{"id":256490,"date":"2026-09-18T12:11:59","date_gmt":"2026-09-18T06:41:59","guid":{"rendered":"https:\/\/univest.in\/blogs-2\/?p=256490"},"modified":"2026-09-18T12:11:59","modified_gmt":"2026-09-18T06:41:59","slug":"industrial-gears-stock-rises-20-percent-in-1-year","status":"publish","type":"post","link":"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/","title":{"rendered":"This Industrial Gears Stock Rises 20% in 1 Year: Almost All of It in Four Weeks"},"content":{"rendered":"<p style=\"border-left:4px solid #1F4E79;background:#EBF3FB;padding:10px 16px;font-style:italic;\"><em>Shanthi Gears rose from Rs 562.95 on 18 Sep 2025 to around Rs 675.90 on 18 Sep 2026, up 20.1%, with a 52 week range of Rs 384 to Rs 743.<\/em><\/p>\n<div style=\"background:#F0F9FF;border-left:4px solid #2E7D32;border-radius:6px;padding:14px 18px;margin:18px 0;\">\n<p style=\"margin:0;color:#1F4E79;font-size:14px;\"><strong>Quick Answer<\/strong><\/p>\n<p style=\"margin:8px 0 0;\">Shanthi Gears is up approximately 20% over one year, from Rs 562.95 to around Rs 675.90. Nearly the whole gain came after 21 August 2026, when parent Tube Investments of India bought 2.69% for Rs 77.49 crore and lifted its holding to 73.16%. A record Rs 178 crore order booking quarter and a new CFO added to it. Earnings, though, fell hard in the June 2026 quarter, leaving this industrial gears stock on a demanding multiple.<\/p>\n<\/div>\n<p>The industrial gears stock covered here has risen approximately 20% in one year, and almost the whole move landed in the final four weeks. Between 18 September 2025 and 18 September 2026 the share went from Rs 562.95 to around Rs 675.90, a gain of roughly 20.1%. What makes this industrial gears stock unusual is that the rally arrived while revenue and profit were falling.<\/p>\n<p>The company is <strong><a href='https:\/\/univest.in\/stocks\/shantigear\/shanthi-gears-ltd-share-price-today'>Shanthi Gears Ltd<\/a><\/strong>, the Coimbatore based maker of gears, gearboxes, geared motors and gear assemblies, part of the Murugappa group and majority owned by Tube Investments of India. For eleven of the last twelve months this industrial gears stock did the opposite of rally, sliding to Rs 384 on 18 August 2026. A single block deal by its own parent on 21 August 2026 reset everything.<\/p>\n<p style=\"margin-top:24px;\"><strong><a href='https:\/\/univest.in\/user\/log-in'>Click Here &#8211; Get Free Investment Predictions<\/a><\/strong><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Industrial_Gears_Stock_Returns_Across_Periods\" title=\"Industrial Gears Stock Returns Across Periods\">Industrial Gears Stock Returns Across Periods<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Why_Did_This_Industrial_Gears_Stock_Rise_20_in_One_Year\" title=\"Why Did This Industrial Gears Stock Rise 20% in One Year?\">Why Did This Industrial Gears Stock Rise 20% in One Year?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Driver_one_the_parent_bought_269_in_one_block_deal\" title=\"Driver one: the parent bought 2.69% in one block deal\">Driver one: the parent bought 2.69% in one block deal<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Driver_two_record_order_booking_lifts_the_industrial_gears_stock\" title=\"Driver two: record order booking lifts the industrial gears stock\">Driver two: record order booking lifts the industrial gears stock<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Driver_three_a_leadership_rebuild_and_a_re-rating\" title=\"Driver three: a leadership rebuild and a re-rating\">Driver three: a leadership rebuild and a re-rating<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Shanthi_Gears_Share_Price_and_the_Financials_Behind_It\" title=\"Shanthi Gears Share Price and the Financials Behind It\">Shanthi Gears Share Price and the Financials Behind It<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Order_Book_and_Capex_Behind_the_Industrial_Gears_Stock\" title=\"Order Book and Capex Behind the Industrial Gears Stock\">Order Book and Capex Behind the Industrial Gears Stock<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Industrial_Gears_Stock_Valuation_Debt_and_the_Small_Float\" title=\"Industrial Gears Stock Valuation, Debt and the Small Float\">Industrial Gears Stock Valuation, Debt and the Small Float<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Risks_in_This_Industrial_Gears_Stock\" title=\"Risks in This Industrial Gears Stock\">Risks in This Industrial Gears Stock<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Shanthi_Gears_Share_Analyst_View\" title=\"Shanthi Gears Share: