Hold Eicher Motors; target of Rs 7650: Prabhudas Lilladher

Prabhudas Lilladher recommended hold rating on Eicher Motors with a target price of Rs 7650 in its research report dated February 12, 2026.

Broker Research

February 12, 2026 / 14:28 IST

hold

Prabhudas Lilladher's research report on Eicher Motors

EIM’s Q3FY26 consol operating revenue grew by 22.9% YoY to Rs61.1bn (in line with street estimates). EBITDA margin expansion was driven by operating leverage, pricing discipline and improved mix. It expects the industry to grow at high single digits in FY27 and RE to outperform via new launches and brand building campaigns, especially around its 125th year celebration. It remains focused on long-term value creation, maintaining leadership in mid-weight motorcycles, growing absolute volumes and profitability.

Outlook

We estimate revenue/EBITDA/PAT CAGR of 16.8%/17.1%/15.8% over FY25-28E and retain ‘HOLD’ rating with TP of Rs7,650 (previous Rs7,350). We value the core business at a P/E of 32x basis Sep’27E standalone EPS and VECV business at 10x EV/EBITDA Sep’27E.

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