Sona BLW Precision Forgings Ltd: Sona’s EV play gets a Denso boost

Research evidence excerpt

Sona BLW Precision Forgings Ltd: Sona’s EV play gets a Denso boost

Global Research

22 July 2026ab

First Read

EquitiesSona BLW Precision Forgings Ltd

Sona's EV play gets a Denso boost India

Automobile Manufacturers

12-month rating Buy

Denso tie up opens new growth avenues for Sona

We view the JV as a strategic positive for Sona. The partnership with Denso, the world's 12m price target Rs830.00

second-largest automotive component supplier, should enhance the competitiveness of

Sona's existing e2W/e3W traction motor portfolio through access to Denso's

Price (22 Jul 2026) Rs726.15

technology, particularly in controllers and EV powertrain systems. A stronger product

offering could support customer diversification and improve Sona's ability to secure new RIC: SONB.BO BBG: SONACOMS IB

programmes, including with Japanese OEMs where Denso has established relationships. Trading data and key metrics

The JV2 provides Sona with an entry into the higher-voltage traction motor segment,

52-wk range Rs733.20-405.25

expanding its addressable market and creating an additional growth avenue ((Figure 4)AditionaloptionalityfromePVs(curentlynotapartofourrevenueestimate).

Market cap. Rs451b/US$4.67b

Denso's customer relationships could further accelerate market access. Based on our

Shares o/s 621m (ORD)

understanding, manufacturing and sourcing are expected to be largely managed by

Sona, combining Japanese technology with Indian cost competitiveness. This should Free float 72%

support the development of cost-competitive EV motor solutions for domestic and Avg. daily volume ('000) 2,380

export markets. The identical royalty structure for Sona and Denso across both JVs Avg. daily value (m) Rs1,463.4