INSUBCONTINENT EXCLUSIVE:
Edelweiss has upgraded Bajaj Auto to buy from hold and raised target price in the long term to Rs 3651 from Rs 3162
The stock ended up 3.2% at Rs 3261.35 on Tuesday while BSE Sensex closed 126.72 points down at 40,675.45.
Company FinancialsFor the quarter
ended 30-09-2019, the company has reported consolidated sales of Rs 7499.21 crore, down -.87% from last quarter sales of Rs 7565.01 crore
and down -4.25% from last year same quarter sales of Rs 7831.79 crore
The company has reported net profit after tax of Rs 1403.20 crore in the latest quarter
Bajaj, Mr.Nanoo Pamnani, Mr.Niraj Bajaj, Mr.Pradeep Shrivastava, Mr.Pradip Shah, Mr.Rahul Bajaj, Mr.Rajiv Bajaj, Mr.Rakesh Sharma, Mr.Sanjiv
Bajaj, Mr.Shekhar Bajaj, Mrs.Lila Poonawalla
Company has SRBC - Co LLP as its auditors
As on 30-09-2019, the company has a total of 289,367,020 shares outstanding
Investment RationaleThe brokerage believes Bajaj Auto is better positioned than peers to handle the BS-VI transition as around 40% of its
exports will be immune to the change and domestic three-wheeler cargo segment will also benefit
The brokerage also sees perceptible change in management's approach with focus on sales, after sales etc rrather than just products.