Credit Suisse upgrades Bajaj Auto to Outperform, sees 18% upside on increased EPS

Transfer insurance on time | Transferring the vehicle’s Third-Party Liability Insurance is mandatory and you, as a seller, can get into legal trouble if the sold bike is involved in an accident. The No Claim Bonus, a discount offered by your insurer while renewing the policy, should be retained as you are eligible for it if there were no claims raised by you during the previous policy period.

Credit Suisse has upgraded the rating on Bajaj Auto to Outperform with a target price at Rs 3,360 per share, implying a 18 percent potential upside. The stock price rose a percent intraday on Wednesday.

The research house also raised its earnings estimate by 4-6 percent for FY19-20.

The stock looks relatively better amongst 2-wheelers, the global brokerage firm feels.

Meanwhile, the company recorded strong sales growth of 30 percent in May 2018.

It sold 4.07 lakh units in May 2018, against 3.14 lakh units sold in corresponding month last year.

Domestic sales during the month grew by 29 percent to 2.24 lakh units and exports grew by 31 percent to 1.82 lakh units compared to same month previous year.

At 12:00 hours IST, the stock price was quoting at Rs 2,862.00, up Rs 12.60, or 0.44 percent on the BSE.