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  4. /Kross Ltd
MomentumDeep Value

Kross Ltd: Why Is It Outperforming Nifty 500?

Active
RS +11.2%Strong

In Week of May 10, 2026, Kross Ltd (Auto Ancillaries - Transmission) is outperforming Nifty 500 with +11.2% relative strength. Fundamentals: Strong.

Kross Ltd Key Facts

PE Ratio
29.2x
Market Cap
₹1,456 Cr
PAT Growth YoY
0%
Revenue Growth YoY
+18%
OPM
13.0%
RS vs Nifty 500
+11.2%
Emerging Opportunity

What's Happening

⏳Steady earner with flat PE — waiting for re-rate catalyst
📊Debt increased 76% YoY — leverage rising
👔Promoter buying — stake up 0.7% this quarter
🌐FII stake decreased 3.6% this quarter
🏛️DII reducing — stake down 2.1%
💰Trading 119% below estimated fair value — significant discount

Earnings Acceleration Triggers

1. Tipping Jack rollout targeting ₹45-50 cr revenue
FY27-FY28MEDIUM
2. Market share growth from 26-28% to 35%
2 yearsMEDIUM
3. Export growth to 5% in FY26
FY26HIGH

Key Risks

1. Margin pressure from no pricing premium
MEDIUM
2. Working capital volatility
MEDIUM

Key Numbers

PAT Growth YoY
0%
Stable
Revenue YoY
+18%
Stable
Operating Margin
13.0%
0 bps YoY
PE Ratio
29.2
Current Price
₹226
Fundamental Score
61/100
Strong
3Y PAT CAGR
+59%
Market Cap
1.5K Cr
Valuation
Significantly Undervalued

12-Week Performance

Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.

12 weeks agoThis week

Why Are Kross Ltd's Earnings Accelerating?

Based on Q3 FY26 earnings • Updated Feb 22, 2026

Tipping Jack rollout targeting ₹45-50 cr revenue

Expected: FY27-FY28MEDIUM confidence+₹45 Cr revenue

What: 4,000 kits at ₹1.2-1.3 lakh realization targeted for FY27-FY28

Impact: +₹45 Cr revenue

“Approximately 4000 kits with an average realization value of 1.2, 1.3 lakhs. It comes to around 45, 50 crores.”

Market share growth from 26-28% to 35%

Expected: 2 yearsMEDIUM confidence

What: Expanded forging capacity enabling trailer segment market share gains

“We are looking to grow our market share from about 26 to 28% to a figure of 35%”

Export growth to 5% in FY26

Expected: FY26HIGH confidence

What: Current 4% export contribution with target of 5% for FY26

“Exports contributed 4% of our total revenue... confident on achieving its full year export contribution of 5%”

What Are the Key Risks for Kross Ltd?

Earnings deceleration risks from management commentary

Margin pressure from no pricing premium

MEDIUM

Trigger: Continued focus on market share over pricing

Management view: We don't plan on charging a premium... we are looking to grow our market share

Monitor: EBITDA margin trajectory

Working capital volatility

MEDIUM

Trigger: Top-line growth below 10-15% quarterly

Management view: It's mostly a lot to do with the revenues coming in... increasing our top line by 10, 15% every quarter

Monitor: Quarterly revenue growth rate

What Is Kross Ltd's Management Saying?

Key quotes from recent conference calls

“We have expanded our forging capacity — Whole-Time Director”
“We don't plan on charging a premium... we are looking to grow our market share from about 26 to 28% to a figure of 35% — Management”
“Approximately 4000 kits with an average realization value of 1.2, 1.3 lakhs. It comes to around 45, 50 crores. This is what we've targeted in FY27 and FY28 — Management”
“The company remains confident on achieving its full year export contribution of 5% and has laid out a clear roadmap to scale exports to Double digit by FY27 — Management”

What Is Kross Ltd's Management Guidance?