Analyst View\">Shanthi Gears Share: Analyst View<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Shanthi_Gears_Share_Price_Target\" title=\"Shanthi Gears Share Price Target\">Shanthi Gears Share Price Target<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Other_Stocks_to_Track_From_the_Same_Return_Screen\" title=\"Other Stocks to Track From the Same Return Screen\">Other Stocks to Track From the Same Return Screen<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Frequently_Asked_Questions\" title=\"Frequently Asked Questions\">Frequently Asked Questions<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#How_much_has_this_industrial_gears_stock_risen_in_one_year\" title=\"How much has this industrial gears stock risen in one year?\">How much has this industrial gears stock risen in one year?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Which_company_is_this_industrial_gears_stock\" title=\"Which company is this industrial gears stock?\">Which company is this industrial gears stock?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Why_did_Shanthi_Gears_share_price_jump_in_August_2026\" title=\"Why did Shanthi Gears share price jump in August 2026?\">Why did Shanthi Gears share price jump in August 2026?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Is_there_a_verified_Shanthi_Gears_share_price_target_from_brokerages\" title=\"Is there a verified Shanthi Gears share price target from brokerages?\">Is there a verified Shanthi Gears share price target from brokerages?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#How_are_Shanthi_Gears_financials_performing_right_now\" title=\"How are Shanthi Gears financials performing right now?\">How are Shanthi Gears financials performing right now?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#Is_Shanthi_Gears_debt_free\" title=\"Is Shanthi Gears debt free?\">Is Shanthi Gears debt free?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#What_is_the_order_book_and_capex_position\" title=\"What is the order book and capex position?\">What is the order book and capex position?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-22\" href=\"https:\/\/univest.in\/blogs-2\/industrial-gears-stock-rises-20-percent-in-1-year\/#What_are_the_main_risks_in_this_industrial_gears_stock\" title=\"What are the main risks in this industrial gears stock?\">What are the main risks in this industrial gears stock?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Industrial_Gears_Stock_Returns_Across_Periods\"><\/span><strong>Industrial Gears Stock Returns Across Periods<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The one year number understates the recent move in this industrial gears stock. Shanthi Gears share price is up approximately 74% in one month and approximately 50% in six months, both bigger than the twelve month figure, because the industrial gears stock spent most of the period falling before it turned. Closing prices are used, with 17 September 2021 standing in for the five year point because 18 September 2021 was not a trading day.<\/p>\n<table>\n<thead>\n<tr>\n<th>Period<\/th>\n<th>From<\/th>\n<th>To<\/th>\n<th>Return<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>1 month<\/td>\n<td>Rs 388.95<\/td>\n<td>Rs 675.90<\/td>\n<td>+73.8%<\/td>\n<\/tr>\n<tr>\n<td>6 months<\/td>\n<td>Rs 450.35<\/td>\n<td>Rs 675.90<\/td>\n<td>+50.1%<\/td>\n<\/tr>\n<tr>\n<td>1 year<\/td>\n<td>Rs 562.95<\/td>\n<td>Rs 675.90<\/td>\n<td>+20.1%<\/td>\n<\/tr>\n<tr>\n<td>3 years<\/td>\n<td>Rs 477.40<\/td>\n<td>Rs 675.90<\/td>\n<td>+41.6%<\/td>\n<\/tr>\n<tr>\n<td>5 years<\/td>\n<td>Rs 170.30<\/td>\n<td>Rs 675.90<\/td>\n<td>+296.9%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>The three year return of approximately 42% is smaller than the one month return, which tells you the industrial gears stock went nowhere between 2023 and mid 2026. No split or bonus falls in this window, so the five year figure of approximately 297% is comparable. The industrial gears stock featured among the strongest performers on a screen of NSE small-cap stocks ranked by 1-year return, dated 18 September 2026.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Why_Did_This_Industrial_Gears_Stock_Rise_20_in_One_Year\"><\/span><strong>Why Did This Industrial Gears Stock Rise 20% in One Year?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Three dated events explain nearly all of it, and none is an earnings beat. A parent company block purchase on 21 August 2026, a record order booking quarter in the FY26 results, and a management rebuild on 3 September 2026 took the industrial gears stock from Rs 386.90 to a 52 week high of Rs 743 in fifteen trading sessions.