The Hero MotoCorp stock has been in focus after reports of mass senior exits just weeks after former CEO Niranjan Gupta stepped down. The Hero MotoCorp share price is up 2% intra-day but down 14% so far in 2025. While on the one hand there are concerns about declining market share, the strong launch pipeline for 2025 is something that investors would be watching out for.
Axis Securites has named Hero MotoCorp as one of their top picks with a Buy rating while BNP Paribas expects to see 15% upside in the Hero MotoCorp share price. Several other brokerages too added the stock to their list of Buys on hopes of an improvement in EBITDA margins.
Here is a quick look at the key factors to watch for Hero MotoCorp
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The latest two-weeler sales data raise some concerns about rising competition for Hero MotoCorp. Apart from the low contribution of exports, Hero MotoCorp’s total two-weeler volumes declined 17% YoY and 12% MoM.
Hero MotoCorp FY26 sales Volume: Possibility of a cut in estimates?
This lower sales print has also led to Cut in sales volume estimates by several brokerage houses. Incred Equities cut its estimates by around 6% for FY25-FY27 on the back of weakness in the domestic two-wheeler industry.
Hero MotoCorp: New product launches
Most analysts highlighted that Hero MotoCorp’s product launches in premium scooters and EVs will be the key growth driver going forward. New models are scheduled for launch in Q4FY25 and FY26 as well. The company is expanding its offerings in the sub-Rs 1 Lakh electric two-wheeler segment through the Vida V2 platform. According to Axis Securities this helps in “reinforcing its position in the mass-market scooter segment. New premium motorcycles like the Xpulse 210 and Xtreme 250R have received strong market feedback, while upcoming models such as the Xoom 125, Xoom 160, and Destini 125 will further strengthen Hero MotoCorp’s scooter portfolio.”
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The push for comsumption in the Budget is seen as a positive for Hero MotoCorp stock. No Income Tax up to Rs 12 lakh and revised tax slabs (0-30%) are expected to increase disposable income and boost middle-class spending on discretionary items.
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