AI Summary
✦ ClarthaAIA Engineering is an industrial machinery company producing and servicing wear-resistant grinding components. Its revenue spans mill liners and grinding media for cement, mining, and quarry equipment, alongside blow bars and other crusher parts. Recent record FY26 profit of ₹1,255 crore indicates earnings growth materially exceeded 3% revenue growth, supporting operating leverage and margin improvement. Profit growth of 19.7% and improving margins support a 16.9% ROE, while 0.13 debt/equity makes AIA Engineering effectively net-cash. However, the earnings outlook depends on sustained replacement demand across cement, mining, and quarry customers. At 35.1 times earnings, the shares appear rich versus 3% revenue growth, despite faster profit expansion. Neutral sentiment reflects this valuation risk and the open question of whether margin gains can continue.
Price Forecast
Probabilistic Range
Probabilistic lognormal cone using 1Y realized volatility and analyst-target drift when available.
Revenue Forecast
₹ CrEPS Forecast
₹ / shareMulti-factor synthesis of 5 key dimensions
From 13 analysts
Fundamentals
Fundamentals institutional score is 68 using EVA spread proxy 4.9%; growth durability 51.9.
Valuation
Valuation institutional score is 6 using relative multiple z-scores where peer dispersion is available.
Analyst Consensus
Analyst View institutional score is 19 using mean target upside -4.5%; dispersion penalty 21.3; recommendation breadth from available consensus.
Technical Structure
Technicals institutional score is 77 using EMA-20 continuation within 5% tolerance; VCP range/volume contraction proxy.
Market Sentiment
Recent news flow is skewing constructive on impact and recency. Based on 5 recent ticker-linked news items.
Signal Summary
Market intelligence remains Mixed. fundamentals and technical structure provide support, while valuation and analyst consensus remain considerations.
Composite weights: Fundamentals 25%, Valuation 20%, Analyst Consensus 20%, Technical Structure 20%, Market Sentiment 15%.
Key Data Points
Important Note: This is market intelligence, not investment advice. Always conduct your own research and consider your financial goals and risk tolerance.
Valuation Metrics
Trading 30.3% above historical median. Valuation is rising — currently in the strongly overvalued zone (z-score: +2.45). Confidence: 88%.
Live forward EPS implies next-12-month EPS of ₹150.06. Applying the stock's normalized valuation corridor produces a fair range of ₹3,745.50 to ₹4,353.24, with base value near ₹4,042.62 (-15.6% vs current price).
Live forward estimate anchored to the company's historical valuation corridor.
Forward EPS
₹150.06
Forward P/E
31.9x
Base Fair Value
₹4,042.62
Fair Range
₹3,745.50 - ₹4,353.24
Upside To Base
-15.6%
Estimate Source
Live forward EPS
Growth Estimate
+38.0%
5Y Average
23.78
Current
35.09
Overvalued
29.01
Undervalued
24.96
5Y Average
21.69
Current
32.10
Overvalued
25.55
Undervalued
17.69
5Y Average
4.77
Current
5.57
Overvalued
5.49
Undervalued
4.06
Peers & Comparison
Sector: Industrials · Theme: Industrial Machinery
| Company | Rev. Growth | Margin | P/E | vs Avg | 52W Perf. |
|---|---|---|---|---|---|
KIRLOSKAR BROTHERS LTD KIRLOSBROSIndustrial Machinery | +12.9% | 8.0% | 41.3x Undervalued | -41% vs avg | +1.5% |
INGERSOLL-RAND INDIA LTD INGERRANDIndustrial Machinery | -3.7% | 18.4% | 52.6x Undervalued | -25% vs avg | +18.5% |
CRAFTSMAN AUTOMATION LTD CRAFTSMANIndustrial Machinery | +36.3% | 5.3% | 53.0x Undervalued | -24% vs avg | +52.8% |
GRINDWELL NORTON LIMITED GRINDWELLIndustrial Machinery | +14.2% | 13.8% | 53.6x Undervalued | -23% vs avg | +43.1% |
CUMMINS INDIA LTD CUMMINSINDIndustrial Machinery | +17.9% | 18.7% | 64.0x Fair | -8% vs avg | +43.1% |
THERMAX LTD THERMAXIndustrial Machinery | +7.1% | 5.5% | 76.8x Fair | +10% vs avg | +24.0% |
LMW LIMITED LMWIndustrial Machinery | +24.0% | 5.2% | 108.2x Premium | +55% vs avg | +12.1% |
CARBORUNDUM UNIVERSAL LTD CARBORUNIVIndustrial Machinery | +20.7% | 3.8% | 108.7x Premium | +56% vs avg | +29.2% |
AIA ENGINEERING LIMITED trades at a discount (35.2x vs peer avg 69.8x), suggesting potential undervaluation relative to the Industrial Machinery cohort. Peers include KIRLOSKAR BROTHERS LTD, INGERSOLL-RAND INDIA LTD, CRAFTSMAN AUTOMATION LTD — selected based on business model, industry classification, market cap similarity, and business theme alignment.
