Shares of Bajaj Auto dropped more than 5%, hitting an intraday low of Rs 099,401 on the NSE, after the automaker reported its October sales figures, which fell short of market expectations. The company’s performance highlighted a mix of growth in exports and a decline in domestic sales, affecting overall sentiment.
October Sales Performance Misses Estimates
Bajaj Auto reported a 1.7% year-on-year increase in total sales for October 2024, reaching 4.79 lakh units, up slightly from 4.71 lakh units sold in the same month last year.
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While this represents growth, the numbers fell below analyst expectations, adding pressure to the stock.
Domestic Sales Show Decline
Domestic sales dropped to 3.03 lakh units, down 8% year-on-year, reflecting challenges in the local market. The domestic commercial vehicles segment saw a 6% decline, and the two-wheeler segment also experienced an 8% decrease compared to October 2023, signaling weaker demand within India.
Export Growth Provides Some Resilience
In contrast to the domestic dip, Bajaj Auto’s export figures showed significant growth. The company reported a 24% year-on-year rise in exports, totaling 1.75 lakh units.
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Within this, exports of commercial vehicles surged 46%, and two-wheeler exports grew by 22%, demonstrating the brand’s strong international foothold.
Stock Performance in last one year
Shares of Bajaj Auto have displayed a varied performance across different time frames, reflecting both short-term challenges and longer-term growth. Over the past month, the stock delivered a negative return of 22.02%, indicating recent volatility. However, the six-month return stands at 4.05%, showcasing resilience and positive momentum.
Year-to-date, Bajaj Auto shares have risen by an impressive 39.47%, underscoring a bullish trend through 2024. Over the last twelve months, the stock has demonstrated consistent strength, with returns surpassing 78.25%, highlighting strong investor confidence and sustained growth potential.
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