Buy Minda Corp; target of Rs 860: Choice Institutional Equities

Moneycontrol • 1 day ago

Original source

Key Investment Pillars

  • Minda Corp.'s revenue and EBITDA grew 42.6% and 44.7% YoY, respectively, driven by strong demand, customer additions, premiumisation, and Minda VAST consolidation.
  • The company secured lifetime TFT instrument-cluster orders exceeding INR 10,000 Mn and a 3.5 kW charger order valued at over INR 4,000 Mn, enhancing medium-term growth visibility.
  • EV products accounted for 10% of Minda Corp.'s revenue and 15% at the group level, with EV revenue growing 113% YoY.
  • The proposed INR-2,000 Mn TFT display-module facility will support 70–80% localisation and backward integration.

Thesis Validation Checklist

  • Monitor Minda Corp.'s ability to sustain growth through rising electronic content, EV adoption, premiumisation, and new product programmes.
  • Track the company's order execution, particularly in EV and electronics-led products, and its impact on revenue and margins.
  • Watch for signs of increasing electronic content per vehicle and the company's ability to capitalize on this trend.
  • Observe the progress of Minda Corp.'s strategic partnerships and capacity expansions, including the proposed TFT display-module facility.