Force Motors Stock Analysis

Force Motors is an Indian company that manufactures various types of vehicles, including vans, trucks, and SUVs. Founded in 1958 and based in Pune, it is known for its popular models, such as the Force Traveller and the Force Gurkha. The company designs, develops, and manufactures most of its vehicle parts, making it a fully integrated automobile manufacturer. Force Motors provides vehicles for carrying people and goods, and its products are used in cities and villages across India. The company also exports its vehicles to other countries in Asia, Africa, and Latin America. Over the years, Force Motors has worked with well-known global brands and has built a reputation for making reliable and efficient vehicles that suit different needs.

Company Insights
The company has a market capitalization of 22,294 crores
The share price of the company is 16,920
The book value of the company is 2,302
The company's debt-to-equity ratio is 0.01
The company's annual dividend yield is 0.13%
The company's stock P/E is 40.8
The earnings per share are 608
The company's ROCE is 29.8%

Financial Report
The company's sales in the last 5 years
Sales in 2021 is 1,988 crores
Sales in 2022 is 3,240 crores
Sales in 2023 is 5,029 crores
Sales in 2024 is 6,992 crores
Sales in 2025 is 8,072 crores

The company's profit in the last 5 years
Profit in 2021 is -124 crores
Profit in 2022 is -91 crores
Profit in 2023 is 134 crores
Profit in 2024 is 388 crores
Profit in 2025 is 801 crores

Sales & Profit Growth
The company's sales growth in the last 5 years
Sales growth in the last 5 years is 21.2%
Sales growth in the last 3 years is 35.6%
Sales growth in the last 1 year is 15.4%

The company's profit growth in the last 5 years
Profit growth in the last 5 years is 46.6%
Profit growth in the last 3 years is 99.7%
Profit growth in the last 1 year is 40.6%

Holdings
Promoters are 61.63%
FIIs are 8.36%
DIIs are 1.43%
Public are 28.58%

Company News

• Force Motors Ltd., a leading Indian commercial vehicle manufacturer, has demonstrated robust business performance and market confidence in recent months. The company reported a 19.14% year-on-year increase in total vehicle sales for May 2025, driven by a significant 24.46% rise in domestic demand, despite a sharp decline in exports by over 52%. This growth was fueled by strong sales across its small commercial vehicles, light commercial vehicles, utility vehicles, and SUVs.

• In addition to solid domestic sales, Force Motors secured a major contract to supply 2,978 Gurkha light vehicles to the Indian Defence Forces, reinforcing its position as a trusted defense supplier. This order, tailored to meet the operational needs of the Indian Army and Air Force, has boosted investor confidence, contributing to the company's stock price more than doubled in the first half of 2025 and reaching a new high of over ₹15,600 in early July.

• The company also reported an exceptional income of ₹394.57 crore in Q4 FY25 from government incentives under the Madhya Pradesh Industrial Investment Promotion Assistance Scheme, further strengthening its financial position. Earlier in the year, Force Motors received an order for 2,429 BSVI diesel ambulances from the Uttar Pradesh Medical Health Department, highlighting its diverse product portfolio and growing government contracts.

• Force Motors continues to outperform the broader market, with its shares rising steadily despite overall market volatility. The company’s focus on reliability, cost-efficiency, and strategic defense and commercial contracts positions it well for sustained growth in India’s automotive and defense sectors.

Technical Analysis

Company Chart

Moving Averages (MA)

• The stock price is above the 50-MA, which indicates that the stock is in a bullish trend.

• The stock price is above the 200-MA, which also indicates that the stock is in a bullish trend.

Relative Strength Index (RSI)

Currently, the RSI of the company is 72, which indicates that the stock is in an overbought zone.

My Analysis

Force Motors is performing very well financially, showing a big increase in profits and sales. In the last quarter of 2025, the company’s net profit jumped by over 200% compared to the previous year, reaching ₹434.71 crore. Its sales also grew by more than 17%, and most of its income comes from selling commercial vehicles like vans and trucks. The company benefited from a large government incentive, but even without this one-time gain, its profits and sales are still improving due to higher demand, especially for vans used as school buses and ambulances. Force Motors has also managed its costs well, with lower borrowing expenses and better cash flow. The company’s stock price has gone up sharply in 2025, reflecting positive investor sentiment. Overall, Force Motors is growing steadily and is seen as a strong player in the commercial vehicle market.