Schaeffler India Limited (SCHAEFFLER)
Large CapAuto stocks · Large cap · NSE
Schaeffler India Limited is an automotive and industrial supplier, providing components and systems for mobility and industrial applications. Its business segments include Automotive Technologies, Vehicle Lifetime Solutions, and Bearings & Industrial Solutions.
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.
Mixed fundamentals, management trust is supportive, price trend argues for patience, and recent execution is consistent.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Average · 52/100margin compression · Rev +17% YoY · PAT +14% YoY · +7% QoQ
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹2,761 Cr | +17.3% | +6.8% |
| EBITDA | ₹499 Cr | +16.0% | +4.4% |
| Operating margin | 18.0% | +0 bps | +0 bps |
| PAT | ₹326 Cr | +13.6% | +3.2% |
| PAT margin | 11.8% | -39 bps | -41 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 & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
Q2CY26 revenue grew 17.5% YoY to INR 26,814 mn, with double-digit growth in Automotive Technologies, Vehicle Lifetime Solutions, and Exports. EBITDA margin was 19.1%, but earnings quality marginally declined due to increased costs from geopolitical developments. FCF significantly impacted.
Revenue growth across key segments is positive, but the decline in earnings quality due to geopolitical costs and the sharp drop in Free Cash Flow are concerning. Working capital increase, mainly inventories, needs close monitoring.
Sales Mix Q2 2026
Latest issuer-disclosed distribution across 4 reported categories.
Automotive Technologies
New business wins in Clutch for passenger vehicles, continued momentum in Double clutch for tractors, and business wins for Overrunning Alternator Pulley.
Vehicle Lifetime Solutions
Business wins for FEAD timing kits, bearings and lubricants continued; launched focus campaigns and workshop engagement programs.
Bearings and Industrial Solutions
New business wins for CRBs, DGBBs, SRBs, TRBs and Plain Bearings for raw material sector; business wins for Wheel Bearing, Needle Bearing, Water Pump Bearing and Gen-2 WB for automotive sector.
Exports
YoY double digit growth momentum continued in Exports.
Capex Framework
Capex – framework remains on track.
Automotive Sector Growth
Two and three wheelers – Growth driven by rural demand and steady urban mobility needs. PVs and CVs – Growth driven by new product launches and infrastructure investments. Tractors - Growth driven by strong monsoon outlook rural subsidies and higher farm incomes.
Earnings Quality Impact
Earnings quality marginally declined given increased cost linked to geopolitical developments.
Raw Material Costs
Steel production moderated due to rising raw material costs.
Depreciating INR
Earnings quality marginally impacted given to geopolitical developments related to fuel prices and depreciating INR.
Geopolitical Developments
Earnings quality marginally impacted given to geopolitical developments related to fuel prices and depreciating INR.
Working Capital Management
Working capital increase is mainly due to inventories, same will be managed in coming quarters.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
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.
The company explicitly provides both YoY and QoQ growth rates for revenue and earnings, and highlights sequential momentum in domestic business, while also noting annual growth trends across segments.
Revenue Growth (YoY)
17.5%
Revenue Growth (QoQ)
7.0%
EBITDA Margin
19.1%
PAT Margin
12.6%
Commitment to Deliver Results
Committed to deliver results and drive long term stakeholder value.
Working Capital Management
Working capital levels to remain in check.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Working Capital | 20,291 mn INR (Q2 2026) | Reduction in working capital levels, especially inventories, as management aims to manage it in coming quarters. |
| Free Cash Flow | 965 mn INR (Q2 2026) | Monitor FCF generation for recovery, as it was impacted by working capital increase and reduced earnings. |
| Earnings Quality | EBITDA Margin 19.1% (Q2 2026) | Track if earnings quality improves and if geopolitical cost impacts subside. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
33BearishSMA20 -1.9% / mo · MACD − · sector -3.3pp vs Nifty (3M)
Technical chart
SCHAEFFLERdaily · 1Y · AUTO-7.8%Daily technical trend read
Bearish setupTrend is weak — long-term trend down. RSI 39.
- Price below SMA200 (long-term downtrend) — short-term bounces likely countertrend.
- SMA20 falling (~1.9% over last month) — short-term momentum negative.
- RSI(14) at 39 — falling, no extreme reading.
- MACD below signal, histogram expanding negatively — bearish momentum building.
- 11% off 52W high · 12% 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.
Relative Strength & Trend Stage
- Price is within 2.7% of the 30-week proxy.
- The 30-week proxy changed +1.1% over 20 sessions.
- The moving-average structure does not confirm Stage 2 or Stage 4.
Valuation & score drivers
U-Score 48 · FAIR VALUE · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 48 · FAIR VALUE · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
FAIR VALUEWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 8/9.
- Balance sheet contributes 11/15 to the score.
- Quality contributes 14/20 to the score.
Main drags
- Fair-value margin of safety is negative at -24.1%.
- Valuation is weaker at 0/30; verify the latest quarterly trend.
- Growth is weaker at 11/25; verify the latest quarterly trend.
Consumer valuation: PE/PEG and brand-quality premium
Consumer franchises can deserve higher multiples, but only when growth quality supports them.
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.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
High Trust: Claim history is still being built. It ranks around the 99th percentile of the scored universe and 96th percentile within Auto. No major sub-score weakness stands out.
High Trust Lite: Promoter holding is 74.1%.
Management behaviour ranks as unusually reliable. Still verify valuation and cycle risk.
overall median 67 · Auto: 96th pctile, median 74 · Large: 97th pctile, median 73
123 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
High Trust · low confidenceRead 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.
Trust positives
- ▸Promoter holding is 74.1%.
- ▸Promoter pledge is zero.
- ▸FCF yield is positive at 1.5%.
- ▸4 years of positive FCF.
Trust risks
- ▸No major Trust Lite risk flags.
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
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 49.30
- P/B
- 10.07
- EV/EBITDA
- 29.10
- Market Cap
- 61840.00Cr
Profitability
- ROE
- 20.20%
- ROCE
- 27.30%
- ROA
- 14.72%
- Dividend Y
- 0.88%
Growth (CAGR)
- Revenue 5Y
- 22.00%
- EPS 5Y
- 22.00%
- Revenue 3Y
- 12.00%
- EPS 3Y
- 10.00%
Balance Sheet
- Debt/Equity
- 0.01
- Interest Coverage
- 353.20×
- Altman Z
- 9.18
- Book Value
- 393.00
Cash Flow
- FCF Yield
- 1.53%
- FCF Positive Y
- 4/5
- OCF
- 1290.00 Cr
- EPS TTM
- 80.19
Shareholding
- Promoter Hold
- 74.13%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 46%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable names in Auto, ranked by similarity
Peers
Business-comparable names in Auto, ranked by similarity
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.