Prayesh Jain, AVP - Research of IIFL told CNBC-TV18, "Bajaj Auto's numbers have come in line with what we were expecting not too much up or too much down. In terms of operating margins we were expecting around 150 bps quarter-on-quarter (Q-o-Q) jump while they delivered around 130 bps. So in that term, the numbers were more or less in line adjusted for the extraordinary items, the profit after tax (PAT) was around Rs 830 crore and we were expecting it to be around Rs 850-860 crore."
He further added, "On the other hand what we feel is Bajaj Auto seems to be fairly priced at current levels with our estimate of around Rs 145-150 kind of EPS for FY16. At closer to around 16 times FY16 earnings we believe this stock seems to be fairly valued and we would have an accumulate rating right now and Rs 2,450 was the last target price, which we will review it post the conference call with the management."
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