Forward-looking targets from management for FY26-FY27

OPM Guidance

15%

Management Tone: CAUTIOUS

Key Milestones

• 5% export contribution in FY26

• Double digit exports by FY27

• 35% market share target

How Fast Is Kross Ltd Growing?

Revenue, profit and margin growth rates

MetricYoY3Y CAGRTrend
Revenue+18%+28%Stable
PAT (Net Profit)0%+59%Stable
OPM13.0%0 bpsStable

The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Feb 22, 2026.

Other Top Auto Ancillaries - Transmission Stocks Beating Nifty 500

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Average • 5w streak
+21.9%
← Back to Auto Ancillaries - TransmissionDashboard

Frequently Asked Questions: Kross Ltd

Based on publicly available financial data. This is educational research, not investment advice.

What were Kross Ltd's latest quarterly results?

Kross Ltd's latest quarterly results (Dec 2025) show

  • PAT Growth YoY: 0.0% (stable)
  • Revenue Growth YoY: +18.0%
  • Operating Margin: 13.0% (stable)

Is Kross Ltd's profit growing or declining?

Kross Ltd's profit is declining with an stable trend.

  • PAT Growth YoY: 0.0% (latest quarter)
  • PAT Growth QoQ: +75.0% (sequential)
  • 3-Year PAT CAGR: +58.7%
  • Trend: Stable — consistent growth pattern

What is Kross Ltd's revenue growth trend?

Kross Ltd's revenue growth trend is stable.

  • Revenue Growth YoY: +18.0%
  • Revenue Growth QoQ: +35.1% (sequential)
  • 3-Year Revenue CAGR: +27.8%

How is Kross Ltd's operating margin trending?

Kross Ltd's operating margin is stable.

  • Current OPM: 13.0%
  • OPM Change YoY: 0.0% basis points
  • OPM Change QoQ: +2.0% basis points

What is Kross Ltd's 3-year profit and revenue CAGR?

Kross Ltd's long-term compounding rates

  • 3-Year Profit CAGR: +58.7%
  • 3-Year Revenue CAGR: +27.8%

Is Kross Ltd's growth accelerating or decelerating?

Kross Ltd's earnings growth is stable with improving on a sequential basis.

  • YoY Acceleration: +20.0% bps
  • Sequential Acceleration: +77.3% bps

What is Kross Ltd's trailing twelve month (TTM) performance?

Kross Ltd's trailing twelve month (TTM) performance

  • TTM PAT: ₹50 Cr
  • TTM PAT Growth: +4.2% YoY
  • TTM Revenue: ₹632 Cr
  • TTM Revenue Growth: +2.3% YoY
  • TTM Operating Margin: 12.7%

Is Kross Ltd overvalued or undervalued?

Kross Ltd appears significantly undervalued based on our fair value analysis.

  • Valuation Signal: Significantly Undervalued
  • Current PE: 29.2x
  • Price-to-Book: 3.2x

What is Kross Ltd's current PE ratio?

Kross Ltd's current PE ratio is 29.2x.

  • Current PE: 29.2x
  • Market Cap: 1.5K Cr

How does Kross Ltd's valuation compare to its history?

Kross Ltd's current PE is 29.2x.

  • Current PE: 29.2x
  • Valuation Assessment: Significantly Undervalued

What is Kross Ltd's price-to-book ratio?

Kross Ltd's price-to-book ratio is 3.2x.

  • Price-to-Book (P/B): 3.2x
  • Book Value per Share: ₹70
  • Current Price: ₹226

Is Kross Ltd a fundamentally strong company?

Kross Ltd is rated Strong with a fundamental score of 61.16/100. This score is calculated from objective financial metrics

  • Revenue Growth YoY: +18.0% (10% weight)
  • PAT Growth YoY: 0.0% (10% weight)
  • PAT Growth QoQ: +75.0% (10% weight)
  • Margins stable (10% weight)

Is Kross Ltd debt free?

Kross Ltd has a debt-to-equity ratio of N/A.

  • Total Debt: ₹60 Cr

What is Kross Ltd's return on equity (ROE) and ROCE?

