Commodity
MEDIUMTrigger: Rising aluminium commodity cost increases working capital requirements by 10-15% and creates optical OPM compression even if gross value addition is intact
Monitor: commodity
Craftsman Automation Ltd: Why Is It Outperforming Nifty 500?
ActiveRS +16.0%AverageRe-Entry
In , Craftsman Automation Ltd (Auto & Auto Ancl - CV) is outperforming Nifty 500 with +16.0% relative strength. Fundamentals: Average.
Craftsman Automation Ltd Key Facts
- PE Ratio
- 54.5x
- Market Cap
- ₹21,426 Cr
- PAT Growth YoY
- +723%
- Revenue Growth YoY
- +31%
- OPM
- 15.0%
- RS vs Nifty 500
- +16.0%
PE: Mid ExpansionRiding Wave
What's Happening
🌐FII stake decreased 1.2% this quarter
🏛️DII accumulation — stake up 2.8%
💰Trading 38% above estimated fair value — significant premium
Key Risks
1. Commodity
MEDIUM2. Fx
LOW3. Regulatory
LOWKey Numbers
PAT Growth YoY
+723%
Inflection Up
Revenue YoY
+31%
Stable
Operating Margin
15.0%
+200 bps YoY
PE Ratio
54.5
Current Price
₹8,982
Dividend Yield
0.13%
Fundamental Score
50/100
Average
3Y PAT CAGR
+7%
Market Cap
21.4K Cr
Valuation
Significantly Overvalued12-Week Performance
Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.
12 weeks agoThis week
What Are the Key Risks for Craftsman Automation Ltd?
Earnings deceleration risks from management commentary
Fx
LOWTrigger: Short-term import cost volatility in raw material; not structural as pass-through mechanism is in place
Monitor: fx
Regulatory
LOWTrigger: Labour Code adds near-term compliance cost and automation capex requirement; BIS delays cap alloy wheel capacity utilization below 50%
Monitor: regulatory
Logistics
LOWTrigger: Logistics and reliability gap is a structural bottleneck for scaling export orders from mid-pyramid and top-pyramid European OEMs
Monitor: logistics
Geopolitical
LOWTrigger: Global EV/ICE transition disrupting European supplier base creates export opportunity but also uncertainty in OEM supply chain stability
Monitor: geopolitical
What Is Craftsman Automation Ltd's Management Saying?
Key quotes from recent conference calls
“aluminium prices have jumped by around 16% from $2,800 to around $3,050, something like this and the highest level since April '22 [Risk (commodity): MEDIUM]”
“there is some volatility on the imports because of the sudden surge of the dollar or the rupee depreciation, I would say. All this has played out, but we have a pass-through with the customer [Risk (fx): LOW]”
“And we have the new Labour Code, which is coming in very soon that also will -- we need more automation [Risk (regulatory): LOW]”
“the trust on Indian supplier base has to improve because of infrastructure for shipping, logistics, reliability of quality and delivery [Risk (logistics): LOW]”
How Fast Is Craftsman Automation Ltd Growing?
Revenue, profit and margin growth rates
| Metric | YoY | 3Y CAGR | Trend |
|---|---|---|---|
| Revenue | +31% | +37% | Stable |
| PAT (Net Profit) | +723% | +7% | Inflection Up |
| OPM | 15.0% | +200 bps | Stable |
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Apr 30, 2026.
Frequently Asked Questions: Craftsman Automation Ltd
Based on publicly available financial data. This is educational research, not investment advice.
What were Craftsman Automation Ltd's latest quarterly results?
Craftsman Automation Ltd's latest quarterly results (Mar 2026) show
- PAT Growth YoY: +723.1% (turning around (inflection up))
- Revenue Growth YoY: +30.5%
- Operating Margin: 15.0% (stable)
Is Craftsman Automation Ltd's profit growing or declining?
Craftsman Automation Ltd's profit is growing with an turning around (inflection up) trend.
- PAT Growth YoY: +723.1% (latest quarter)
- PAT Growth QoQ: +17.6% (sequential)
- 3-Year PAT CAGR: +7.2%
- Trend: Turning around (inflection up) — consistent growth pattern
What is Craftsman Automation Ltd's revenue growth trend?
Craftsman Automation Ltd's revenue growth trend is stable.
- Revenue Growth YoY: +30.5%
- Revenue Growth QoQ: +2.7% (sequential)
- 3-Year Revenue CAGR: +36.9%
How is Craftsman Automation Ltd's operating margin trending?
Craftsman Automation Ltd's operating margin is stable.
- Current OPM: 15.0%
- OPM Change YoY: +2.0% basis points
- OPM Change QoQ: 0.0% basis points
What is Craftsman Automation Ltd's 3-year profit and revenue CAGR?
Craftsman Automation Ltd's long-term compounding rates
- 3-Year Profit CAGR: +7.2%
- 3-Year Revenue CAGR: +36.9%
Is Craftsman Automation Ltd's growth accelerating or decelerating?
Craftsman Automation Ltd's earnings growth is turning around (inflection up) with positive momentum on a sequential basis.
- YoY Acceleration: +53.2% bps
- Sequential Acceleration: -12.4% bps
What is Craftsman Automation Ltd's trailing twelve month (TTM) performance?
