Elgi Equipments Ltd is a leading Indian manufacturer of air compressors and automotive equipment, with a strong global footprint across 140+ countries. Founded in 1960 and headquartered in Coimbatore, Tamil Nadu, the company is known for its innovation in oil-lubricated and oil-free air compressor technology—serving industries like manufacturing, pharmaceuticals, food & beverage, and automotive. With zero debt, consistent profitability, and a high return on capital, Elgi has emerged as a premium small-cap industrial stock. This article provides a data-backed outlook on the Elgi Equipments share price target 2026–2030.
Elgi Equipments Ltd: Company Overview
- Founded: 1960
- Headquarters: Coimbatore, Tamil Nadu
- Key Segments: Air Compressors (85%+ of revenue), Automotive Equipment
- Global Presence: Exports to 140+ countries; manufacturing facilities in India, USA, and Italy
- Ownership: Promoter-held (31.19%), with significant institutional interest (FII + DII: 31.2%)
Elgi is an Indian company, not foreign-owned. It is often mistaken for a European brand due to its global presence and premium product quality—but it is proudly Made in India.
Elgi Equipments Ltd: Key Financial Snapshot
| Metric | Value |
|---|---|
| Current Share Price | ₹436.00 |
| Market Capitalization | ₹13,829.91 Cr |
| No. of Shares Outstanding | 31.69 Cr |
| 52-Week High / Low | ₹799 / ₹524 |
| P/E Ratio (TTM) | 39.33 |
| P/B Ratio | 7.54 |
| EPS (TTM) | ₹11.09 |
| Book Value (TTM) | ₹57.88 |
| ROE | 21.97% |
| ROCE | 28.50% |
| Dividend Yield | 0.51% |
| Face Value | ₹1 |
| Cash | ₹720 Cr |
| Total Debt | ₹0 Cr |
| Debt-to-Equity | 0.00 |
| Sales Growth (YoY) | 12.88% |
| Profit Growth (YoY) | 8.66% |
| Promoter Holding | 31.19% |
| Promoter Pledge | 0.88% (as of Dec 2025) |
Elgi Equipments Share Price Target Forecast (2026–2030)
| Year | Target Price Range (₹) |
|---|---|
| 2026 | ₹470 – ₹530 |
| 2027 | ₹510 – ₹590 |
| 2028 | ₹550 – ₹660 |
| 2029 | ₹590 – ₹730 |
| 2030 | ₹630 – ₹810 |
Elgi Equipments Share Price Target 2026
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2026 | ₹470 | ₹530 |
Elgi reported 8.66% profit growth and 12.88% sales growth in FY2025, supported by strong export demand and stable margins. Trading at a P/E of 39.3x—rich for an industrial stock—the valuation reflects its premium brand, global reach, and asset-light model. With zero debt and ₹720 Cr cash, the balance sheet is robust. A 2026 target of ₹470–₹530 assumes continued execution and no major global slowdown.
Elgi Equipments Share Price Target 2027
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2027 | ₹510 | ₹590 |
The company’s focus on energy-efficient compressors and digital monitoring (e.g., ELGi ABAC IoT solutions) aligns with global sustainability trends. If sales grow at 12–15% CAGR and ROCE stays above 25%, EPS could reach ₹12.50–₹14.00 by FY27. At a P/E of 38–40x, the 2027 range is ₹510–₹590.
Elgi Equipments Share Price Target 2028
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2028 | ₹550 | ₹660 |
By 2028, benefits from capacity expansion (new plant in Hosur) and deeper penetration in Europe/North America should reflect in earnings. The company’s net worth (reserves + equity) stood at ₹1,829 Cr as of FY25—up 16% YoY—indicating strong internal capital generation. A P/E of 39–42x on projected EPS (~₹14–₹15.70) supports the ₹550–₹660 band.
Elgi Equipments Share Price Target 2029
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2029 | ₹590 | ₹730 |
Long-term demand for industrial automation and clean compressed air remains strong. Risks include raw material inflation and global capex cycles. However, Elgi’s pricing power and low leverage provide resilience. Using a P/E of 40–44x on FY29 EPS (~₹14.50–₹16.60), the 2029 target is ₹590–₹730.
Elgi Equipments Share Price Target 2030
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2030 | ₹630 | ₹810 |
Over a five-year horizon, Elgi’s value lies in its irreplaceable engineering moat, not dividends (0.51% yield). If it sustains 15%+ ROCE and expands margins, a terminal P/E of 42–46x on FY30 EPS (~₹15–₹17.60) justifies the ₹630–₹810 range.
Elgi Equipment Ltd: Shareholding Pattern
| Category | Holding (%) |
|---|---|
| Promoters | 31.19% |
| Foreign Institutional Investors (FII) | 22.36% |
| Domestic Institutional Investors (DII) | 8.84% |
| Public & Retail | 37.61% |
| Others | 0% |
High retail participation (37.6%) reflects strong brand trust. Low promoter pledge (0.88%) reduces governance risk.
Elgi Equipment Ltd: Strengths vs Risks
Strengths:
- Debt-free with ₹720 Cr cash and strong operating cash flow
- Industry-leading ROCE (28.5%) and ROE (21.97%)
- Global brand with 140+ country presence and premium product mix
- Consistent dividend payer (0.51% yield; ~20% payout ratio)
Risks:
- Rich valuation (P/E: 39.3x, P/B: 7.54x) leaves little room for error
- Exposure to global industrial cycles and commodity price swings
- Small-cap volatility (stock fell 45% from 52-week high)
- Limited domestic market share compared to exports
Investment Suitability
| Factor | Assessment |
|---|---|
| Risk Profile | Moderate to High |
| Ideal Time Horizon | 3–5+ years |
| Volatility | Higher than market average (small-cap industrial) |
| Dividend/Income Potential | Minimal (0.51% yield) |
| Best For | Growth-oriented investors seeking global manufacturing exposure |
Final Verdict
Elgi Equipment Ltd combines engineering excellence, global scalability, and financial prudence. While its current valuation is rich, its debt-free status, high returns, and export leadership justify a premium. Our Elgi Equipment share price target 2026–2030 (₹470 to ₹810) reflects steady appreciation—if global demand holds and execution stays on track.
Disclaimer: Price targets are estimates based on publicly available data and sector analysis. They are not investment advice. Consult a SEBI-registered advisor before making decisions.
Sources
- Screener.in – Elgi Equipment Consolidated Page (FY2025 + TTM)
- Finology Ticker – ELGIEQUIP Financial Ratios & Valuation
- Elgi Investor Presentation (Q3 FY26, Nov 2025)
- BSE India – Annual Report FY2025
- Company Website – Product Portfolio & Global Footprint
