Motilal Oswal initiates coverage on this auto component maker with a 25% upside. 4 reasons why

Motilal Oswal has initiated coverage on Uno Minda with a target implying about 25 percent upside, citing four key reasons. The brokerage highlighted the company's diversified portfolio across switches (25 percent of FY26 revenue), lighting (22 percent), and castings (19 percent), along with premiumisation tailwinds as UVs rose to 67 percent of PV mix and premium motorcycles to 55 percent in FY26. Motilal Oswal expects revenue CAGR of 19 percent, EBITDA CAGR of 20 percent, and PAT CAGR of 23 percent over FY26-28, with net debt declining to Rs 1,780 crore by FY28 from Rs 2,150 crore in FY26.