Shares of Eicher Motors climbed over 5% to Rs 3,340 in Wednesday’s intraday commerce on BSE after the corporate posted 62% progress in consolidated internet revenue at Rs 741 crore for the quarter ended December 2022. The identical was Rs 456 crore within the year-ago interval.

The corporate’s income from operations surged 29% to Rs 3,721 crore for the quarter underneath overview in opposition to Rs 2,880 crore within the corresponding quarter of final yr. In the meantime, margins improved to 23% within the third quarter as in comparison with 20% in the identical quarter of final yr.

On a sequential foundation, the revenue jumped 13% from Rs 657 crore clocked within the September quarter. The corporate’s revenues rose 6% quarter-on-quarter (QoQ) from Rs 3,519 crore within the previous quarter.

The corporate has offered about 5.40 lakh models of fashions with engine capacities as much as 350cc within the April-December interval, up 54% in contrast with the identical interval final yr. Complete gross sales throughout the identical interval jumped 48% to six.16 lakh models in opposition to 4.16 lakh models a yr in the past.

At 12.50 pm, the inventory was buying and selling 4.4% greater at Rs 3,315.6 on BSE. Additionally, the inventory has risen 22% within the final 12 months.

Must you purchase, promote or maintain Eicher Motors’ inventory? Here is what analysts say:

HDFC Securities
HDFC Securities reiterated its Add ranking on Eicher Motors with a goal worth of Rs 3,351 (Earlier: Rs 3,859).

“Given the better-than-expected quantity pick-up in Q3, we’ve raised our forecast for FY23 by 5.5%. Nonetheless, we pare down our estimates by 1/6% over FY24-25E as we realign our margin estimates to its revised technique,” it stated.

JM Monetary
JM Monetary maintained its Purchase ranking on Eicher Motors with a goal worth of Rs 4,100.

“With the development in underlying demand sentiment and product interventions, we consider the corporate is again on the expansion trajectory (FY22-25E quantity CAGR: 20%). Value management initiatives and optimistic working leverage is anticipated to help margin efficiency,” JM Monetary stated.

Motilal Oswal
Motilal Oswal maintained its Purchase ranking on Eicher Motors with a goal worth of Rs 3,625.

“Bettering provide, new product launches and the ramp-up in exports will drive the subsequent part of progress for RE. This, coupled with secure commodity costs, will help margins and drive earnings progress,” it stated.

(Disclaimer: Suggestions, recommendations, views and opinions given by the specialists are their very own. These don’t characterize the views of The Financial Occasions)