Bajaj Auto shares in focus as Q2 net profit jumps 53% YoY. Should you buy, sell or hold? – News Air Insight

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Shares of Bajaj Auto are likely to be in the limelight on Monday, November 10, after the two-wheeler manufacturer reported a 53% year-on-year (YoY) surge in its consolidated net profit for the second quarter of FY26, posting a profit after tax (PAT) of Rs 2,122 crore for Q2FY26, up from Rs 1,385 crore in the same period last year.

The PAT is attributable to the owners of the company.

Revenue from operations stood at Rs 15,735 crore during the quarter under review, registering a 19% rise over Rs 13,247 crore reported in the year-ago period. The company said the quarterly revenue marked a new company high, crossing the Rs 15,000 crore mark, supported by a richer mix of vehicles and record-high sales of spare parts.

The company noted that strong performance across segments helped offset challenges from the rare earth magnet constraints, which had impacted its fastest-growing electric vehicle portfolio.

Bajaj Auto said the quarter’s results were a reflection of its resilient and adaptable business model.


On a sequential basis, however, the consolidated PAT saw a 4% decline from Rs 2,210 crore in Q1FY26. The topline, on the other hand, grew by 20% quarter-on-quarter compared to Rs 13,133 crore in the April-June quarter.Brokerage firm Nuvama maintained a ‘Hold’ rating on Bajaj Auto and slightly revised its target price to Rs 9,700 from Rs 9,800 earlier. Nuvama stated that the Q2FY26 revenue and EBITDA growth of 14% and 15% YoY, respectively, were in line with expectations.Nuvama also projected a 7% volume CAGR for the company over FY25–28, with domestic growth estimated at 2% and export growth at 13%. It further noted that the domestic two-wheeler market share may dip from 12% in FY25 to 10% in FY28. Export demand is expected to remain strong, driven by markets in Latin America and Asia.

Revenue/EBITDA CAGR for the period FY25–28 is projected at 11%/12%, while return on equity (RoE) is estimated at 28%.

Also read: ‘Lenskart wasn’t built to chase valuations, but…’: Peyush Bansal pens an emotional note ahead of listing

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)



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