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Driver_one_the_parent_bought_269_in_one_block_deal\"><\/span><strong>Driver one: the parent bought 2.69% in one block deal<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>On 21 August 2026 Tube Investments of India bought 20,64,713 shares of Re 1 face value for Rs 77.49 crore, roughly Rs 375 per share. Parent holding went from 70.46% to 73.16%.<\/p>\n<p>Shanthi Gears share price opened 14% higher at Rs 395 and closed at Rs 464.25 on about 19.7 lakh shares, against a normal day of under twenty thousand. On 24 August 2026 nearly 1.19 crore shares traded and the industrial gears stock closed at Rs 549. With only a quarter of the equity in public hands, a promoter buying more is read as a value signal.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Driver_two_record_order_booking_lifts_the_industrial_gears_stock\"><\/span><strong>Driver two: record order booking lifts the industrial gears stock<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The FY26 audited results showed order booking of Rs 178 crore in the March 2026 quarter, up approximately 89% and the highest the company has reported. The unexecuted order book was Rs 349 crore on 31 March 2026 and Rs 378 crore by 30 June 2026, against Rs 249 crore a year earlier.<\/p>\n<p>That matters because the FY26 revenue decline came from weak first half inflow and deferred delivery schedules, not lost business. A rising book gives the industrial gears stock a visible route back to growth.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Driver_three_a_leadership_rebuild_and_a_re-rating\"><\/span><strong>Driver three: a leadership rebuild and a re-rating<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>On 3 September 2026 the company named Sai Krishna Alluri as Chief Financial Officer, ending an interim arrangement, and appointed Helena Susan as Head of Human Resources. The industrial gears stock hit the 10% upper circuit that day on roughly 59.6 lakh shares and reached Rs 743 on 10 September 2026.<\/p>\n<p>Filling a permanent CFO seat is not a profit driver. Coming ten days after the parent raised its stake, it fed a view that Tube Investments means to run this business harder. That expectation, not earnings, has re-rated the industrial gears stock.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Shanthi_Gears_Share_Price_and_the_Financials_Behind_It\"><\/span><strong>Shanthi Gears Share Price and the Financials Behind It<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The earnings picture behind this industrial gears stock is the weak part and should be stated plainly. Five straight quarters of falling operating margin sit behind the current Shanthi Gears share price, and June 2026 was the worst of them.<\/p>\n<table>\n<thead>\n<tr>\n<th>Quarter<\/th>\n<th>Revenue (Rs cr)<\/th>\n<th>Operating margin<\/th>\n<th>Net profit (Rs cr)<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Q1 FY26<\/td>\n<td>134.89<\/td>\n<td>22.6%<\/td>\n<td>22.69<\/td>\n<\/tr>\n<tr>\n<td>Q2 FY26<\/td>\n<td>131.91<\/td>\n<td>Not disclosed<\/td>\n<td>21.51<\/td>\n<\/tr>\n<tr>\n<td>Q3 FY26<\/td>\n<td>116.82<\/td>\n<td>19.7%<\/td>\n<td>16.19<\/td>\n<\/tr>\n<tr>\n<td>Q4 FY26<\/td>\n<td>135.10<\/td>\n<td>17.7%<\/td>\n<td>16.27<\/td>\n<\/tr>\n<tr>\n<td>Q1 FY27<\/td>\n<td>115.49<\/td>\n<td>13.1%<\/td>\n<td>9.85<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>The June 2026 quarter, reported on 29 July 2026, showed revenue of Rs 115.49 crore, down approximately 14.4%, and net profit of Rs 9.85 crore, down approximately 56.6%. Earnings per share was Rs 1.28, the lowest quarterly figure in recent years for this industrial gears stock.<\/p>\n<p>For the full year, FY26 revenue fell approximately 14% to Rs 518.72 crore from Rs 604.62 crore and net profit was Rs 76.66 crore against Rs 96.03 crore. Earnings per share fell to Rs 9.99 from Rs 12.52, and the board approved a Rs 5 dividend.<\/p>\n<p style=\"margin-top:24px;\"><strong><a href='https:\/\/univest.in\/screeners'>Check the Univest Screener for Live Fundamentals of High-Return Stocks<\/a><\/strong><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Order_Book_and_Capex_Behind_the_Industrial_Gears_Stock\"><\/span><strong>Order Book and Capex Behind the Industrial Gears Stock<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Capital spending at this industrial gears stock has run ahead of revenue, which is the more interesting operational fact. FY26 capex was Rs 52.98 crore, more than double the Rs 24.35 crore of FY25, funded entirely from operating cash flow of Rs 70.10 crore.