Bajaj Auto, TVS Motor to lead August 2024 volume growth as two wheelers continue to perform well

Stock Market Today: Bajaj Auto , TVS Motor Company , Eicher Motors, Hero MotoCorp among others have continue to benefit with pick up in volume growth for two-wheeler volume growth since second half of FY24. The momentum remains strong say analysts who expect decent volume numbers for two wheelers in August.

Bajaj Auto and TVS Motor Company are expected to lead the two wheeler volumes during August 2024 as per Jefferies India Pvt Ltd estimates. Jefferies expects Bajaj Auto to report 9% year on year and 4% month on month two wheeler volume growth, two wheeler volume growth for TVS Motor Company too is estimated at 9% year on year and 6% month on month.

Eicher Motors that faced near term challenges, however is expect to see Royal Enfield volume grow 4 % over July while Hero MotoCorp too may see volumes rebound 10% month on month (over July'2024).

Among others Mahindra and Mahindra is expected to see 6% month on month increase Auto volumes and 1% in tractor volumes

The outlook for Tractor volumes has improved and analysts at Nuvama Institutional Equities highlight that in India, both Mahindra & Mahindra and Escorts are optimistic, with expectations of mid-single digit growth in FY25.

Meanwhile in passenger vehicles, volume growth for Maruti Suzuki India Ltd is pegged at 3% month on month though on yoy basis the MSIL volumes may decline 6% . Similarly for Tata Motors passenger vehicle volumes may decline 4% yoy and 2% sequentially as per Jefferies estimates.

Commercial Vehicle domestic volumes for Tata Motors nevertheless may rise 10% on month on month basis and for Ashok Leyland too the CV volumes may improve 8% month on month as per Jefferies estimates.

Jefferies India remains positive on the Indian auto space, and has TVS Motor Company and Mahindra and Mahindra as its top pocks

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