Minda Corporation Ltd is a leading Indian automotive component manufacturer with a strong presence in wiring harnesses, electrical distribution systems, and EV-related components. As part of the Spark Minda group, it supplies to major OEMs, including Maruti Suzuki, Tata Motors, Hyundai, and global EV players. While the company benefits from India’s auto manufacturing boom and EV transition, its current valuation appears stretched relative to growth and return metrics. This article provides a balanced, fact-based outlook and realistic share price targets for each year from 2026 to 2030.
Incorporated: 2012 (post-split of the original Minda Group)
Business: Manufactures:
Low & high-voltage wiring harnesses
Smart junction boxes
EV battery connection systems (CCS, busbars, PDUs)
Connectors and sensors
Clients: Maruti, Tata, Hyundai, Kia, MG, and global EV OEMs
Ownership: Promoter holding at 64.84% – controlled by Ashok Minda
Listed: Yes – on BSE (539784) and NSE (MINDACORP)
Clarifications:
Is Minda Corporation listed? Yes – since 2016.
Is it a Japanese company? No – it’s an Indian company, though it has technical partnerships with Japanese firms (e.g., Yazaki, Sumitomo).
Is it a good investment? Only for long-term, high-conviction investors who believe in India’s auto/EV manufacturing story. Current P/E of 74.7x is very rich.
What is its turnover? FY25 revenue (TTM) is ₹5,495 Cr (~₹55 billion).
Top 3 AI stocks? Not relevant—Minda is an auto component maker, not an AI company.
Minda Corporation: Key Financial Snapshot
Metric
Value
Market Capitalization
₹13,475.71 Cr
Current Share Price
₹564
52-Week High / Low
₹644 / ₹445
P/E (TTM)
74.68
P/B (TTM)
6.47
Book Value (TTM)
₹87.17
EPS (TTM)
₹7.55
ROE
11.30%
ROCE
12.78%
Dividend Yield
0.25%
Debt
₹1,390.40 Cr
Cash Reserves
₹18.30 Cr
Sales Growth (YoY)
7.80%
Profit Growth (YoY)
9.23%
Shareholding Pattern
Category
Holding (%)
Promoters
64.84%
Domestic Institutions (DII)
18.44%
Foreign Institutions (FII)
9.08%
Public (Retail)
7.64%
Others
0%
Note: Strong promoter control ensures strategic alignment.
Given the high P/E, modest ROCE, and rising debt, upside is limited unless earnings accelerate. Targets assume:
EPS CAGR of 10–12% (in line with recent profit growth)
P/E compression from 75x to 45–50x by 2030
Debt management as capex peaks
Year
Target Price Range (₹)
2026
₹580 – ₹640
2027
₹600 – ₹680
2028
₹620 – ₹720
2029
₹640 – ₹760
2030
₹660 – ₹800
⚠️ Important: Even at ₹800 in 2030, P/E would be ~50x if EPS grows at 12% CAGR—still premium for a 12% ROCE business.
Year-wise Breakdown
Minda Corporation Share Price Target 2026
Year
Target 1
Target 2
2026
₹580
₹640
Rationale: Near-term upside is capped by low ROCE (12.8%) and high debt (₹1,390 Cr vs ₹18 Cr cash). Valuation leaves little margin for error.
Minda Corporation Share Price Target 2027
Year
Target 1
Target 2
2027
₹600
₹680
Rationale: Potential benefit from EV wiring harness orders and localization push. However, margins remain under pressure from input costs.
Minda Corporation Share Price Target 2028
Year
Target 1
Target 2
2028
₹620
₹720
Rationale: If the company improves asset utilization and operational efficiency, ROCE could rise above 14%, supporting modest re-rating.
Minda Corporation Share Price Target 2029
Year
Target 1
Target 2
2029
₹640
₹760
Rationale: Long-term play on India’s auto export potential and EV supply chain localization. Success depends on client diversification beyond ICE vehicles.
Minda Corporation Share Price Target 2030
Year
Target 1
Target 2
2030
₹660
₹800
Rationale: The upper end assumes successful scale-up in EV components and debt stabilization. Still, valuation will likely remain stretched vs peers like Bosch or Motherson.
Strengths vs Risks
✅ Strengths
Strong OEM relationships with top Indian and global automakers
Early mover in EV wiring systems
High promoter holding ensures focus
Beneficiary of PLI and Make in India
⚠️ Risks
Extremely high P/E (74.7x) with modest growth
ROCE below 13% – inefficient capital use
High net debt (₹1,372 Cr net debt) limits financial flexibility
Minimal dividends – not suited for income investors
Investment Suitability
Factor
Assessment
Risk Profile
High (overvalued, leveraged)
Time Horizon
Long-term (5+ years)
Volatility
High
Dividend/Income
None (0.25% yield)
Ideal Investor
Aggressive investor betting on India’s auto/EV manufacturing; not for conservative portfolios
FAQs
Only if you accept high valuation risk. Fundamentals do not justify current multiples.
Yes – on NSE (MINDACORP) and BSE (539784).
₹5,495 Cr in FY25 (TTM).
No – it’s an Indian company founded by Ashok Minda. It has technical JVs with Japanese firms but is fully India-controlled.
Irrelevant—Minda is not an AI company. It makes wiring harnesses, not software or chips.
Final Verdict
Minda Corporation operates in a strategic sector with strong tailwinds, but its financial performance lags its valuation. With ROCE under 13%, high debt, and P/E near 75x, the stock carries significant downside risk. Our 2026–2030 price targets (₹580–₹800) reflect very modest appreciation—assuming no major deterioration. Investors should avoid aggressive buying and wait for a P/E below 50x or an ROCE above 15% before considering entry.
📌 Disclaimer: Price targets are estimates based on current fundamentals and sector trends. They are not investment advice. Please consult a SEBI-registered advisor before investing.