<\/p>\n<p>Management has indicated no major debt funded capex in the medium term, with annual internal cash generation above Rs 60 crore covering it. June 2026 free cash flow was still positive at Rs 16.20 crore, and return on average invested capital was around 17%.<\/p>\n<p>The mix softens the cycle. Roughly 55% of revenue comes from replacement and aftermarket demand rather than new equipment, and the top ten customers are under a third of revenues, so no single client loss wrecks the industrial gears stock earnings base.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Industrial_Gears_Stock_Valuation_Debt_and_the_Small_Float\"><\/span><strong>Industrial Gears Stock Valuation, Debt and the Small Float<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Shanthi Gears has carried no debt since FY2013. Total debt to operating profit was zero in FY2024 and FY2025, external liabilities were around 0.2 times tangible net worth, and working capital lines have gone unused for ten years. A rating agency reaffirmed a long term AA with stable outlook in September 2025.<\/p>\n<p>Liquidity was Rs 69.5 crore of cash and investments plus Rs 104.1 crore of tax free bonds on 31 March 2025. That cushion is why a fourteen percent revenue decline created no financial stress for the industrial gears stock.<\/p>\n<p>The float is the other half of the industrial gears stock story. Promoter holding was steady at 70.47% for at least twelve consecutive quarters to June 2026 before rising to 73.16%. Under 27% is left for everyone else, much of it retail.<\/p>\n<table>\n<thead>\n<tr>\n<th>Metric<\/th>\n<th>Figure<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Promoter holding (post 21 Aug 2026)<\/td>\n<td>73.16%<\/td>\n<\/tr>\n<tr>\n<td>FII holding (Jun 2026)<\/td>\n<td>3.13%<\/td>\n<\/tr>\n<tr>\n<td>DII holding (Jun 2026)<\/td>\n<td>0.23%<\/td>\n<\/tr>\n<tr>\n<td>Market capitalisation<\/td>\n<td>Rs 5,207 crore<\/td>\n<\/tr>\n<tr>\n<td>Trailing PE<\/td>\n<td>81.6 times<\/td>\n<\/tr>\n<tr>\n<td>Industry PE<\/td>\n<td>52.7 times<\/td>\n<\/tr>\n<tr>\n<td>Price to book<\/td>\n<td>11.8 times<\/td>\n<\/tr>\n<tr>\n<td>Return on equity<\/td>\n<td>17.4%<\/td>\n<\/tr>\n<tr>\n<td>Debt to equity<\/td>\n<td>0.00<\/td>\n<\/tr>\n<tr>\n<td>Dividend yield<\/td>\n<td>0.74%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>Institutional ownership in this industrial gears stock is tiny. Foreign holding has drifted from 3.61% in September 2023 to 3.13%, and domestic institutions hold 0.23%. A name this closely held moves far on modest order flow, in both directions.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Risks_in_This_Industrial_Gears_Stock\"><\/span><strong>Risks in This Industrial Gears Stock<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Valuation is the first and largest risk. At around Rs 675.90 the industrial gears stock trades at approximately 81.6 times trailing earnings against an industry multiple near 52.7 times, and 11.8 times book value. That is paid on earnings that have fallen for five straight quarters.<\/p>\n<p>Second, the rally is event driven, not earnings driven. The parent paid roughly Rs 375 per share in August 2026 and the market has since taken this industrial gears stock to nearly double that. If no further corporate action follows, nothing in the FY27 numbers so far supports the level.<\/p>\n<p>Third, liquidity and volatility. Public float is under 27%, volumes outside news days run in the tens of thousands of shares, and the industrial gears stock has hit both upper and lower circuits repeatedly. A 52 week range of Rs 384 to Rs 743 is a spread above 90% inside one year.<\/p>\n<p>Fourth, demand visibility for the industrial gears stock. Revenue fell approximately 14% in FY26 and again in June 2026, partly because customers deferred schedules. Deferred orders can return, but they can also be cancelled if industrial capital spending stays soft.<\/p>\n<p>Fifth, margin structure. Operating margin went from 21.4% in FY25 to 13.1% in June 2026. Gear making is exposed to steel and alloy costs and to pricing pressure on new orders, and revenue of roughly Rs 520 crore gives limited scale to absorb it. On the cleaner side, there is no promoter pledge, no insolvency history, no auditor qualification and no renaming attached to this industrial gears stock.