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- Auto Ancillary Sector Stocks in India
Auto Ancillary Sector Stocks in India
The auto ancillary industry in India is over US$ 50 bn in size as per IBEF. It's quite large and as such, is critical part of the Indian economy.
The industry is about 7.1% of India's GDP and employs about 5 million people in the country.
It's also one of the biggest exporting industries in India. The industry exports over 25% of its annual output.
India has emerged as a global auto component hub and the industry has set an ambitious export target of US$ 80 bn by 2026.
The auto ancillary eco-system in India is fairly robust and mature with a large number of companies operating in various niches. Some of these firms are world class. Within the industry, India has a competitive advantage globally in areas such as fasteners, bearings, and shafts.
India also has a labour cost advantage of about 15-20% over western nations in the global auto component market.
Government policies toward the industry over the years have been favourable. 100% FDI is allowed under the automatic route.
The recent trend towards electric vehicles had brought opportunities as well as challenges to the industry. Many firms will face a disruption in their business models while others will be relatively unaffected.
A large domestic market, solid advantages in the export market, a rising middle class in India with growing spending power, are the main driving forces of the Indian auto ancillary industry.
For a list of auto ancillary stocks in the Indian stock market please click here.
Also do read Equitymaster's auto ancillary sector report.
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Rakesh Jhunjhunwala & Associates Increase Stake in this Multibagger Realty Stock
Sep 22, 2023
Rekha Jhunjhunwala recently picked up additional stake in this multibagger realty company. What's brewing?
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Why Talbros Automotive Share Price is Rising
Jul 7, 2023
Shares of this auto ancillary firm are up over 90% in the past three months. A healthy order book suggests the company is all set to win the race against its peers.
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Why Force Motors Share Price is Rising
Jun 5, 2023
Auto and auto ancillary stocks have seen an explosion of interest over the past couple of months. The BSE auto index is up over 21% in a little over two months.
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EV Battery Stock Announces 200% Dividend & Q4 Results. 5 Key Takeaways
May 10, 2023
Despite a weak quarter, this EV battery maker is rewarding shareholders with a hefty dividend. Find out more details inside.
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Rekha Jhunjhunwala Trims Stake in this Auto Ancillary Penny Stock
May 4, 2023
Find out why Rakesh Jhunjhunwala & Associates trimmed stake in this auto ancillary company for the third consecutive quarter.
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Vijay Kedia Picks Stake in this Auto Ancillary Company. Stock Rallies 40% in Two Days
Apr 18, 2023
According to a BSE statement, Kedia bought 1 million shares, translating into a 1.1% stake in the company.
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Forget Metals and Play These Stocks for Better Returns
Jan 12, 2023
With China reopening, find out why I believe it makes more sense to play these proxy sectors.
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Why Schaeffler India Share Price is Falling
Dec 1, 2022
Here's why the stock of India's major ball and rolling bearing manufacturer has been falling.
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Why Did Dolly Khanna Increase Stake in this Auto Ancillary Stock?
Oct 8, 2022
Apart from Dolly Khanna, seasoned investor Vijay Kedia also owns stake in this auto component company.
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Don't Buy EV Stocks. Do This Instead to Profit from the EV Boom
Sep 22, 2022
The safest way to play the EV story is via this sector. Read all about it...
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Ashish Kacholia's Block Deal Spurs 20% Rally in this Multibagger Auto Ancillary Stock
Aug 25, 2023
This microcap stock has rallied over 50% in the past five days. Apart from Kacholia's bullish stance, what's driving the rally?
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This Auto Ancillary Stock is Up 70% in One Month. More Gains Ahead?
Jul 3, 2023
Shares of JBM Auto touched their 52 week high today. Here's what is driving the company's share price.
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Surprising Exit: Sumeet Nagar's Malabar India Fund Dumps 2 million Shares of this Leading Auto Ancillary Company
Jun 3, 2023
Data released on Friday showed that Sumeet Nagar's fund sold over 2 million (m) shares of this auto ancillary firm. More details inside...
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Tyre Stocks Are Rising: Here's What's Driving the Surge
May 5, 2023
Tyre stocks are suddenly speeding up. What suddenly changed?
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Ace Investor Vijay Kedia Raises Stake in This Multibagger Auto Ancillary Stock
Apr 19, 2023
Here's why the investor increased his stake in the company after paring it in the December 2022 quarter.
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Top 5 Auto Ancillary Companies in India by Growth
Mar 16, 2023
Auto ancillary stocks are a perfect proxy play on the revival of the automobile sector.
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Why Amara Raja Batteries Share Price is Falling
Dec 28, 2022
Amara Raja has fallen over 12% in the past few sessions. It has also underperformed in the last three years due to the pandemic and increasing raw material costs.
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5 EV Battery Stocks to Watch Out for Potential Multibagger Returns
Oct 29, 2022
These five EV battery stocks are well-poised to grow in the coming years.
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Mutual Funds are Loading up this Beaten Down Midcap Stock. Here's Why...
Sep 22, 2022
Recently, mutual funds added huge exposure in this auto ancillary company, which has a credible EV story.
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Exide vs Amara Raja: Which EV Battery Manufacturer Will Lead the Market?
Sep 9, 2022
Demand for EVs is growing. Thus the demand for batteries is grow too. Two established players dominate the industry. Find out which is better.
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