Automobiles & Auto Components share price target

SALES UPDATE

As per data released by the Society of Indian Automobile Manufacturers (SIAM), for Q3FY24E, the 2-wheeler (2W) segment saw a growth in industry wholesale volumes of 22.6% YoY/ 2.9% QoQ. 3-wheelers (3W) industry wholesale volumes were higher by 35.2% YoY but lower by 4.1% QoQ. Passenger Vehicles (PV) industry volumes grew by 8.3% YoY but declined by 5.8% QoQ.

The automobile industry’s overall retail sales rose 21.1% YoY in December 2023 to 19.9 lakh units. Two-wheeler and car retail sales also went up by 27.6% YoY to around 14.5 lakh units and 2.7% YoY to 2.9 lakh units, respectively.

All segments of the industry observed a YoY rise during this period.

Automobile wholesales of listed companies rose 7.8% YoY to 11.5 lakh units in December. Exports were up 5.4% YoY to 2,37,723 units.

Domestic two-wheeler wholesales of listed companies increased by 11% YoY to around 8.1 lakh units and passenger vehicles rose by 1.6% YoY to 1.8 lakh units.

Auto Sales Update

Passenger vehicle demand healthy across segments (UVs and compact cars) and is expected to continue

SIEM: Positive outlook continues; Maintain BUY. Automobiles: Auto channel check steady demand outlook