Craftsman Automation Ltd's trailing twelve month (TTM) performance
- TTM PAT: ₹335 Cr
- TTM PAT Growth: +63.4% YoY
- TTM Revenue: ₹8,000 Cr
- TTM Revenue Growth: +50.5% YoY
- TTM Operating Margin: 14.8%
Is Craftsman Automation Ltd overvalued or undervalued?
Craftsman Automation Ltd appears significantly overvalued based on our fair value analysis.
- Valuation Signal: Significantly Overvalued
- Current PE: 54.5x
- Price-to-Book: 6.6x
What is Craftsman Automation Ltd's current PE ratio?
Craftsman Automation Ltd's current PE ratio is 54.5x.
- Current PE: 54.5x
- Market Cap: 21.4K Cr
- Dividend Yield: 0.13%
How does Craftsman Automation Ltd's valuation compare to its history?
Craftsman Automation Ltd's current PE is 54.5x.
- Current PE: 54.5x
- Valuation Assessment: Significantly Overvalued
What is Craftsman Automation Ltd's price-to-book ratio?
Craftsman Automation Ltd's price-to-book ratio is 6.6x.
- Price-to-Book (P/B): 6.6x
- Book Value per Share: ₹1368
- Current Price: ₹8982
Is Craftsman Automation Ltd a fundamentally strong company?
Craftsman Automation Ltd is rated Average with a fundamental score of 49.88/100. This score is calculated from objective financial metrics
- Revenue Growth YoY: +30.5% (10% weight)
- PAT Growth YoY: +723.1% (10% weight)
- PAT Growth QoQ: +17.6% (10% weight)
- Margins stable (10% weight)
Is Craftsman Automation Ltd debt free?
Craftsman Automation Ltd has a debt-to-equity ratio of N/A.
- Total Debt: ₹4,000 Cr
What is Craftsman Automation Ltd's return on equity (ROE) and ROCE?
Craftsman Automation Ltd's return ratios over recent years
- FY2023: ROCE 21.0%
- FY2024: ROCE 20.0%
- FY2025: ROCE 12.0%
Is Craftsman Automation Ltd's cash flow positive?
Craftsman Automation Ltd's operating cash flow is positive (FY2026).
- Cash from Operations (CFO): ₹522 Cr
- Free Cash Flow (FCF): ₹-791 Cr
- CFO/PAT Ratio: 136% (strong cash conversion)
What is Craftsman Automation Ltd's dividend yield?
Craftsman Automation Ltd's current dividend yield is 0.13%.
- Dividend Yield: 0.13%
- Current Price: ₹8982
Who holds Craftsman Automation Ltd shares — promoters, FII, DII?
Craftsman Automation Ltd's shareholding pattern (Mar 2026)
- Promoters: 48.7%
- FII (Foreign): 15.2%
- DII (Domestic): 28.3%
- Public: 7.8%
Is promoter holding increasing or decreasing in Craftsman Automation Ltd?
Craftsman Automation Ltd's promoter holding has remained stable recently.
- Current Promoter Holding: 48.7% (Mar 2026)
- Previous Quarter: 48.7% (Dec 2025)
- Change: 0.00% (stable)
How long has Craftsman Automation Ltd been outperforming Nifty 500?
Craftsman Automation Ltd has been outperforming Nifty 500 for 3 consecutive weeks, indicating early-stage outperformance.
Is Craftsman Automation Ltd a new momentum entry or an established outperformer?
Craftsman Automation Ltd is a re-entry — it briefly dropped off the outperformance list but has now returned. Re-entries can signal renewed strength.
What are the key risks in Craftsman Automation Ltd?
Craftsman Automation Ltd has 5 key risks worth monitoring
- [MEDIUM] Commodity — Rising aluminium commodity cost increases working capital requirements by 10-15% and creates optical OPM compression even if gross value addition is intact
- [LOW] Fx — Short-term import cost volatility in raw material; not structural as pass-through mechanism is in place
- [LOW] Regulatory — Labour Code adds near-term compliance cost and automation capex requirement; BIS delays cap alloy wheel capacity utilization below 50%
- [LOW] Logistics — Logistics and reliability gap is a structural bottleneck for scaling export orders from mid-pyramid and top-pyramid European OEMs
What did Craftsman Automation Ltd's management say in the latest earnings call?
In Q3 FY26, Craftsman Automation Ltd's management highlighted
- "aluminium prices have jumped by around 16% from $2,800 to around $3,050, something like this and the highest level since April '22 [Risk (commodity):..."
- "there is some volatility on the imports because of the sudden surge of the dollar or the rupee depreciation, I would say. All this has played out, but..."
- "And we have the new Labour Code, which is coming in very soon that also will -- we need more automation [Risk (regulatory): LOW]"
Is Craftsman Automation Ltd worth studying for long term investment?
Based on quantitative research signals, here is why Craftsman Automation Ltd may be worth studying
- Earnings growing at +723.1% YoY
- Cash flow is positive — CFO ₹522 Cr
What is the investment thesis for Craftsman Automation Ltd?
Craftsman Automation Ltd investment thesis summary:
Research Signals (Bull Case)
- Revenue growing at +30.5% YoY
Risk Factors (Bear Case)
- Appears significantly overvalued
- Key risk: Commodity
What is the future outlook for Craftsman Automation Ltd?
Craftsman Automation Ltd's forward outlook based on current data signals
- Earnings Trend: turning around (inflection up)
- Revenue Trend: stable
- Margin Trend: stable
- Valuation: Significantly Overvalued
- Key Risk: Commodity
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.