3 Engine and Power Systems Maker, Industrial Gearbox Specialist and Air Conditioning and Refrigeration Company Stocks With a Strong Future Roadmap: Cummins India, Elecon Engineering and Blue Star
- October 29, 2026
- Posted by: Kunal Singla
- Category: Best Stocks
Cummins India, Elecon Engineering and Blue Star: ROE of 12.4% to 27.9% and FY22 to FY26 revenue CAGR of 18.5% to 19.6%. Prices as of 28 Oct 2026.
Quick Answer
The three engine, gearbox and cooling equipment stocks to watch are Cummins India, Elecon Engineering and Blue Star. Their return on equity ranges from 12.4% to 27.9%, and their revenue compound annual growth from FY22 to FY26 ranges from 18.5% to 19.6%. Cummins India has the highest return on equity at 27.9%, while Blue Star has the fastest revenue growth at 19.6% a year. Prices are based on the 28 October 2026 close, and this article is educational, not investment advice.
Engine, gearbox and cooling equipment stocks bring together companies with a visible plan for the years ahead. Cummins India, Elecon Engineering and Blue Star cover an engine and power systems maker, an industrial gearbox specialist and an air conditioning and refrigeration company.
This list covers three engine, gearbox and cooling equipment stocks with complete current figures: Cummins India, Elecon Engineering and Blue Star. Every figure comes from the latest reported financials and the 28 October 2026 market close. Companies without complete current figures were left out.
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What Are Engine, Gearbox and Cooling Equipment Stocks?
Engine, gearbox and cooling equipment stocks are listed companies that make diesel and gas engines and generator sets, produce industrial gears and material handling equipment and sell room air conditioners and commercial cooling products. Their earnings depend on capital spending, project activity and summer demand.
Engine, Gearbox and Cooling Equipment Stocks at a Glance
| Company | CMP (Rs) | Market Cap (Rs Cr) | P/E | Industry P/E | ROE (%) | D/E |
|---|---|---|---|---|---|---|
| Cummins India | 4,620 | 127,515 | 53.9 | 44.4 | 27.9 | 0.00 |
| Elecon Engineering | 429.4 | 9,361 | 38.3 | 41.5 | 12.4 | 0.14 |
| Blue Star | 1,598 | 32,243 | 63.3 | 43.1 | 15.4 | 0.24 |
On valuation, Elecon Engineering trades at a P/E below the industry P/E, while Cummins India and Blue Star trade above it, which reflects the growth the market already expects. Readers comparing engine, gearbox and cooling equipment stocks should look at return on equity and debt together, since a high return earned with low debt is easier to sustain.
Why Do Engine, Gearbox and Cooling Equipment Stocks Have a Strong Roadmap in India?
Engine, gearbox and cooling equipment stocks have a strong roadmap in India because new data centres, factories and ports, rising power needs and growing demand for cooling in homes and offices keep widening the market for these equipment makers.
- Data centre demand. Backup power and cooling needs rise with new facilities.
- Core industries. Steel, cement, power and ports use gears and handling systems.
- Cooling demand. More households and offices adopt air conditioning.
Why Cummins India Features Among These Engine, Gearbox and Cooling Equipment Stocks
Among the engine, gearbox and cooling equipment stocks on this list, Cummins India makes diesel and natural gas engines, generator sets, filtration products and power systems for infrastructure, data centres and industrial customers, and it also exports.
The company has a return on equity of 27.9%, a debt to equity ratio of 0.00 and a market capitalisation of Rs 127,515 crore. The stock trades at a P/E of 53.9, above the industry P/E of 44.4.
Revenue rose from Rs 6,414 crore in FY22 to Rs 12,661 crore in FY26, a compound annual growth rate of 18.5%. Net profit grew from Rs 934 crore in FY22 to Rs 2,362 crore in FY26, which works out to a compound annual growth rate of 26.1%. In the June 2026 quarter, revenue grew 17.2% year on year to Rs 3,563 crore, while net profit rose 0.9% to Rs 609 crore.
Roadmap: The company benefits from demand for backup power at data centres, infrastructure projects and industrial plants, and it is widening its export base. A debt-free balance sheet supports capacity additions and new product lines.
What to watch: Track demand from data centres and new infrastructure and the growth of exports.
