TVS Motor Company Ltd., incorporated in the year 1992, is a Large Cap company (having a market cap of Rs 29034.95 Crore) operating in Auto sector.
Financials
For the quarter ended 31-03-2021, the company reported a Consolidated Total Income of Rs 6140.54 Crore, up .47 % from last quarter Total Income of Rs 6111.56 Crore and up 48.73 % from last year same quarter Total Income of Rs 4128.67 Crore. Company reported net profit after tax of Rs 317.06 Crore in latest quarter.
Investment Rationale
Domestic 2W volume outlook is positive and premium motorcycles/scooters could outperform going ahead. In addition, the export outlook is encouraging across most markets on higher commodity prices and better forex availability for importers. The brokerage expects a volume CAGR of 14% over FY21-24E. It builds in robust revenue/earnings CAGRs of 17%/39% over FY21-24E. It recommends Buy with a TP of Rs730, based on 25x FY23E EPS and value of TVS Credit Services at Rs25/share.
Promoter/FII Holdings
Promoters held 57.39 per cent stake in the company as of March 31, 2020, while FIIs held 11.37 per cent, DIIs 21.01 per cent and public and others 10.04 per cent.
(Disclaimer: Views and recommendations given in this section are the analysts’ own and do not represent those of ETMarkets.com. Please consult your financial adviser before taking any position in the stock/s mentioned.
