Auto demand remains skewed towards PVs, tractors

| | New Delhi
  • 0

Auto demand remains skewed towards PVs, tractors

Sunday, 04 July 2021 | IANS | New Delhi

Automobile demand in June has remained skewed in favour of passenger vehicles (PVs) and tractors, said Motilal Oswal Financial Services (MOFSL) in a report.

According to the report, commercial vehicles (CVs) and two-wheelers' (2Ws) sales are yet to catch up.

"June '21 saw a gradual lifting of lockdown restrictions across states, with a good recovery witnessed in PVs and tractors."

"Current valuations largely factor in a sustained recovery (our base case), leaving a limited margin of safety for any negative surprise." According to MOFSL: "We prefer 4Ws over 2Ws, as PVs are the least impacted segment currently and offer a stable competitive environment."

"We expect the CV cycle to recover and gain momentum towards 2HFY22. We prefer companies with a higher visibility in terms of a demand recovery, a strong competitive positioning, margin drivers, and balance sheet strength."          

Sunday Edition

CAA PASSPORT TO FREEDOM

24 March 2024 | Kumar Chellappan | Agenda

CHENNAI EXPRESS IN GURUGRAM

24 March 2024 | Pawan Soni | Agenda

The Way of Bengal

24 March 2024 | Shobori Ganguli | Agenda

The Pizza Philosopher

24 March 2024 | Shobori Ganguli | Agenda

Astroturf | Lord Shiva calls for all-inclusiveness

24 March 2024 | Bharat Bhushan Padmadeo | Agenda

Interconnected narrative l Forest conservation l Agriculture l Food security

24 March 2024 | BKP Sinha/ Arvind K jha | Agenda