Financials
Real statement data for revenue, earnings quality, conversion, and balance-sheet coverage. Monetary values are shown in Rs crore.
Latest revenue
₹991 CrMar 2026Latest net profit
₹331 CrMar 2026Latest EPS
₹35.44Mar 2026Net margin
30.0%Mar 2026Performance
Bars show revenue and net profit. The line shows net margin.
- Revenue
- Net income
- Net margin %
Earnings
Revenue is shown in crores. EPS is rupees per share.
- Revenue
- EPS
Revenue to profit conversion
Bridge from operating numbers to profit for the latest reported period.
Latest reported period: Mar 2026
Debt level and coverage
Debt, cash and free cash flow compared on the same crore scale.
- Debt
- Free cash flow
- Cash & equivalents
Results
| Metric | Mar 2023 | Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sales + | 1,067 | 1,033 | 1,081 | 1,044 | 986 | 904 | 814 | 908 | 861 | 833 | 960 | 979 | 991 |
| Expenses + | 783 | 731 | 774 | 774 | 703 | 622 | 585 | 673 | 640 | 600 | 659 | 673 | 689 |
| Operating Profit | 284 | 302 | 308 | 270 | 282 | 282 | 229 | 235 | 221 | 233 | 301 | 306 | 302 |
| OPM % | 27% | 29% | 28% | 26% | 29% | 31% | 28% | 26% | 26% | 28% | 31% | 31% | 30% |
| Other Income + | 51 | 61 | 67 | 85 | 215 | 80 | 89 | 66 | 241 | 113 | 100 | 266 | 137 |
| Interest | 8 | 7 | 7 | 7 | 6 | 6 | 5 | 1 | 8 | 7 | 8 | 16 | 5 |
| Depreciation | 23 | 24 | 24 | 27 | 24 | 25 | 23 | 26 | 27 | 27 | 27 | 28 | 28 |
| Profit before tax | 304 | 332 | 344 | 321 | 467 | 331 | 290 | 274 | 426 | 311 | 365 | 528 | 405 |
| Tax % | 25% | 25% | 25% | 25% | 18% | 25% | 25% | 25% | 18% | 25% | 24% | 18% | 18% |
| Net Profit + | 227 | 248 | 257 | 241 | 384 | 247 | 217 | 207 | 351 | 234 | 277 | 435 | 331 |
| EPS in Rs | 24.04 | 26.26 | 27.25 | 25.57 | 40.67 | 26.15 | 23.28 | 22.16 | 37.59 | 25.08 | 29.71 | 46.61 | 35.44 |
| Raw PDF |
All values in ₹ Crores unless otherwise stated. Source: Screener Master (Standalone).
Events Timeline
Announcement under Regulation 30 (LODR)-Analyst / Investor Meet - Intimation
Board Meeting Intimation for Unaudited Financial Results For The Quarter Ended 30Th June, 2026
Compliances-Certificate under Reg. 74 (5) of SEBI (DP) Regulations, 2018