Nomura estimates mixed November auto sales; PV sales to decline
Weakness in the auto demand is expected to be more prominent in the PV space, with the demand for CVs to register recovery in H2.
For the November month, auto sales number are due to be released on December 1. Domestic brokerage Nomura expects auto sales to be mixed with improvement expected in the rural demand, while the urban demand is estimated to remain weak.
Segment-wise, the passenger vehicle (PV) sales may continue to see pressure, amid tepid demand despite steep discounts being offered during the festive season.
Also, in the other segments including the two-wheeler (2W) and commercial vehicles (CVs), the demand is expected to remain sluggish.
Nevertheless, on the positive side, the sales trend will show positive growth during the review period.
Further, the brokerage anticipated the CV segment to exhibit recovery going forward in H2, with demand for tractors remaining strong.
In trade today (November 29), Nifty Auto ended a sharp over 1 per cent, led by gains in M&M, Maruti Suzuki and Tata Motors among others.
Here are the estimates across companies and segments
PV Nov-24 Nov-23 %change
MARUTI 1.78 Lakh vs 1.64 Lakh UP 8.6%
Hyundai 64000 vs 65800 DOWN 2.7%
M&M (AUTO) 81000 vs 70576 UP 14.8%
TATA MOTORS (Domestic PV) 43000 vs 46143 DOWN 7%
In the PV segment, the companies are expected to register mixed sales with sales rising for Maruti Suzuki year-on-year, while the same for Hyundai will report a decline.
2W Nov-24 Nov-23 %change
HERO MOTO 4.75 Lakh vs 4.91 Lakh DOWN 3%
BAJAJ AUTO (2W) 3.64 Lakh vs 3.49 Lakh UP 4%
BAJAJ AUTO (TOTAL SALES) 4.26 Lakh vs 4.03 Lakh UP6%
TVS MOTOR (2W) 3.85 Lakh vs 3.52 Lakh UP 9%
TVS MOTOR (TOTAL SALES) 3.96 Lakh vs 3.64 Lakh UP 9%
EICHER RE 83000 vs 80251 UP 3%
CV Nov-24 Nov-23 %change
EICHER VECV 6400 vs 5194 UP 23%
ASHOK LEYLAND 14300 vs 14053 UP 2%
TATA MOTORS (Total CV) 30000 vs 28029 UP 7%
TRACTOR Nov-24 Nov-23 %change
M&M 35200 vs 32074 UP 9.7%
Escorts 7000 vs 8258
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