Maruti Suzuki Shares Hit Record High After Goldman Sachs Upgrade — Check Price Target, Stock Rating And More
Goldman Sachs has given a target price of Rs 18,900, which is the highest among 48 analysts tracking the company.
Maruti Suzuki India Ltd.'s share price jumped to fresh high in Tuesday's session after Goldman Sachs upgraded the rating to Buy and hiked target price. The brokerage raised the target price to Rs 18,900 from Rs 13,800 apiece.
The current target price implies a potential upside of 19% from Monday's close.
Goldman Sachs expects that there will likely be a pickup in the market for entry level cars after Maruti Suzuki India changed prices post GST cuts. The new simplified rate structure for rate cut came into effect on Monday.
Apart from tax cut incentives, favourable exposure to buyer group under pay commission in the upcoming auto demand cycle will support Maruti Suzuki India to grow further.
The automobile manufacturer is resuming new model launches after a gap of 2.5 years with the Victoris SUV+ eVitara. The company has relatively low CO2 risk versus peers heading into CAFE 3 regime in financial year 2028.
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Maruti Suzuki India share price jumped 3.22% to a new high of Rs 16,325.00 apiece. The stock is the top contributor to the NSE Nifty Auto index, which has outperformed other sectoral indices on Tuesday so far.
Maruti Suzuki India shares are also the second top supporter in the benchmark index Nifty 50. The stock price was trading 1.93% higher at Rs 16,124.00 as of 11:16 a.m., compared to 0.43% decline in the Nifty 50 index.
The stock advanced 27% in 12 months, and 48.19% on year-to-date basis. The relative strength index was at 80.26, which implied the stock is overbought. Maruti Suzuki India share price volume is flat or 0 times 30-day average.
Out of 48 analysts tracking the company, 41 maintain a 'buy' rating, five recommend a 'hold' and two suggest 'sell', according to Bloomberg data. The average 12-month consensus price target implies a downside of 1.5%.
