Anand Rathi's research report on TVS Motor
EBITDA surged by 40% y/y to Rs15.1bn, broadly in-line with our estimate. Our positive stance on the stock is backed by: (1) expected upturn in 2W volume (domestic/exports), led by GST relief and better financing availability; (2) market-share gain (domestic/exports); (3) relentless EV strategy; and (4) margin expansion led by rising economies of scale, better net-pricing and cost-cutting measures. We introduce FY28e with 15%, 19% and 23% growth in revenue, EBITDA and PAT, respectively.
Outlook
Thus, we maintain BUY on the stock with an upwardly revised TP of Rs 4,150 (from Rs3,100 earlier), valuing the stock at 38x of Sep’27e EPS (35x of FY27e EPS) and investment in TVS Credit Services at Rs135/share (2x of FY25 P/B).
For all recommendations report, click here
Disclaimer: 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.
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!
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.
