Hyundai Motor India shares rise up to 2% as brokerages remain bullish post Q2 results

The carmaker's Q2 consolidated revenue rose 1 percent YoY to Rs 17,461 crore. Hyundai continued to face pressure from slowing domestic demand in India, mirroring a broader industry trend that has seen carmakers post single-digit profit growth over the past five quarters. However, a GST cut, which was effective September-end, is expected to revive demand across board.

Motilal Oswal on Hyundai Motor India:

Motilal Oswal said that the firm's profit beat its estimate, aided by better-than-expected margins. "HMIL is well positioned to benefit from the premiumization trend in India, given its mix in favor of SUVs," it said. "We also believe that higher-than-expected operating costs for the new Pune plant will impact earnings for the near to medium term," it added.

The domestic brokerage reiterated its 'Buy' call on the stock, with a target price of Rs 2,801 per share. This implies an upside potential of more than 16 percent from the stock's previous closing price.

JM Financial on Hyundai Motor India:

JM Financial said that the company's EBITDA margin stood at 13.9 percent, beating its estimate by 80 bps due to richer product mix and cost-control measures. "The domestic PV industry outlook remains strong, supported by GST rationalisation, the 8th Pay Commission, repo rate cuts, and improved liquidity. HMIL expects their domestic volumes to grow in line with the industry," it added.

"While margin pressure may arise from higher ramp-up costs at Pune (labour and depreciation costs to be ~25% higher than the Chennai plant) and marginal commodity-linked inflation, management aims to offset this through a favourable mix, strong exports, and disciplined cost control," it added.

The domestic brokerage kept an 'Add' rating on the stock, with a target price of Rs 2,560 per share. This implies an upside potential of more than 6 percent from the stock's previous closing price.

HDFC Securities on Hyundai Motor India:

HDFC Securities maintained a 'Reduce' rating on the stock, with a target price of Rs 2,247 per share. This implies a downside potential of nearly 7 percent from the stock's previous closing price. "Management has highlighted higher near-term costs related to labor and manufacturing overheads until the new plant ramps up production. We believe this could partially reverse the recent EBITDA margin improvement over the next 2–3 quarters. While we remain positive on the PV industry over the medium term, led by GST rate rationalization, we are concerned about the company’s lack of aggression in the Indian market in terms of volumes and market share," it added.

International brokerages on Hyundai Motor India:

Jefferies said that the company beat estimates due to better margins. It added that export growth was strong, but noted that it is concerned about the company losing domestic passenger vehicle market share.

UBS said that new launches and robust SUV pipeline will improve product mix and margin expansion from FY27 onwards. Nomura meanwhile said that the company's market share will likely improve in H2 on new launches. It added that SUVs are expected to keep driving growth.

Hyundai Motor India share price history:

Hyundai Motor India shares rose more than 6 percent in the past five days, but fell nearly 6 percent in the past one month. The stock has risen over 42 percent in the past six months, and is up over 35 percent in 2025 so far.

Also read: Our LIVE blog on Q2 earnings updates

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