Hero MotoCorp Ltd. share price target

Demand to remain flat in near term; expect gradual improvement from Q4FY2019: Hero Motocorp Ltd (HMCL) volumes have been under pressure led by moderation in the 2W demand on the back of higher mandatory insurance costs for 2W, NBFC liquidity squeeze, rise in fuel prices. The festive demand moderated (festive demand growth at retail level was...

Demand to remain flat in near term; expect gradual improvement from Q4FY2019: Hero Motocorp Ltd (HMCL) volumes have been under pressure led by moderation in the 2W demand on the back of higher mandatory insurance costs for 2W, NBFC liquidity squeeze, rise in fuel prices. The festive demand moderated (festive demand growth at retail level was...

In keeping with its strategic focus on higher-engine capacity products, Hero MotoCorp today launched its first 125 cc scooter, Destini 125. The powerful Destini 125 aims to fortify Hero's presence in the fast-growing 125cc scooter segment. The new Destini 125 will be available from tomorrow across Hero dealerships in the Delhi-NCR region, at a price of Rs. 54,650 (Ex-Showroom) for the Lx variant and Rs. 57,500 (Ex-Showroom) for the Vx variant. The retail sales of the Destini 125 in other markets across the country will commence over the next 3-4 weeks. Destini 125 is also the first and only scooter in India to feature the highly efficient idle start-stop-system, based on Hero's revolutionary i3S...

The OPM during the second quarter ended Sept 2018 fell 220 bps to 15.2% due to increased cost on all fronts. Raw material cost (as a % to sales, net of stock) rose 170 bps to 69.6%. Other expenses (% of sales net of stock) rose 70 bps to 10.6%. Employee expenses rose 10 bps at...

Hero MotoCorp Ltd Q2FY19 results Comment Revenue rose by 3.19% to Rs. 9090.94 Cr in Q2FY19 when compared to the previous quarter. Also, it increased by 8.59% when compared with Q2FY18.

Hero MotoCorp (HMCL) Q2FY19 results were in-line with our and consensus estimates on operating level. EBITDA margin for the quarter stood at 15.2% vs our and consensus estimates of 15.3% and 15.5% respectively. Operating performance in-line: Revenue grew +9% YoY/+3% QoQ to Rs90.9bn. Revenue performance were driven by volume growth of +6% YoY/ +1% QoQ to 2.1mn. Net realization grew +3% YoY/+2% QoQ to ~Rs42.6k. Spare part business grew 24% QoQ to Rs7.1bn. RM cost for the quarter increased +10% YoY/+2% QoQ to Rs62.9bn. Company has taken a price hike of Rs500 to offset the commodity cost. Company has taken another...

ICICI Securities Ltd | Retail Equity Research Hero MotoCorp (HMCL) reported a steady Q2FY19 performance and was a beat on the topline and bottomline front led by higher spare parts income (up 24% YoY) and higher other income, respectively Total 2W sales volume for the quarter came in at 21.3 lakh units, up 5.5% YoY. Scooter sales volume was at 2.1 lakh units, down 13.8% YoY. Motorcycle sales volume was at 19.3 lakh units, up 8.4% YoY Consequent net sales were at | 9,091 crore, up 8.7% YoY. Blended...

Demand was muted due to increasing interest rates. However, management expects a turnaround during the festive season and expects a growth of around 8-10%....

Infosys (INFO) reported 4.2% QoQ CC revenue growth in Q2FY19, well ahead of our and street estimates, supported by a broad-based uptick across verticals and geographies. The strong revenue beat made up for a miss on margins, while US$ 2bn+ in large deal wins during the quarter marks a record high. Revenue and EBIT margin guidance for FY19 stays intact. We upgrade the stock from ADD to BUY on higher growth visibility backed by impressive deal wins, and roll over to a revised Sep'19 target of Rs 820 (from Rs 750), set at 19x fwd P/E vs. 18x earlier....

Volumes witnessed a soft growth in Q2 on the back of high base, higher insurance cost, competition, rival launches and somewhat slowdown in retail demand. Furthermore, safety and emission norms implementation would result in demand fall again as product prices move up. Upcoming new launches of scooters and a premium bike may provide some support. Modelwise, in the 100-125 cc motorcycle segment through Deluxe, Splendor and Glamour, Hero is strengthening its position and has maintained it's market share in Q2. On margin front, higher RM prices, higher launch costs, withdrawal of Haridwar tax benefits, competition from rivals especially in the mass segment may impact margins along with setting up of new plants in...