Nuvama stays bullish on auto stocks before Q2 results
In short
Nuvama is positive on auto stocks before Q2 results and has named Hyundai Motor, Tata Motors and Eicher Motors as top picks. It expects revenue to rise 27%, but EBITDA growth may be only 10% because of higher costs.
This matters for auto investors because it points to stronger sales but weaker profit growth. The actual Q2 results have not been reported yet.
What the reporting says
Nuvama Institutional Equities maintains a positive outlook on the auto sector ahead of Q2 results, with Hyundai Motor, Tata Motors and Eicher Motors among its key picks. The broker reportedly expects 27% revenue growth driven by industry volumes, while EBITDA growth may be limited to 10% because of cost pressures. The immediate market implication is support for selected auto names, but the earnings outcome is still unknown.
Why it matters
Nuvama Institutional Equities has kept a positive view on the auto sector ahead of second-quarter results, naming Hyundai Motor, Tata Motors and Eicher Motors among its preferred stocks. The summary says it expects 27% revenue growth on higher industry volumes, but only 10% EBITDA growth because of cost pressures. The report does not provide the quarter, valuation changes or company-specific forecasts beyond those broad estimates.