Is Maruti going to face a hurdle ahead? Macquarie sees over 9% decline in stock price

Shares of Maruti Suzuki India (MSIL), India’s largest automotive producer, traded within the purple within the early commerce on Friday, February 23, after the brokerage agency Macquarie turned impartial on the counter with a goal of Rs 10,608, implying a draw back of over 9 per cent. The brokerage anticipates a market loss for the corporate within the entry-level class priced within the vary of Rs 4,00,000–Rs 700,000. The altering market combine will pose challenges to the corporate’s market share. The brokerage is of the view that, within the close to time period, the demand for small vehicles will stay tepid. Macquarie famous that the corporate’s valuation, at 24.5x FY26E PE, is according to its long-term common. Within the auto section, the brokerage is bullish on Tata Motors and TVS Motor and has listed them as its high picks. Different shares the place the brokerage is constructive are (within the pecking order) Tata Motors, TVS, Hero MotoCorp, and Maruti Suzuki. Citi earlier, amid its optimism for Maruti Suzuki, signalled a purchase on the counter. The brokerage expects the corporate’s quantity to maneuver northward. So, sustaining its optimistic stance, the worldwide brokerage maintained a purchase on the counter for a goal of Rs 14,200, signalling an as much as 24 per cent upside within the heavyweight inventory.