Ambit turns neutral on auto sector; favors Endurance, Samvardhana Motherson; cuts Bharat Forge, Sona BLW

Auto ancillary stocks have entered a valuation correction phase, struggling with cash flow and RoCE compared to OEMs. Despite growth drivers, investors show mixed sentiment, with domestic investors overweight on ancillaries and foreign investors favoring more stable OEMs amid global risks.

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