Auto component stocks are drawing heavy institutional interest heading into the second half of the fiscal year. Motilal Oswal Wealth Management Research named Uno Minda and Gabriel India as its top buy recommendations for the week of November 9, 2026, pointing to accelerating order books and aggressive capacity rollouts. Price targets indicate double-digit upside potential across both counters.
Uno Minda trades at ₹1,326, with the brokerage setting a target price of ₹1,560—an implied gain of 18%. The recommendation follows an explosive second quarter. Adjusted net profit leaped 38% year-on-year, outpacing consensus forecasts by 27%. Revenue jumped 38% while operating EBITDA climbed 53%, beating expectations by 17%.
The operational discipline stood out. EBITDA margin reached 11%, beating the brokerage's 10.6% projection despite higher raw material bills and wage revisions. Sales expanded across lighting, seating, castings, and switch units. Green Mobility revenue surged 102% over the previous year. Momentum should build further through the second half of FY27, aided by project ramp-ups from two plants commissioned in the final quarter of FY26. Added capacity in alloy wheels, pixel headlamps, and passenger vehicle seating contracts will anchor the next leg of expansion. Consequently, the research house lifted its earnings estimates by 13% for FY27 and 10% for FY28.
Gabriel India presents an even wider valuation runway. Trading at ₹1,379.80, the counter carries a target of ₹1,664, representing a 21% upside. Second-quarter revenue grew 23% year-on-year, while operating EBITDA rose 12% and adjusted net profit climbed 15%. Yet operational margins contracted from 9.6% to 8.8% under input cost pressures and delayed client pass-throughs. Brokerage analysts expect margin recovery across the coming quarters as price adjustments take effect.
| Stock | Current Price (₹) | Target Price (₹) | Projected Upside (%) | Q2 Revenue Growth (YoY) | Q2 PAT Growth (YoY) | Target Horizon CAGR |
|---|---|---|---|---|---|---|
| Uno Minda | ₹1,326.00 | ₹1,560.00 | 18% | 38% | 38% | 30% (FY26–28) |
| Gabriel India | ₹1,379.80 | ₹1,664.00 | 21% | 23% | 15% | 32% (FY26–29) |
Gabriel is actively shedding its legacy tag as a pure suspension supplier. The company closed buyout transactions for a 28.99% stake in HL Mando Anand and a 30% holding in HL Klemove during the second quarter. The acquisitions push Gabriel directly into steering, electronic braking, and advanced driver-assistance systems. Full consolidation of these assets begins in the third quarter of FY27. Coupled with a planned passenger vehicle seating venture with FORVIA, the moves prompted Motilal Oswal to lift Gabriel’s FY27 earnings per share forecast by 12%.
Long-term profit projections reflect the shift. Motilal Oswal forecasts Uno Minda to clock a profit-after-tax compound annual growth rate of 30% through FY28, while Gabriel India is projected to deliver a 32% bottom-line CAGR through FY29.