<\/p>\n<p style=\"margin-top:24px;\"><strong>Download the <a href=\"https:\/\/apps.apple.com\/in\/app\/univest-stocks-investment\/id6443753518\" rel=\"nofollow noopener\" target=\"_blank\">Univest iOS App<\/a> or <a href=\"https:\/\/play.google.com\/store\/apps\/details?id=com.univest.capp&amp;hl=en_IN\" rel=\"nofollow noopener\" target=\"_blank\">Univest Android App<\/a> to track the Shanthi Gears share price live<\/strong><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Shanthi_Gears_Share_Analyst_View\"><\/span><strong>Shanthi Gears Share: Analyst View<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Sell side coverage is thin and no verified brokerage target is publicly available, so Shanthi Gears share price has to be judged against levels and earnings rather than a consensus number. At least one independent research platform carried a Sell rating on this industrial gears stock in early September 2026, on valuation grounds, even as the price kept climbing.<\/p>\n<p>The measurable anchors for this industrial gears stock are these. Trailing earnings per share is Rs 8.32, book value is Rs 57.36, and the 52 week range is Rs 384 to Rs 743. The parent transacted at approximately Rs 375, the only recent price at which a large informed buyer actually bought.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Shanthi_Gears_Share_Price_Target\"><\/span><strong>Shanthi Gears Share Price Target<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>With no verified brokerage number, any Shanthi Gears share price target must be built from visible figures. On FY26 earnings per share of Rs 9.99 the industrial gears stock trades at about 68 times, and on trailing earnings per share of Rs 8.32 at about 81 times. A return to the industry multiple of roughly 52.7 times on FY26 earnings would put the share nearer Rs 525.<\/p>\n<p>Working the other way, a Shanthi Gears share price target above the Rs 743 high needs either an earnings recovery that converts the Rs 378 crore order book at FY25 margins, or further corporate action from the parent. Neither is announced, so any Shanthi Gears share price target rests on which of the two a buyer is betting on.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Other_Stocks_to_Track_From_the_Same_Return_Screen\"><\/span><strong>Other Stocks to Track From the Same Return Screen<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Beyond this industrial gears stock, a screen of NSE small-cap stocks ranked by 1-year return also includes related names such as <a href=\"https:\/\/univest.in\/stocks\/dcbbank\/dcb-bank-ltd-share-price-today\">DCB Bank<\/a> with a 1-year return of 72.52%, <a href=\"https:\/\/univest.in\/stocks\/kennamet\/kennametal-india-ltd-share-price-today\">Kennametal India<\/a> at 72.20% and <a href=\"https:\/\/univest.in\/stocks\/dynamatech\/dynamatic-technologies-ltd-share-price-today\">Dynamatic Technologies<\/a> at 68.65%.<\/p>\n<p>Among the names covered from that screen, <a href=\"https:\/\/univest.in\/stocks\/mtartech\/mtar-technologies-ltd-share-price-today\">MTAR Technologies<\/a> returned 396.53% over one year. Readers can compare this industrial gears stock with the <a href=\"https:\/\/univest.in\/indices\/nifty-50\/nifty-50-share-price-today\">Nifty 50<\/a> benchmark and track each of these names on Univest before making any decision.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><strong>Conclusion<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>This industrial gears stock has delivered approximately 20% in one year, but the headline hides the shape of the move: eleven months of decline to Rs 384, then a near vertical re-rating after the parent raised its stake on 21 August 2026. Shanthi Gears share price now sits at approximately 81.6 times trailing earnings with profit down approximately 57% last quarter.<\/p>\n<p>The underlying business has real quality. It is debt free, generates cash, carries a Rs 378 crore order book, has doubled capex and earns 17.4% on equity. Harder to justify is the price being paid for it. Anyone looking at this industrial gears stock should separate the business, which is sound, from the multiple, which now assumes a great deal.<\/p>\n<div style=\"background:#CC0000;border-radius:8px;padding:16px 20px;margin:24px 0;\">\n<p style=\"color:#FFFFFF;font-size:13px;line-height:1.7;margin:0;\"><strong style=\"color:#FFFFFF;\">Disclaimer:<\/strong> Data and figures in this article are sourced from publicly available information and may or may not be accurate. Please verify all data independently before making any investment decision. Past returns do not guarantee future returns. 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).