Force Motors Ltd (FORCEMOT) — share price & stock analysis

Market cap

₹24,143 Cr

P/E

22.8×

ROE

29.2%

vs own 10-yr valuation

39th pctile

Book value / share

₹3,183

EPS (TTM)

₹800

10-yr median P/E

25.0×

Revenue (FY26)

₹9,057 Cr

Profit after tax (FY26)

₹1,212 Cr

Weinstein stage

Stage 2 (67 weeks)

Data as of

1 July 2026

5 of the 6 things we track are currently moving the right way — nearly everything is pulling in the same direction.

Where the levels actually stand: ROCE 36% — a high-quality engine; effectively no debt; margins at an all-time high. Momentum says which way things are moving; these say where they are.

Read this number for what it is: it measures the DIRECTION of change, not the quality of the business. A mediocre business getting better scores high here; a great one having a soft quarter scores low. Profit, sales and margins count double, and a quarter of the score comes from our earnings-recovery lens (is the profit cycle turning up off its trough?).

Most of this rally is re-rating, not earnings

Since Jun 2016, the stock is up 510% while earnings per share grew 442%. The difference is re-rating — investors paying more for the same rupee of profit.pricettm_eps

That works until it doesn’t: from here, earnings have to do the lifting, because the multiple has already done its part.

Today’s P/E of 22.8× is the middle of its own range against its own 10-year history (39th percentile) — neither a bargain nor a stretch, by its own standards.pe_ratio

And the sharper caveat: today’s margins are the best this company has ever printed. The cheap multiple is only real if they hold — earnings at record profitability flatter every valuation ratio.operating_profit

Price is the weekly close (₹). EPS is trailing-twelve-month profit per share, anchored on Screener's own snapshots; between snapshots it is filled from price ÷ P/E (an exact identity), and any fill straying more than 18% from the neighbouring snapshots is dropped rather than shown. The lower panel is the P/E — what the market pays per rupee of profit; the dotted line is its long-run median (25×).

Stage 2: the trend is up, and has been for 67 weeks

Price trends have a life cycle: they base (1), advance (2), top out (3) and decline (4). This chart is in Stage 2: advancing — 67 weeks so far.stage

The price sits above its rising 200-day average (₹18,754 today) — trends like this persist more often than they reverse, which is why the system rides them instead of guessing the top.dma_200

Trailing NIFTY 500 for 4 weeks — relative strength is the market’s live opinion, and right now it is against it.rs_mansfield

What would end it: two Friday closes in a row below the 200-day line. That is the house exit rule — mechanical, no debates.dma_200

Losses, then a rebuild: profits are at an all-time high

Over 12 years, sales went from ₹2,022 Cr to ₹9,057 Cr (about 13% a year), and profit from ₹78.0 Cr to ₹1,212 Cr.revenuenet_profit

The books show real losses in FY21 and FY22 (worst: ₹−124 Cr). Everything about today’s cheap-looking numbers must be read against that history — the recovery is what you are buying.net_profit

Sales grew 8% last quarter — growth every single quarter for over 2 years

Mar 26 sales were ₹2,550 Cr, up 8% on the same quarter last year.revenue

That makes 10 quarters of growth in a row — this is a trend, not a blip.revenue

Margins are widening — 14% → 16% in a year

Of every ₹100 of sales, the company keeps ₹16.3 as operating profit (a year ago it kept ₹14.0).opm_pct

Zoom out and this is the page's quiet hero: annual operating margin bottomed at 1.2% in FY21 and has been rebuilt to 16.4% — that recovery, not sales alone, is what powers the profit growth elsewhere on this page.operating_profit

The gross margin moved the same way (27% → 30%), so this is about input costs and pricing power — the raw-material equation improved.gpm_pctopm_pct

Profit fell hard 36% — mostly from income from outside the core business

Mar 26 profit after tax was ₹279 Cr, down 36% year on year.net_profit

A caution: a meaningful slice of this jump came from income outside the core business — that is lower-quality profit and may not repeat.other_income

The profits are real — they turn into cash

Over the last 4 profitable years, the business reported ₹2,535 Cr of profit and collected ₹3,814 Cr of operating cash — about 150% conversion (1 loss year excluded — a negative denominator would flatter the ratio).operating_cash_flownet_profit

When cash tracks profit this closely, the earnings need no asterisk.

The cash cycle looks tighter — but it is supplier credit doing the work

One rupee now takes about 20 days to go out the door as materials and come back as collected cash — down from 32 days the year before.cash_conversion_cycle

Look inside the improvement, though: suppliers are being paid 11 days later (48 → 59 days). Supplier credit is funding the cycle — useful, but not the same thing as customers paying faster.payable_daysinventory_days

The asset base keeps compounding — this company builds

The productive asset base has gone from ₹643 Cr (FY14) to ₹2,222 Cr, with another ₹236 Cr of capacity under construction right now.fixed_assetscwip

The build is self-funded: the last 3 years' investing outflow (₹1,449 Cr) fits inside the operating cash the business generated (₹3,282 Cr).investing_cash_flowoperating_cash_flow

Almost no debt — this company cannot be killed by a bad year

For every ₹100 shareholders have put in (and left in), the company has borrowed ₹0.borrowings

Every ₹100 kept in the business now earns ₹36 — and the number is rising

Return on capital employed is 36.0% (a year ago: 30.0%). This is the single best test of business quality: what the company earns on the money it keeps.roce_pct

Rising returns on capital while growing is the rarest combination in investing — it means the new projects earn more than the old ones.roce_pct

Big money is quietly accumulating

Promoters hold 61.6%, essentially unchanged. Foreign funds own 10.9%, domestic funds 1.8%.promoters_pctfiis_pctdiis_pct

Institutions buying while the story develops is the market’s quiet vote of confidence — they meet management, you don’t.

A turnaround that stuck — the question is what’s left to re-rate

The numbers are genuinely mixed, and the price already assumes the good news continues.

Best thing in the data: debt improving (0.01× → 0×).borrowings

Biggest worry: free cash flow falling (₹620 Cr → ₹397 Cr).operating_cash_flow

Machine-written research from Screener data — every number traces to its source column. Sector Alpha is not a SEBI-registered investment adviser; nothing here is a recommendation to buy or sell. Not investment advice.

Straight answers from the data