Buy Endurance Technologies; target of Rs 3311: Motilal Oswal

Motilal Oswal is bullish on Endurance Technologies recommended buy rating on the stock with a target price of Rs 3311 in its research report dated October 06, 2025.

Broker Research

October 07, 2025 / 11:44 IST

buy

26 Aug, 2025 12:21

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Motilal Oswal's research report on Endurance Technologies

Endurance (ENDU) has consistently outperformed core industry growth, both in India and Europe, over the last five years. Given its healthy order backlog of INR36.1b worth of new orders, we expect ENDU to sustain its outperformance over FY25-27. Management aims to ramp up its 4W mix to 45% of consolidated revenue from 25% currently. To achieve this target, ENDU is setting up a new plant in AURIC (Maharashtra) to fulfil new orders and has tied up with a Korean partner to foray into 4W suspensions. It has also received its first orders for drum brakes and drive shafts. MoRTH’s proposal to mandate ABS on all 4Ws can increase ENDU’s addressable market by 10x, and ENDU targets a 25% share of this higher base going forward. This proposal, if finalized, can alone boost ENDU’s revenue. Its Europe performance has demonstrated commendable resilience, and we expect it to sustain this healthy performance on the back of new orders and the recent integration of Stoferle.

Outlook

Considering these growth drivers, we estimate ENDU to deliver a CAGR of ~18%/21%/20% in consolidated revenue/EBITDA/PAT over FY25-27. We reiterate our BUY rating with a TP of INR3,311 (based on 36x Sep’27E consolidated EPS).

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