Momentum Pick: 47% returns in 1 year. Will Sundram Fasteners stock ride further in current form?

Sundram Fasteners stock has a year-on-year return of almost 47%, outperforming the Nifty50 index. Analysts suggest a possible upside for the stock of 10-22%, with a positive consensus view from most brokerages. Besides manufacturing components for various sectors, the company is trading at P/E and EV/EBITDA multiples of 26x and 16.9x, respectively based on FY25E. Technical analysts believe breakout patterns and strong support levels favor buying on declines while fundamental analysts project significant improvement in operating numbers aided by large EV orders in FY25E. Pricing pressures from automotive OEM customers and US/Europe recession risks form key risks for the company.