<\/p>\n<\/div>\n<h2><span class=\"ez-toc-section\" id=\"Frequently_Asked_Questions\"><\/span><strong>Frequently Asked Questions<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"How_much_has_this_industrial_gears_stock_risen_in_one_year\"><\/span><strong>How much has this industrial gears stock risen in one year?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> The share rose approximately 20.1% between 18 September 2025 and 18 September 2026, from a close of Rs 562.95 to around Rs 675.90. Almost all of that came after 21 August 2026, the industrial gears stock having fallen to Rs 384 on 18 August 2026.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Which_company_is_this_industrial_gears_stock\"><\/span><strong>Which company is this industrial gears stock?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> It is Shanthi Gears Ltd, a Coimbatore based maker of gears, gearboxes, geared motors and gear assemblies. It belongs to the Murugappa group, and Tube Investments of India owns 73.16%.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Why_did_Shanthi_Gears_share_price_jump_in_August_2026\"><\/span><strong>Why did Shanthi Gears share price jump in August 2026?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> Tube Investments of India bought 20,64,713 shares for Rs 77.49 crore in a block deal on 21 August 2026, lifting its holding from 70.46% to 73.16%. The stock rose about 17% that day, because with a public float under 30% a promoter purchase of that size moves the price sharply.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Is_there_a_verified_Shanthi_Gears_share_price_target_from_brokerages\"><\/span><strong>Is there a verified Shanthi Gears share price target from brokerages?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> No verified brokerage target is publicly available at the time of writing, and sell side coverage is thin. The useful reference points are the 52 week range of Rs 384 to Rs 743 and the approximately Rs 375 per share the parent paid in August 2026.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"How_are_Shanthi_Gears_financials_performing_right_now\"><\/span><strong>How are Shanthi Gears financials performing right now?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> They are weakening. June 2026 quarter revenue fell approximately 14.4% to Rs 115.49 crore and net profit approximately 56.6% to Rs 9.85 crore. FY26 revenue was Rs 518.72 crore against Rs 604.62 crore, with net profit of Rs 76.66 crore.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Is_Shanthi_Gears_debt_free\"><\/span><strong>Is Shanthi Gears debt free?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> Yes, it has been debt free since FY2013. Total debt to operating profit was zero in FY2024 and FY2025, and it held Rs 69.5 crore of cash and investments plus Rs 104.1 crore of tax free bonds on 31 March 2025.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_is_the_order_book_and_capex_position\"><\/span><strong>What is the order book and capex position?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> The unexecuted order book was Rs 378 crore on 30 June 2026, up from Rs 349 crore in March 2026 and Rs 249 crore in June 2025. FY26 capex was Rs 52.98 crore, more than double the Rs 24.35 crore of FY25, funded from internal cash.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_are_the_main_risks_in_this_industrial_gears_stock\"><\/span><strong>What are the main risks in this industrial gears stock?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> Valuation is the biggest, at approximately 81.6 times trailing earnings versus an industry multiple near 52.7 times while profits fall. The others are a very small public float, thin daily liquidity, five quarters of margin contraction, and revenue visibility that depends on customers not deferring schedules again.<\/p>\n<div class=\"faq-schema\"><script type=\"application\/ld+json\">{\"@context\":\"https:\/\/schema.org\",\"@type\":\"FAQPage\",\"mainEntity\":[{\"@type\":\"Question\",\"name\":\"How much has this industrial gears stock risen in one year?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"The share rose approximately 20.1% between 18 September 2025 and 18 September 2026, from a close of Rs 562.95 to around Rs 675.90. Almost all of that came after 21 August 2026, the industrial gears stock having fallen to Rs 384 on 18 August 2026.\"}},{\"@type\":\"Question\",\"name\":\"Which company is this industrial gears stock?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"It is Shanthi Gears Ltd, a Coimbatore based maker of gears, gearboxes, geared motors and gear assemblies. It belongs to the Murugappa group, and Tube Investments of India owns 73.16%.