Bajaj Auto share: Shares of Bajaj Auto Limited saw a decline of about 3 percent today on January 1. At present this share is trading at a price of Rs 8740, falling by 0.70 percent. Actually, the company has recorded lower sales than expected in the month of December. This is the reason why Bajaj Auto shares are being sold today. With today’s fall, the market cap of the company has declined to Rs 2.44 lakh crore. The stock’s 52-week high is Rs 12772.15 and 52-week low is Rs 6560.05.
Bajaj Auto sales less than expected
Automaker Bajaj Auto reported its sales figures for December, which are lower than expected. The company’s total sales declined by 1 percent year-on-year to 3.23 lakh units, compared to 3.26 lakh units in the same month last year. According to a CNBC-TV18 poll, Bajaj Auto’s total sales were expected to be 3.55 lakh units.
Total sales include domestic sales, which remained weak, while exports helped the growth. Bajaj Auto recorded domestic sales of 1.62 lakh units, down 15 per cent year-on-year. On the other hand, exports stood at 1.60 lakh units, which is 18 percent more year-on-year. Sales in the two-wheeler segment declined by 4 percent to 2.72 lakh units as compared to 2.83 lakh units.
Sales in the three-wheeler segment increased by 16 percent to 50,952 units as against 43,805 units. VAHAN data indicated a decline in domestic two-wheeler registrations for India. Two-wheeler registrations for Bajaj Auto declined by 14 percent year-on-year in December. The electric two-wheeler (E2W) segment remains strong for the company, with a market share of 25%.
Brokerage firm upgraded
Brokerage firm MK Global has upgraded shares of Bajaj Auto citing better export prospects and strong performance in the electric two-wheeler (E-2W) segment. The brokerage has upgraded Bajaj Auto to ‘Add’ from its previous rating of ‘Sell’. It has set a target price of ₹9500 on the stock, which means the shares have a potential for 10 percent upside from the current level. However, the brokerage’s target price is well below Bajaj Auto’s record high of Rs 12,772.15. The company’s shares are trading at a decline of about 30 percent from their record high.
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