2 days Ago
Brokerage firm CLSA has retained its "underperform" rating on two and three-wheeler manufacturer Bajaj Auto Ltd. and expect the stock to fall to as low as ₹7,000. NSE CLSA's price target implies a potential downside of over 40% from Bajaj Auto's closing levels on Monday.
Out of the 45 analysts that have coverage on Bajaj Auto, 13 of them have a "sell" rating on the stock, 10 of them say "hold", while 22 of them continue to maintain a "buy" rating on the stock. Bajaj Auto and Triumph launched two motorcycles - Speed T4 and MY25 Speed 400, which are being positioned as entry level motorcycles, using the Speed 400 as a basis from the Triumph brand. CLSA believes that the Speed T4 hits the right spot with a segment-leading performance, power specifications and an attractive price point of ₹2.
17 lakh. Bajaj Auto delivered nearly 60,000 Triumph motorcycles in financial year 2024. CLSA wrote in its note that while the launch looks promising, they remain cautious due to the increasing competitive intensity in the premium motorcycle segment, growth moderation in the more than 250 cc motorcycle segment and continued pressure in key export markets.
In an interaction with CNBC-TV18 on September 3, Rakesh Sharma, the Executive Director of Bajaj Auto said that Nigeria retail sales touched 20,000 units after a while, but expects further improvement in sales for the rest of the year. Shares of Bajaj Auto ended 2% higher on Tuesday at ₹11,925. The stock has already gained 78% so far in 2024, which will be one of the best calendar year performances for the company.
The stock is also trading well above its share buyback price of ₹10,000 apiece. The buyback was conducted earlier this year..