\"}},{\"@type\":\"Question\",\"name\":\"Why did Shanthi Gears share price jump in August 2026?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Tube Investments of India bought 20,64,713 shares for Rs 77.49 crore in a block deal on 21 August 2026, lifting its holding from 70.46% to 73.16%. The stock rose about 17% that day, because with a public float under 30% a promoter purchase of that size moves the price sharply.\"}},{\"@type\":\"Question\",\"name\":\"Is there a verified Shanthi Gears share price target from brokerages?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"No verified brokerage target is publicly available at the time of writing, and sell side coverage is thin. The useful reference points are the 52 week range of Rs 384 to Rs 743 and the approximately Rs 375 per share the parent paid in August 2026.\"}},{\"@type\":\"Question\",\"name\":\"How are Shanthi Gears financials performing right now?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"They are weakening. June 2026 quarter revenue fell approximately 14.4% to Rs 115.49 crore and net profit approximately 56.6% to Rs 9.85 crore. FY26 revenue was Rs 518.72 crore against Rs 604.62 crore, with net profit of Rs 76.66 crore.\"}},{\"@type\":\"Question\",\"name\":\"Is Shanthi Gears debt free?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Yes, it has been debt free since FY2013. Total debt to operating profit was zero in FY2024 and FY2025, and it held Rs 69.5 crore of cash and investments plus Rs 104.1 crore of tax free bonds on 31 March 2025.\"}},{\"@type\":\"Question\",\"name\":\"What is the order book and capex position?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"The unexecuted order book was Rs 378 crore on 30 June 2026, up from Rs 349 crore in March 2026 and Rs 249 crore in June 2025. FY26 capex was Rs 52.98 crore, more than double the Rs 24.35 crore of FY25, funded from internal cash.\"}},{\"@type\":\"Question\",\"name\":\"What are the main risks in this industrial gears stock?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Valuation is the biggest, at approximately 81.6 times trailing earnings versus an industry multiple near 52.7 times while profits fall. The others are a very small public float, thin daily liquidity, five quarters of margin contraction, and revenue visibility that depends on customers not deferring schedules again.\"}}]}<\/script><\/div>\n","protected":false},"excerpt":{"rendered":"<p>A one year gain of approximately 20% that was almost entirely delivered in four weeks, after the parent company raised its stake in a single block deal.<\/p>\n","protected":false},"author":29,"featured_media":256488,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[845],"tags":[5445,6150,6149,6151,5450,6146,6147,6148],"class_list":["post-256490","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-best-stocks","tag-high-return-stocks","tag-industrial-gearbox","tag-industrial-gears-stock","tag-murugappa-group","tag-order-book","tag-shanthi-gears","tag-shanthi-gears-share-price","tag-shanthi-gears-share-price-target"],"metadata":{"rank_math_internal_links_processed":["1"],"_thumbnail_id":["256488"],"rank_math_title":["Industrial Gears Stock Rises 20% in 1 Year: The Real Story"],"rank_math_description":["This industrial gears stock rose approximately 20% in one year, but nearly all of the gain came after 21 August 2026. Here is what drove it and what the risks are."],"rank_math_focus_keyword":["industrial gears stock"],"rank_math_robots":["a:2:{i:0;s:7:\"noindex\";i:1;s:8:\"nofollow\";}"]},"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2026\/09\/industrial-gears-stock-rises-20-percent-in-1-year.png","_links":{"self":[{"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/posts\/256490","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/users\/29"}],"replies":[{"embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/comments?post=256490"}],"version-history":[{"count":1,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/posts\/256490\/revisions"}],"predecessor-version":[{"id":256491,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/posts\/256490\/revisions\/256491"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/media\/256488"}],"wp:attachment":[{"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/media?parent=256490"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/categories?post=256490"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/tags?post=256490"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}