Why Elecon Engineering Features Among These Engine, Gearbox and Cooling Equipment Stocks
Among the power and cooling shares on this list, Elecon Engineering is a Gujarat-based maker of industrial gears and material handling equipment that supplies steel, cement, power, mining and port customers.
Revenue rose from Rs 1,221 crore in FY22 to Rs 2,447 crore in FY26, a compound annual growth rate of 19.0%. Net profit grew from Rs 140 crore in FY22 to Rs 341 crore in FY26, which works out to a compound annual growth rate of 24.8%.
The company has a return on equity of 12.4%, a debt to equity ratio of 0.14 and a market capitalisation of Rs 9,361 crore. The stock trades at a P/E of 38.3, below the industry P/E of 41.5.
Roadmap: The company benefits from steady capital spending in core industries and from export orders for gearboxes. A focus on higher-power gear systems helps it win larger orders.
What to watch: Follow order inflows, export demand and margins in the gear business.
Why Blue Star Features Among These Engine, Gearbox and Cooling Equipment Stocks
Among the three companies on this list, Blue Star is an air conditioning and commercial refrigeration company that sells room air conditioners, cooling products and electro-mechanical projects across India.
In the June 2026 quarter, revenue grew 13.4% year on year to Rs 3,399 crore. Revenue rose from Rs 6,100 crore in FY22 to Rs 12,464 crore in FY26, a compound annual growth rate of 19.6%.
Net profit grew from Rs 168 crore in FY22 to Rs 527 crore in FY26, which works out to a compound annual growth rate of 33.1%. The company has a return on equity of 15.4%, a debt to equity ratio of 0.24 and a market capitalisation of Rs 32,243 crore. The stock trades at a P/E of 63.3, above the industry P/E of 43.1.
Roadmap: The company benefits from rising air conditioner penetration, growth in commercial buildings and expansion of cold chain. A wide service network and trusted brand support market share.
What to watch: Track room air conditioner volumes, commercial cooling orders and project execution.
Cummins India vs Elecon Engineering vs Blue Star on Key Financials
The table below sets the three engine, gearbox and cooling equipment stocks side by side on revenue, profit and margin, using reported figures.
| Company | FY22 Revenue (Rs Cr) | FY26 Revenue (Rs Cr) | Revenue CAGR (FY22-FY26) | FY26 Net Profit (Rs Cr) | FY26 Net Margin |
|---|---|---|---|---|---|
| Cummins India | 6,414 | 12,661 | 18.5% | 2,362 | 18.7% |
| Elecon Engineering | 1,221 | 2,447 | 19.0% | 341 | 13.9% |
| Blue Star | 6,100 | 12,464 | 19.6% | 527 | 4.2% |
Cummins India posts the highest return on equity in this group at 27.9%. Cummins India has the largest FY26 revenue at Rs 12,661 crore, and Blue Star shows the fastest revenue growth with a 19.6% compound annual rate. A useful habit with engine, gearbox and cooling equipment stocks is to check each new quarterly result against the capacity plans the company described earlier.
Key Risks to Check Before Investing in Engine, Gearbox and Cooling Equipment Stocks
Every theme carries risks that deserve a check before any decision. For these engine, gearbox and cooling equipment stocks, the main points are: Long-term power and cooling shares holders usually track revenue growth, margins and cash flow side by side rather than relying on a single ratio.
- Capital spending cycles. Customer investment in plants and equipment can vary.
- Input costs. Metal and material prices can move margins.
- Valuation levels. Some of these companies trade at high earnings multiples, so growth must continue to justify them.
Treat this list as a starting point for research and not as a recommendation. Read the latest results presentation, check the management commentary on order books or capacity plans, and compare each company with its peers before you decide anything.
Use the Univest Stock Screener to filter engine, gearbox and cooling equipment stocks by market capitalisation, P/E, ROE and growth, and build your own shortlist.
Final Thoughts on Engine, Gearbox and Cooling Equipment Stocks
Engine, gearbox and cooling equipment stocks suit investors who prefer to study business strength before price moves. Cummins India, Elecon Engineering and Blue Star each have a clear plan to grow. Based on the 28 October 2026 close, Cummins India trades at Rs 4,620, Elecon Engineering at Rs 429.4 and Blue Star at Rs 1,598.
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Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
What are engine, gearbox and cooling equipment stocks?
