ICICI Securities maintains buy on Bajaj Auto, raises ₹11,950 target
ICICI Securities just maintained a buy rating on Bajaj Auto and bumped up its target price to ₹11,950.
This comes after Bajaj Auto posted stronger-than-expected Q2 results, including steady 20.9% margins, even with higher raw material costs.
The big drivers? Strong demand for their bikes and three-wheelers, both in India and abroad.
Bajaj Auto expects double-digit 2-wheeler growth
Bajaj Auto is betting on double-digit growth for two-wheelers this quarter, with robust demand momentum in export markets for both 2Ws and 3Ws.
Their three-wheeler segment is also looking up as more people go electric.
While rising commodity prices could pinch short-term profits, the company expects margins to improve in the medium term through smart pricing and better efficiency.
ICICI's new target price shows confidence in Bajaj's strategy to handle challenges and tap into EV opportunities.