Buy Hero MotoCorp, target price Rs 3378: Geojit

Geojit has buy call on Hero MotoCorp with a target price of Rs 3378. The current market price of Hero MotoCorp Ltd. is Rs 2818.8.

Hero MotoCorp Ltd., incorporated in the year 1984, is a Large Cap company (having a market cap of Rs 56704.62 Crore) operating in Auto sector.

Financials
For the quarter ended 31-03-2021, the company reported a Consolidated Total Income of Rs 8758.01 Crore, down -12.70 % from last quarter Total Income of Rs 10032.61 Crore and up 34.93 % from last year same quarter Total Income of Rs 6490.54 Crore. Company reported net profit after tax of Rs 847.53 Crore in latest quarter.


Investment Rationale
Growing demand and company’s strategic planning along with the proven executional ability improves the business prospects. Despite intermediate uncertainties amidst second wave of COVID, the brokerage expects the business to retain its market position and outperform the industry

Promoter/FII Holdings
Promoters held 34.8 per cent stake in the company as of March 31, 2021, while FIIs held 37.2 per cent, DIIs 18.7 per cent and public and others 9.4 per cent.