.7%
ROCE (FY26)
21.7%
Management forward view
Non-automotive sector growth
Revenue share from the Non-automotive sector is expected to increase in the coming years as the company expands into Defence, Aerospace, and Railways.
Diversified approach
The company is well-protected from geopolitical risks and industry downturns due to its diversified approach across multiple sectors and minimal geographical concentration.
Focus on value-added components
Prioritization the production of the fully machined, value-added components, reflecting its core expertise in precision machining.
Thesis monitor
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Defence, Aerospace & Railways Revenue Contribution | 13% (FY26) | Continued increase in revenue share from these high-value segments, validating strategic shift. |
| Forging Capacity Utilization | 100,000+ MTPA (planned to 150,000 MTPA) | Ramp-up and utilization rates of new forging capacity, especially the 25T hydraulic hammer. |
| Order Book Growth & Diversification | Defence, Aerospace & Railways account for ~50% of order book. | Sustained order wins and diversification across new high-value sectors and global markets. |
| Quarterly Revenue & Profitability | Q4 FY26 revenue down 15.3% QoQ, EBITDA down 29.1% QoQ. | Reversal of sequential decline and stabilization/growth in revenue and margins in upcoming quarters. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trust Score
76Limited evidence · 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.
Limited evidence: Claim history is still being built. It ranks around the 81st percentile of the scored universe and 63rd percentile within Auto. Main check: cash conversion is weak at 55/100.
This is a financial-behaviour screen, not a claim-tested management reliability verdict.
Computed 05 Sept 2026
management-trust-v1
36 docs text-extracted · 0 concalls text-extracted
Score band
Limited evidence
Financial behaviour is scored, but management claims do not yet have enough outcome checks.
Relative rank
81st percentile
overall median 67 · Auto: 63rd pctile, median 74 · Small: 83rd pctile, median 66
Evidence depth
Financial-only
36 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
Limited evidence · low confidenceWhat 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
Can support position sizing if valuation and trend also agree.
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
55
watch · profit to cash conversion
Balance sheet
96
strong · leverage and solvency
Discipline
80
strong · capital discipline
Results
87
strong · quarterly consistency
Trust positives
- ▸Promoter pledge is zero.
- ▸Debt/equity is 0.10.
- ▸ROCE is 22.7%.
- ▸3/4 latest quarters had positive YoY revenue growth.
Trust risks
- ▸Promoter holding fell 1.3%.
- ▸ROCE trend is -5.3%.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Continue researching Balu Forge Industries Limited
Important announcements & filings
Latest exchange and company disclosures found within the past two years.
Open source ↗
AnnouncementSep 2026
Sep 2026 · Announcement under Regulation 30 (LODR)-Change in Management 26 Sep - Tabassum Begum resigned as Company Secretary on Sep 26, 2026; Amit Vinaybhai Jain appointed from Oct 15, 2026.
Source: Bse
AnnouncementSep 2026
Sep 2026 · Announcement under Regulation 30 (LODR)-Resignation of Company Secretary / Compliance Officer 26 Sep - Ms. Tabassum Begum resigned as Company Secretary and Compliance Officer effective September 26, 2026.
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 8 Sep
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Analyst / Investor Meet - Intimation 8 Sep - Intimation of schedule of Analyst / Institutional Investor Meeting pursuant to Regulation 30 of SEBI (LODR) Regulations, 2015, to be held on Friday, September 11, …
Source: Bse
AnnouncementAug 2026
Aug 2026 · Announcement under Regulation 30 (LODR)-Analyst / Investor Meet - Intimation 14 Aug - Goldman Sachs, Capital Group and Wellington Management to visit Belgaum and Hattargi on August 20, 2026.
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 14 Aug - Intimation of submission of newspaper publication of post-dispatch of Notice of (01/2026-27) EGM.
Source: Bse
AnnouncementJul 2026
Jul 2026 · Announcement under Regulation 30 (LODR)-Analyst / Investor Meet - Intimation 29 Jun - Plant visit at Belgaum and Hattargi with analysts/investors on July 2, 2026.
Source: Bse
Investor presentationJun 2026
Jun 2026 · PPT
Source: Bse
AnnouncementJun 2026
Jun 2026 · Announcement under Regulation 30 (LODR)-Monitoring Agency Report 14 Aug - Monitoring Agency Report for quarter ended June 30, 2026 shows nil deviation in Rs.496.80 crore preferential issue utilization.
Source: Bse
AnnouncementJun 2026
Jun 2026 · Announcement under Regulation 30 (LODR)-Newspaper Publication 14 Aug - Newspaper Publication regarding Un-audited Financial Results for the Quarter ended June 30, 2026.
Source: Bse
AnnouncementJun 2026
Jun 2026 · Announcement under Regulation 30 (LODR)-Analyst / Investor Meet - Intimation 19 Jun - Balu Forge schedules a non-deal roadshow with investors and analysts on 24 June 2026.
Source: Bse
All information is for study purposes only. For investment decisions, consult your financial advisor. See Playbook for methodology.