Buy Eicher Motors, target price Rs 4065: ICICI Direct

ICICI Direct has buy call on Eicher Motors with a target price of Rs 4065. The current market price of Eicher Motors is Rs 3262.6. Time period given by analyst is year when Eicher Motors price can reach defined target.



Eicher Motors, incorporated in the year 1982, is a Large Cap company (having a market cap of Rs 89345.27 Crore) operating in Auto sector.


Eicher Motors key Products/Revenue Segments include Automobile - 2 Wheelers, Spare Parts & Components, Allied Products, Other Operating Revenue, Other Services, Scrap for the year ending 31-Mar-2022.

Financials
For the quarter ended 31-12-2022, the company has reported a Consolidated Total Income of Rs 3913.32 Crore, up 6.69 % from last quarter Total Income of Rs 3668.02 Crore and up 31.64 % from last year same quarter Total Income of Rs 2972.79 Crore. Company has reported net profit after tax of Rs 676.95 Crore in latest quarter.

The company’s top management includes Mr.Srinivasan Sandilya, Mr.Siddhartha Vikram Lal, Ms.Manvi Sinha, Mr.Inder Mohan Singh, Mr.Govindarajan Balakrishnan. Company has S R Batliboi & Co. LLP as its auditors. As on 31-12-2022, the company has a total of 27 Crore shares outstanding.

Investment Rationale
The brokerage retains BUY rating on the stock amid RE driving premiumisation play in2-W space with healthy double digit volume growth on anvil driven by newlaunches including affordable Hunter 350 & ongoing CV cyclical upswing.

Promoter/FII Holdings
Promoters held 49.21 per cent stake in the company as of 31-Dec-2022, while FIIs owned 29.85 per cent, DIIs 9.79 per cent.