Monthly Auto Numbers Hero MotoCorp Ltd.: Total Sales up by 3.2% YoY, target achieved, maintain Hold; Bajaj Auto Ltd.: Total sales remain flat YoY; 24% growth in export volume offsetting lower domestic volume, Maintain BUY; Tata Motors: Total sales up by 2% YoY, Not rated; Ashok Leyland Ltd.: Total sales jump by 44% YoY, Maintain neutral :: IndiaNivesh, links

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Hero MotoCorp Ltd.: Total Sales up by 3.2% YoY, target achieved,
maintain HOLD
Nov-14 Oct-14 Change
MoM
Nov-13 Change
YoY YTD FY15 YTD FY14 Change YoY
2 Wheelers 547,413 575,056 -5% 530,530 3.2% 4,526,069 4,131,164 10%
Source: Company Filings; IndiaNivesh Research
 Hero Motocorp sales volume up by 3.2% YoY to 5, 47,413 units in the month
of November 2014.
Valuation: Given the likely dominance of first time buyers in incremental demand
going forward, we see Hero Motocorp would emerge as a leader as it commands all
the relevant attributes that buyers will look for such as trusted brand (high recall),
high mileage, economical, and large distribution reach. However, at CMP of Rs 3220
the stock is trading at PE multiple of 18.6x FY16E EPS which is above of its mean of
18x. Our target price Rs. 3157, has already been achieved, we maintain hold rating
on the stock.
Bajaj Auto Ltd.: Total sales remain flat YoY; 24% growth in export
volume offsetting lower domestic volume, Maintain BUY
Segment Nov-14 Oct-14 Change
MoM
Nov-13 Change
YoY YTD FY15 YTD FY14 Change YoY
Motorcycle 261,948 336,923 -22% 278,703 -6% 2,372,882 2,336,467 2%
3 Wheeler 47,311 49,094 -4% 31,888 48% 366,406 300,052 22%
Total Sales 309,259 386,017 -20% 310,591 0% 2,739,288 2,636,519 4%
Domestic Sales 143,526 227,470 -37% 176,860 -19% 1,453,948 1,601,173 -9%
Export 165,733 158,547 5% 133,731 24% 1,285,340 1,035,346 24%
Source: Company Filings; IndiaNivesh Research
 Bajaj Auto’s sales remain flat YoY and (down 20% MoM) to 3, 09,259 units.
Domestic volume decreased by 19% YoY to 1, 43,526 units, while export
volumes jumped by 24% YoY to 1, 65,733 units.
 The company’s motorcycle sales down by 6% YoY and 22% MoM to 2,61,948
units while three-wheeler commercial vehicle sales jumped by 48% YoY to
47,311 units.
Valuation: With its specialization strategy and focused approach, Bajaj auto aims
to garner a higher share of the global motorcycle market together with industry
leading profitability. Bajaj Auto would benefit on (a) upgrading in the domestic
motorcycle market, driven by economic recovery, and (b) revival in exports which
could offset the negative of absence in scooters. Further Bajaj Auto will have the
first mover advantage to launch quadricycle (expected in coming months) in India.
At CMP of Rs 2590 the stock is trading at PE multiple of 18.2x FY16E EPS. We maintain
BUY rating on the stock with target price of Rs. 2840(20x FY16E EPS).

link
http://www.indianivesh.in/Admin/Upload/635533672969701250_NiveshDaily%20-%203%20December%202014.pdf