We roll forward our target price on Jun-19, and value HMCL at Rs 4,250 (20x Jun-19E EPS) vs Rs 3,740 earlier, and recommend BUY. Hero Motocorps (HMCL) 1QFY18 EBITDA at Rs 12.95bn (+5.4% YoY) was slightly above estimates, led by a price hike made in May-17, and the benefit of operating leverage. Net sales stood at Rs 79bn (+8% YoY, +15% QoQ), on the back of 1.4% YoY rise in net ASP, along with 6% improvement in volumes. PAT at Rs 9.1bn (+4% YoY, +27% QoQ) was in line with estimates. Management expects the strong demand momentum to continue, on expectations of normal monsoon and new launches in FY18.