MSIL reported ~9% YoY/5% QoQ lower EBITDA on Kharkhoda plant costs, higher advertising, and lumpy other expenses; margins declined by 113bps QoQ to 10.5%, with underlying margins adjusted for lumpy expenses at ~11.4% (~5% miss vs Consensus). MSIL highlighted that the industry outlook remains tepid (as seen in Q3; 1-2% growth expected) but that it would outperform, driven by launch of electric SUV E-Vitara (~70k production in FY26) and another SUV this year; MSIL also targets 20% exports growth. Against the backdrop of muted demand and thinning industry launch pipeline, we like MSIL’s new launch visibility; further, valuations at near 1SD below LTA provide comfort (refer to Upgrade to BUY; higher ICE visibility, favorable risk reward).
OutlookWe maintain BUY with unchanged TP of Rs 13,500 at 25x core Mar-27E EPS + ~Rs2,750 cash/sh.
For all recommendations report, click hereDisclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Maruti Suzuki India - 28042025 - emkayDiscover 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!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