Ans. Engine, gearbox and cooling equipment stocks are listed companies that make diesel and gas engines and generator sets, produce industrial gears and material handling equipment and sell room air conditioners and commercial cooling products. Their earnings depend on capital spending, project activity and summer demand. This list looks at three of them, Cummins India, Elecon Engineering and Blue Star, using reported FY22 to FY26 financials and the 28 October 2026 closing prices.
Which engine, gearbox and cooling equipment stocks are covered in this list?
Ans. This list covers Cummins India, Elecon Engineering and Blue Star. Based on the 28 October 2026 close, Cummins India traded at Rs 4,620, Elecon Engineering at Rs 429.4 and Blue Star at Rs 1,598. Their return on equity ranges from 12.4% to 27.9%, and their revenue compound annual growth from FY22 to FY26 ranges from 18.5% to 19.6%.
Why do engine, gearbox and cooling equipment stocks have a strong future roadmap in India?
Ans. Engine, gearbox and cooling equipment stocks have a strong roadmap in India because new data centres, factories and ports, rising power needs and growing demand for cooling in homes and offices keep widening the market for these equipment makers. The main drivers are as follows. Data centre demand. Backup power and cooling needs rise with new facilities. Core industries. Steel, cement, power and ports use gears and handling systems. Cooling demand. More households and offices adopt air conditioning. Together these factors give the companies on this list a visible path for growth over the coming years.
How has Cummins India performed financially?
Ans. Revenue rose from Rs 6,414 crore in FY22 to Rs 12,661 crore in FY26, a compound annual growth rate of 18.5%. Net profit grew from Rs 934 crore in FY22 to Rs 2,362 crore in FY26, which works out to a compound annual growth rate of 26.1%. In the June 2026 quarter, revenue grew 17.2% year on year to Rs 3,563 crore, while net profit rose 0.9% to Rs 609 crore. The company has a return on equity of 27.9%, a debt to equity ratio of 0.00 and a market capitalisation of Rs 127,515 crore. The stock trades at a P/E of 53.9, above the industry P/E of 44.4. Looking ahead, the company benefits from demand for backup power at data centres, infrastructure projects and industrial plants, and it is widening its export base. A debt-free balance sheet supports capacity additions and new product lines.
How has Elecon Engineering performed financially?
Ans. Revenue rose from Rs 1,221 crore in FY22 to Rs 2,447 crore in FY26, a compound annual growth rate of 19.0%. Net profit grew from Rs 140 crore in FY22 to Rs 341 crore in FY26, which works out to a compound annual growth rate of 24.8%. The company has a return on equity of 12.4%, a debt to equity ratio of 0.14 and a market capitalisation of Rs 9,361 crore. The stock trades at a P/E of 38.3, below the industry P/E of 41.5. Looking ahead, the company benefits from steady capital spending in core industries and from export orders for gearboxes. A focus on higher-power gear systems helps it win larger orders.
How has Blue Star performed financially?
Ans. Revenue rose from Rs 6,100 crore in FY22 to Rs 12,464 crore in FY26, a compound annual growth rate of 19.6%. Net profit grew from Rs 168 crore in FY22 to Rs 527 crore in FY26, which works out to a compound annual growth rate of 33.1%. In the June 2026 quarter, revenue grew 13.4% year on year to Rs 3,399 crore. The company has a return on equity of 15.4%, a debt to equity ratio of 0.24 and a market capitalisation of Rs 32,243 crore. The stock trades at a P/E of 63.3, above the industry P/E of 43.1. Looking ahead, the company benefits from rising air conditioner penetration, growth in commercial buildings and expansion of cold chain. A wide service network and trusted brand support market share.
What risks should investors check before buying engine, gearbox and cooling equipment stocks?
Ans. Investors should check a few risks before buying engine, gearbox and cooling equipment stocks. Capital spending cycles. Customer investment in plants and equipment can vary. Input costs. Metal and material prices can move margins. Valuation levels. Some of these companies trade at high earnings multiples, so growth must continue to justify them. Reading the latest results presentation and comparing each company with its peers helps judge how these risks apply to each stock.
Is this list of engine, gearbox and cooling equipment stocks investment advice?
Ans. No. This article is educational and uses publicly available data as of the 28 October 2026 close. Please verify figures on NSE and BSE, read company filings and consult a SEBI registered adviser before investing. Univest is SEBI registered research analyst INH000013776.
