• Select City

Brokerage Firm Downgrades Eicher Motors Leading to Slip in Stock Value

Published On Mar 17, 2016By Prashant Talreja

Shares of Eicher Motors slipped by nearly four percent, continuing the trend of decline that had been seen over the past two tradition sessions. The decline is thought to be the result of a downgraded rating given by a domestic brokerage firm. Experts in the field expect the stock's rating to further plummet, as a result of decreased growth and earnings.

“Honestly, we don't think too much about numbers, instead we focus on our levers of growth. Our aim is to sustain the growth momentum, but 50-60% growth will come down with the base growing. We had planned for 6.2 lakh units for the calendar year 2016, but since we are moving to a financial year, that number will change, probably on a little higher side,” said Siddhartha Lal, managing director of the company.

The company had witnessed a stint of strong performance of late, with the stock having risen by nearly 27% in the past three months. Along with this, rising demand led to soaring sales volumes as well, with a nearly 54% growth over the past three months. It had sold nearly 448,000 units over this period, and was thriving in a period of sharp market relapse. The firm had envisioned keeping peace with the earlier year's performance, with sales of 600,000 units and a decent growth of 30%. Although not as bright as that witnessed in the previous year, the market condition in the coming months is seen to be largely positive. The heavy-duty sector is expected to further broaden up on the backdrop of infrastructure activity.

At 01:38 PM today, the stock had settled at Rs 18,820 on the BSE. A total of 59,942 shares had been traded on the counter in the BSE and NSE combined.

See Also:

Positive Market Signs for 2016, as VECV Booms with 57% Growth

Eicher Motor's Net Profit Up by 76.1% for December Quarter

Latest Models

  • Trucks
  • Pickup Trucks
  • Mini Trucks
  • Tippers
  • Trailers
  • 3 Wheeler
  • Transit Mixer
  • Auto Rickshaw
*Ex-Showroom Price

Popular Models

  • Trucks
  • Pickup Trucks
  • Mini Trucks
  • Tippers
  • Trailers
  • 3 Wheeler
  • Transit Mixer
  • Auto Rickshaw
*Ex-Showroom Price
×
Which is your city ?