What Is The Share Price Of Motherson Sumi Wiring?

Investors and market watchers often ask, What is the share price of Motherson Sumi Wiring? Whether you’re evaluating a potential investment or monitoring your portfolio, understanding this stock’s market behavior is crucial. Motherson Sumi Wiring India Ltd (MSUMI), a joint venture between Sumitomo Wiring Systems and Samvardhana Motherson International, is India’s largest wiring harness manufacturer with a market share of around 40%. Share price movements in this stock can indicate investor sentiment not only toward the company, but also the broader auto components sector.

Current Share Price Snapshot

As of midday on July 18, 2025, the share price of MSUMI is approximately ₹43.30 on the National Stock Exchange (NSE), reflecting an intraday gain of about 0.75%, up from the previous close of ₹42.98

Trading volume remains robust, with more than 13 million shares changing hands, indicating strong liquidity and active investor interest

Recent Events Influencing the Share Price

Bonus Share Issue

On July 18, 2025, MSUMI began trading ex-bonus shares in a 1: 2 ratio, meaning investors received one bonus share for every two shares held

Dividend Impact

MSUMI also declared a final dividend of ₹0.35 per share and an interim dividend of ₹0.50 per share for FY2024-25

Key Metrics and Fundamentals

  • Market Capitalization: Around ₹28,500-28,800 crore
  • Price Range (1-Year): ₹30.7 at the low end and ₹51.5 at the high end
  • P/E Ratio: Approximately 47Ã trailing earnings, per Screener
  • Book Value: Around ₹2.56 per share according to Screener, and ₹3.84 per share on Groww
  • Dividend Yield: Ranges from 0.5-1.3%, varying by source
  • Return on Equity (ROE): Approximately 36-38%, demonstrating high profitability
  • Return on Capital Employed (ROCE): Around 42.5%

Factors Driving Share Price Movement

Industry Dynamics

Automotive wiring demand remains steady as OEMs ramp up production of passenger vehicles, commercial vehicles, and electric cars. Positive trends in auto sales often drive component stocks higher.

Financial Performance

Consistent quarterly growth ₹2,510¯cr in sales and ₹165¯cr net profit for Q4 FY2025 has bolstered investor confidence

Corporate Actions

Bonus share issues and dividends often lead to short-term rallies. However, these are generally neutral in long-term valuation. They do improve liquidity and shareholder perception.

Valuation Multiples

A high P/E (~47Ã ) and P/B (~16Ã -11Ã ) suggest premium valuation, reflecting market optimism about growth prospects. However, this can cause volatility if performance fails to meet expectations.

Macro Factors

Currency fluctuations, raw material prices (primarily copper and plastics), inflation, and interest rates can influence earnings forecasts and investor sentiment.

Comparative Outlook and Analyst Expectations

Analysts from HDFC Securities, in a July 2025 report, set a 12-month target price of ₹59 per share, indicating potential upside of ~36% from current levels

Investor Considerations

Growth vs. Valuation

While strong growth metrics justify some premium, valuation appears elevated. Investors should weigh potential returns against risk if growth slows.

Volatility and Liquidity

The stock is liquid trading millions of shares daily but can exhibit sharp swings on news and broader market shifts.

Hold vs. Buy

  • If bullish: Positive auto sector trends and bonus/dividend actions could provide short-term gains. Use dips to accumulate.
  • If cautious: High valuation means underperformance risks if growth decelerates. A pullback might present a better entry point.

Motherson Sumi Wiring India’s current share price, hovering around ₹43.30, reflects strong recent performance aided by corporate actions and healthy fundamentals. High profitability and favorable auto sector trends support the premium valuation. However, the elevated P/E and P/B multiples signal that any slowdown or adverse industry developments could lead to sharp corrections. For long-term investors, a target of ₹59 suggests upside, but prudent monitoring of sector trends, earnings updates, and macro factors remains essential.