Maruti Suzuki dips 1% after Kotak downgrades, cuts value goal – Moneycontrol.com
Final Up to date : Mar 08, 2019 03:24 PM IST | Supply: Moneycontrol.com
Kotak expects Maruti Suzuki to extend its market share within the passenger automobile trade in India by 290 bps over FY2019-23.
Maruti Suzuki | Closing Value: Rs 6,962.30 | Closing Value on Jan 31: Rs 6,641.15 | %Acquire: 4.84 (Picture: Reuters)
Maruti Suzuki India shares fell a % intraday on Friday after Kotak Institutional Equities downgraded its ranking on the inventory so as to add from purchase earlier.
The analysis home additionally slashed value goal to Rs 7,500 from Rs 7,600 apiece after minimize in earnings per share estimates.
The inventory was quoting at Rs 6,978.50, down Rs 52.15, or 0.74 % on the BSE, at 15:10 hours IST.
The brokerage home stated the home passenger automobile (PV) trade is more likely to develop in low single digit (6 % CAGR over the subsequent two years) as a result of improve in prices associated to stricter security and emission rules.
“Whereas Maruti is better-placed and can acquire market share, we minimize EPS estimates by 4-9 % for FY2019-21 primarily pushed by minimize in quantity estimates (decrease trade development assumptions) and EBITDA margin forecasts (factoring in decrease working leverage and better prices associated to security rules in entry-level fashions), it added.
The brokerage expects Maruti Suzuki to extend its market share within the passenger automobile trade in India by 290 bps over FY2019-23 led by a shift in shopper desire in direction of petrol automobiles towards diesel, particularly in compact SUV and compact automotive segments.
Disclaimer: The above report is compiled from data obtainable on public platforms. Moneycontrol advises customers to test with licensed consultants earlier than taking any funding choices.
First Revealed on Mar 8, 2019 03:24 pm