Maruti Suzuki share price gains over 2% after Q4 results; Should you buy, sell or hold the stock?

Maruti Suzuki India, the largest rider car shaper successful India, reported a nett net of ₹3,878 crore successful Q4FY24, registering a crisp maturation of 48% from ₹2,623 crore successful the corresponding play past year. 

The company’s gross from operations during the 4th roseate 19.3% to ₹38,235 crore from ₹32,048 crore, YoY. Maruti Suzuki India surpassed the yearly full income milestone of 2 cardinal units successful FY24. Total income measurement during the March 4th accrued 13% to 584,031 units from 514,927 units successful the year-ago period.

Read here: Maruti Suzuki Q4 Results: Revenue rises 19% YoY led by terms hike & yearly sales, dividend declared; 5 cardinal highlights

At the operational level, EBITDA roseate 40% to ₹4,685 crore from ₹3,350 crore, portion EBITDA borderline improved by 170 ground points (bps) to 12.2%, compared to 10.5 %, YoY.

Most brokerages person accrued Maruti Suzuki stock terms people aft the merchandise of Q4 results. Here’s what brokerages person to accidental astir Maruti Suzuki stock terms and Maruti Suzuki Q4 results.

Motilal Oswal Financial Services

Motilal Oswal Financial Services has marginally raised FY25-26 estimates by 2-4%. It expects the institution to proceed to outperform manufacture maturation successful FY25. While the bulk of input outgo benefits are apt to beryllium behind, it expects Maruti Suzuki to station astir 70 bps borderline betterment to 12.5% successful FY25, mostly led by an improved mix. This would, successful turn, thrust a dependable 13% net CAGR implicit FY24-26E. 

Any GST cuts oregon favorable argumentation for hybrids by the authorities whitethorn thrust a rerating arsenic Maruti Suzuki would beryllium the cardinal beneficiary of specified changes. The brokerage steadfast reiterated its ‘Buy’ standing connected the banal with a people terms of ₹14,700 per share.

Also Read: BSE stock terms declines 17% station SEBI directions

Emkay Global Financial Services 

Emkay Global Financial Services continues to judge that amid the softening of the underlying PV manufacture metrics, measurement maturation for the abstraction would beryllium constricted astatine a ~4% CAGR implicit FY24-26E. However, profitability for Maruti Suzuki has been resilient amid improved premix (led by SUVs & CNG), controlled discounts, and steadfast operating leverage.

This drives 5% and 4% upgrades successful its FY25E and FY26E EPS estimates. The brokerage steadfast present builds a 5% and 7% measurement and EPS CAGR implicit FY24-26E and retains a ‘Reduce’ standing connected the stock. Emkay Global raised the Maruti Suzuki stock terms people to ₹11,200 apiece from ₹10,700 earlier.

Also Read: Yes Bank stock terms jumps 8% aft beardown Q4 results 2024. Do you own?

Antique Stock Broking

Antique Stock Broking continues its affirmative stance connected Maruti Suzuki and maintains the banal arsenic its apical pick. 

We stay assured of the continuing robust maturation successful the SUV and CNG segments, which is not lone driving marketplace stock gains & gross growth, but besides starring to betterment successful nett pricing. We judge with the improving nett pricing and standard of operations determination could beryllium an upside hazard to profitability, Antique Stock Broking said.

It remains affirmative connected Maruti Suzuki and expects an 8% measurement CAGR implicit FY23–26E, arsenic it believes the institution volition proceed to summation marketplace share. It besides expects ASP maturation to beryllium led by merchandise premix improvement. It besides believes the operating leverage and merchandise premix volition besides enactment profitability. 

The brokerage reiterated a ‘Buy’ telephone and raised Maruti Suzuki stock terms people to ₹14,761 from ₹13,538 earlier.

Also Read: IREDA stock terms jumps implicit 10% arsenic it attains 'Navratna status'

Nuvama Institutional Equities

Nuvama Institutional Equities somewhat accrued FY25E and FY26E EPS estimates by 2% and 1% to ₹479.1 and ₹541.9, connected little depreciation and higher different income. Going ahead, it forecasts a gross CAGR of 11% led by mean maturation successful cars and robust maturation successful SUVs.

It anticipates marketplace stock to prolong astatine 43% implicit FY24–26E with imaginable upside if the authorities reduces GST connected hybrid vehicles. Furthermore, amended nett pricing and standard shall boost profitability, driving a PAT CAGR of 14%. It retained a ‘Buy’ standing and raised the people terms to ₹14,800 per stock from 14,300 earlier.

At 9:30 am, Maruti Suzuki stock terms was trading 1.27% higher astatine ₹12,848.00 apiece connected the BSE.

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Disclaimer: The views and recommendations made supra are those of idiosyncratic analysts oregon broking companies, and not of Mint. We counsel investors to cheque with certified experts earlier making immoderate concern decisions.

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Published: 29 Apr 2024, 09:32 AM IST