INSUBCONTINENT EXCLUSIVE:
ET Intelligence Group: Despite falling sales volume, TVS Motor trades at a premium valuation on bourses compared with peers including Hero
resume in the coming quarters
largest overseas market for three-wheelers.
The new emission norms in the Indian market have resulted in 10-15 per cent increase in
In the last 18 months, every time the cost of ownership rose due to regulatory measures, it affected volumes
two-wheeler volume dropped by 18 per cent compared with the 15 per cent fall reported by the sector.
Its management believes that the sharp
rise in prices may lead to a marginal volume decline in the first half of the next fiscal and is hopeful of recovery in the remaining part
reducing its market share to 6.4 per cent from 7.5 per cent in FY19
The decline in the market share in the economy segment is more than 450 basis points reflecting higher competition at the entry level
In the first nine months of FY20, the domestic moped volume fell by 25 per cent
with volume growing 22 per cent and 12 per cent in the December quarter and the first nine months of FY20, respectively, helped by the lower
base in the comparable period of the previous fiscal
and two-wheeler exports, may spoil the party.
The Nigerian ban is in the wake of rising accidents and crimes in the country
This is at 65 per cent premium to the average valuation of the peers
Given the tough operating environment, the company may find it difficult to retain the premium valuation.
