Craftsman Automation Ltd.
NSE: CRAFTSMANCraftsman Automation Ltd.: A 30-second snapshot
Craftsman Automation (NSE: CRAFTSMAN) is an auto-components manufacturer currently priced at ₹8,462.5, up 74% over the past 12 months and trading 12.9% above its 52-week high zone — sitting 13% below the 52-week high on a 13.1% drawdown. The stock trades above both its 50-DMA (₹7,495) and 200-DMA (₹7,163) with RSI at 63.1. Revenue has grown at a 5-year CAGR of 30.5%, and Q4 FY26 profit surged 74% YoY, though profit margins remain thin at 4.4% and D/E stands at 109.3 — the highest leverage concern among tracked peers.
P/E
52.6
Forward P/E
26.8
ROE
—
Debt / Equity
109.27
Profit Margin
+4.4%
Div. Yield
+0.1%
5Y ROE > 15%
2/5
5Y FCF > 0
1/5
Quality
53/100
News
8 headlines · 4 positive · 0 negative
Craftsman Automation Q4 Results: Profit Surges 74% YoY; Announces ₹11.25 Dividend - Trade Brains
Trade Brains
Craftsman Automation Q4 Results: Stock jumps over 10% to 52-week high on strong operating performance - CNBC TV18
CNBC TV18
Craftsman Automation shares zoom 13% to record high; here is why - Business Today
Business Today
Craftsman Automation shares zoom 13% to record high; here is why - MSN
MSN
Craftsman Automation Nine Monthly Results, Nine Monthly Earnings for Craftsman Automation - The Economic Times
The Economic Times
Recent context
- ·Q4 FY26 results (announced May 7, 2026) showed net profit up 74% YoY with strong operating performance, prompting the stock to move to a 52-week high; a dividend of ₹11.25 was declared alongside results.
- ·News flow across the past 10 days is 8 items — 4 positive, 4 neutral, 0 negative — with the Q4 result dominating coverage; no negative regulatory or governance headlines are present in the sample.
- ·The stock is 13.1% below its 52-week high as of the data snapshot, with the nearest support levels identified at ₹7,653 and ₹7,334, and a single resistance reference at ₹9,738.
Strengths
- +5-year revenue CAGR of 30.5% and earnings growth of 728.4% over the same period reflect a multi-year expansion phase, with Q4 FY26 net profit up 74% YoY confirming recent momentum.
- +The stock is above both its 50-DMA (₹7,495) and 200-DMA (₹7,163), with RSI at 63.1 (neutral range) and a 12-month gain of 74%, reflecting sustained upward price trend.
- +Forward PE of 26.8 represents a significant compression from the trailing PE of 52.6, implying the market is pricing in meaningful near-term earnings growth based on analyst projections.
- +Analyst mean rating of 1.75 across 8 analysts on a 1–5 scale (lower = more constructive) indicates a constructive coverage posture from a small but present analyst community.
Weaknesses
- −D/E of 109.3 is extreme for a non-financial auto-components manufacturer; debt trend is rising and FCF was positive in only 1 of available historical years, flagging balance-sheet stress.
- −Profit margin of 4.4% is thin, ROE data is unavailable, and the quality score of 37 ranks 4th of 6 among sector peers — the business has not yet demonstrated durable high-return characteristics.
- −Trailing PE of 52.6 is the highest among the 6 tracked Auto-sector peers; with only 4.4% profit margins, there is limited cushion if revenue growth slows or input costs rise.
- −Consistency score of 48 and ROE above 15% in only 2 of available years indicate that the current high-growth phase has limited historical precedent within the company's own track record.
Open questions
- ?Does the 728% five-year earnings growth reflect genuine operating leverage, or does it primarily reflect recovery from a depressed base — and how does the base-period context affect the current valuation?
- ?With D/E at 109.3 and FCF positive in only 1 of available years, what is the company's debt-servicing capacity if revenue growth moderates, and what is the maturity profile of outstanding obligations?
- ?The forward PE of 26.8 implies a large earnings step-up from the trailing figure — what specific product lines or customer programmes underpin analyst growth projections, and how dependent are they on a single OEM or platform?
- ?Given that peer quality scores range from 16 to 60 and CRAFTSMAN sits at 37, what operational or capital-allocation changes would be needed for the business to move toward the higher end of that range?
Peer comparison: Auto
Ranks 4 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| CRAFTSMAN | Craftsman Automation Ltd.You're viewing | 52.6 | — | 37 |
| Industry avg | across 5 peers | 28.0 | +15.0% | 43 |
| EICHERMOT | Eicher Motors Ltd. | 36.0 | — | 60 |
| BAJAJ-AUTO | Bajaj Auto Ltd. | 27.0 | +28.1% | 55 |
| M&M | Mahindra & Mahindra Ltd. | 20.5 | +18.8% | 52 |
| MARUTI | Maruti Suzuki India Ltd. | 28.3 | +14.4% | 31 |
| TMPV | Tata Motors Passenger Vehicles Ltd. | — | -1.1% | 16 |
Technical state
Current price
₹8,462.50
SMA 50
₹7,495.12
SMA 200
₹7,163.02
RSI (14)
63.1 (neutral)
From 52w high
-13.1%
1Y return
+74.0%
3M return
+7.8%
50-DMA
Above
200-DMA
Above
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- highDebt-to-equity of 109.3 is extreme for an auto-components manufacturer; debt trend is rising and FCF was positive in only 1 of the available historical years, indicating significant balance-sheet leverage that constrains financial flexibility.
- mediumProfit margin of 4.4% is thin for an industrial manufacturer; ROE data is unavailable; quality score of 37 ranks 4th of 6 peers; only 2 of available years showed ROE above 15%, and consistency score stands at 48.
- mediumTrailing PE of 52.6 is the highest among 6 tracked Auto-sector peers (BAJAJ-AUTO 27.0, EICHERMOT 36.0, MARUTI 28.3, M&M 20.5); forward PE compresses to 26.8, but that projection is sensitive to continued earnings delivery.
- lowROE ranking vs peers is unavailable (CRAFTSMAN ROE null); 1-year price-change data for all 5 peer symbols is null, limiting relative-performance comparison within the Auto sector.
Cross-section contradictions
- Q4 FY26 net profit grew 74% YoY and the stock hit a 52-week high, yet FCF was positive in only 1 of available years and debt is on a rising trend — earnings growth is not yet visibly translating into sustained free cash generation or balance-sheet deleveraging.
- The stock trades at trailing PE of 52.6, the highest among tracked peers, while the quality score of 37 ranks 4th of 6 in the sector — the valuation premium sits alongside below-median quality metrics.
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.
Fundamentals & technicals: refreshed 25 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 17 May 2026 · rotates through NIFTY 500 every ~5 days