Auto Stocks in Focus: Maruti Suzuki scales an all-time high; Tata Motors hits a 52-week high as auto stocks rally

Auto Stocks in Focus: Maruti Suzuki hit and all-time high, while Tata Motors reached a 52-week highs on BSE on Thursday (December 7, 2023) after the FADA showed 18 per cent year-on-year increase in auto sales in November.

Mahindra and Mahindra was down after it announced to hike vehicle prices, while the Hero MotoCorp stock was rising after the Delhi High Court extended the hearing date to January 24 of Pawan Kant Munjal's alleged involvement in a cheating case.  

Maruti Suzuki scaled an all-time high of Rs 10,930, while Tata Motors hit a 52-week high of Rs 727.45 on Thursday. 

Hero Moto Corp was trading higher by 1.07 per cent, or Rs 40.20, at Rs 3802.00 each, at 11:06 am on BSE.

Mahindra and Mahindra, meanwhile, lost early gains to go down by 0.14 per cent, or Rs 2.24, at Rs 1700.00 at 11:06 am.

Why auto stocks are rising

Auto stocks are banking on a Federation of Automobile Dealers Associations (FADA) report released on Wednesday, which showed that auto sales in November 2023 touched a record high of 28.54 lakh, or 18 per cent.

While Maruti Suzuki, Hyundai Motor and Tata Motors were among the top three sellers in the passenger vehicle category, Mahindra and Mahindra topped the chart in commercial vehicle sales. 

In Munjal's alleged involvement in a cheating case, the Delhi High Court said on Wednesday that no settlement had been reached between Brains Logistics and the Hero MotoCorp chairman and other company executives. 

The HC has given the next hearing date of January 24. Meanwhile, the interim order stay on criminal proceedings against Munjal will continue, as per the Delhi High Court.