Kross Ltd's return ratios over recent years

  • FY2023: ROCE 31.0%
  • FY2024: ROCE 33.0%
  • FY2025: ROCE 22.0%

Is Kross Ltd's cash flow positive?

Kross Ltd's operating cash flow is negative (FY2025).

  • Cash from Operations (CFO): ₹-32 Cr
  • Free Cash Flow (FCF): ₹-58 Cr
  • CFO/PAT Ratio: -67% (weak cash conversion)

What is Kross Ltd's dividend yield?

Kross Ltd currently does not pay a significant dividend (yield 0.00%).

  • Dividend Yield: 0.00%
  • Current Price: ₹226

Who holds Kross Ltd shares — promoters, FII, DII?

Kross Ltd's shareholding pattern (Mar 2026)

  • Promoters: 68.5%
  • FII (Foreign): 2.6%
  • DII (Domestic): 6.0%
  • Public: 22.8%

Is promoter holding increasing or decreasing in Kross Ltd?

Kross Ltd's promoter holding has increased recently.

  • Current Promoter Holding: 68.5% (Mar 2026)
  • Previous Quarter: 68.4% (Dec 2025)
  • Change: +0.14% (increasing — positive signal)

How long has Kross Ltd been outperforming Nifty 500?

Kross Ltd has been outperforming Nifty 500 for 1 consecutive week, indicating early-stage outperformance.

Is Kross Ltd a new momentum entry or an established outperformer?

Kross Ltd is an established outperformer with 1 weeks of consecutive Nifty 500 outperformance.

What are the growth catalysts for Kross Ltd?

Kross Ltd has 3 key growth catalysts identified from recent earnings analysis

  • Tipping Jack rollout targeting ₹45-50 cr revenue — 4,000 kits at ₹1.2-1.3 lakh realization targeted for FY27-FY28
  • Market share growth from 26-28% to 35% — Expanded forging capacity enabling trailer segment market share gains
  • Export growth to 5% in FY26 — Current 4% export contribution with target of 5% for FY26

What are the key risks in Kross Ltd?

Kross Ltd has 2 key risks worth monitoring

  • [MEDIUM] Margin pressure from no pricing premium — Inability to charge premium for new products during market share capture
  • [MEDIUM] Working capital volatility — Revenue fluctuations affecting operating leverage and cost absorption

What did Kross Ltd's management say in the latest earnings call?

In Q3 FY26, Kross Ltd's management highlighted

  • "We have expanded our forging capacity — Whole-Time Director"
  • "We don't plan on charging a premium... we are looking to grow our market share from about 26 to 28% to a figure of 35% — Management"
  • "Approximately 4000 kits with an average realization value of 1.2, 1.3 lakhs. It comes to around 45, 50 crores. This is what we've targeted in FY27 and..."

What is Kross Ltd's management guidance for growth?

Kross Ltd's management has provided the following forward guidance for FY26-FY27

  • OPM guidance: 15%
  • Management tone: cautious
  • Milestone: 5% export contribution in FY26
  • Milestone: Double digit exports by FY27

Is Kross Ltd worth studying for long term investment?

Based on quantitative research signals, here is why Kross Ltd may be worth studying

  • Valuation: appears significantly undervalued

What is the investment thesis for Kross Ltd?

Kross Ltd investment thesis summary:

Research Signals (Bull Case)

  • Revenue growing at +18.0% YoY
  • Appears significantly undervalued
  • Growth catalyst: Tipping Jack rollout targeting ₹45-50 cr revenue

Risk Factors (Bear Case)

  • Key risk: Margin pressure from no pricing premium

What is the future outlook for Kross Ltd?

Kross Ltd's forward outlook based on current data signals

  • Earnings Trend: stable
  • Revenue Trend: stable
  • Margin Trend: stable
  • Valuation: Significantly Undervalued
  • Key Catalyst: Tipping Jack rollout targeting ₹45-50 cr revenue
  • Key Risk: Margin pressure from no pricing premium

The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.