Hero MotoCorp Ltd, incorporated in the year 1984, is a Large Cap company with a market cap of Rs 58475.67 Crore, operating in Auto sector.
Hero MotoCorp’s key Products/Revenue Segments include Motorised Two Wheelers Upto 350cc Engine Capacity, Spares (Two Wheelers), Sale of services and Other Operating Revenue for the year ending 31-Mar-2020.
Investment Rationale
The recent correction in the markets dragged the stock Hero Motocorp from the high of Rs 3600 towards Rs 2800 mark which is almost 20 per cent erosion from the top. According to Anand Rathi, post this fall, the stock found a support at the placement of ‘Ichimoku Cloud’ on the weekly scale and that could be a demand zone. Also we are witnessing a ‘Bullish Hammer’ candlestick pattern on the weekly chart which indicates a possibility of strong reversal. Hence, Traders are advised to buy the stock in the range of Rs 2920-2900 with a stop loss of Rs 2710 for the upside potential target of Rs 3300 in 1 – 3 months.
Financials
For the quarter ended 31-12-2020, the company has reported a Consolidated Total Income of Rs 10032.61 Crore, up 4.43 per cent from last quarter’s Total Income of Rs 9607.25 Crore and up 38.21 per cent from last year same quarter’s Total Income of Rs 7259.06 Crore. Company has reported a net profit after tax of Rs 1127.85 Crore in latest quarter.
