Synopsis
Shares of TVS Motor Company fell 3.5% to the day’s low of Rs 1,932.45 on the NSE in Thursday’s early trade after brokerages retained their rating on the stock despite December quarter earnings beating estimates.ANIShares of TVS Motor Company fell 3.5% to the day’s low of Rs 1,932.45 on the NSE in Thursday’s early trade after brokerages retained their rating on the stock despite December quarter earnings beating estimates.
Brokerage firms Goldman Sachs and BofA retained a ‘Neutral’ stance, and Kotak Institutional Equities reiterated its ‘Sell’ call. Meanwhile, Nuvama maintained a buy view expecting the company’s outperformance to continue.
TVS Motor Company on Wednesday reported a 59% increase in its consolidated net profit to Rs 479 crore for the third quarter ended December 31, 2023, riding on the
back of robust sales across markets.
The company posted a consolidated net profit of Rs 301 crore in the October-December period of the last fiscal.
Read More: TVS Motor Q3 Results: Net profit rises 59% YoY to Rs 479 crore
Here’s what brokerages recommend:
Goldman Sachs: Neutral | Target: Rs 2,180Goldman Sachs has maintained a ‘Neutral’ view on TVS Motor stock while raising the price target of Rs 2,180 from an earlier target of Rs 2,050.
The Q3 earnings were in line with its estimates. The electric 2W distribution network is likely to double in Q4. The ongoing buoyancy in rural 2W demands to continue. Management is confident that the domestic 2W industry is poised for 10%+ annual growth, Goldman said.
BofA: Neutral | Target: Rs 2,160BofA has maintained a neutral rating on TVS with target price estimated at Rs 2,160. While volume growth and market share gains are positive, margins were a slight miss, the US brokerage said. In the EV business, portfolio and reach expansion was a work in progress, Goldman opined.
Kotak Equities: Sell | Target: 1,180Kotak recommended a ‘Sell’ view on TVS Motor Company holding its December quarter earnings marginally below estim
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