Shares of Hyundai Motor India Ltd. continued their downward trajectory for the second consecutive day on Thursday, as they fell by over 3%. The stock has been under pressure following a recent price hike announcement for its 2025 models and a negative rating from Bank of America (BofA), which placed the company under its “underperform” category.
Hyundai’s share price has been on the decline since BofA issued a negative outlook on December 5, citing concerns over the company’s earnings growth and a lack of near-term catalysts. The brokerage revised its target price for Hyundai Motor to Rs 1,840 per share, down from Rs 1,872.5, implying a downside of 1.7%. BofA noted that the company is facing a challenging market environment, with a slowdown in the personal vehicle (PV) sector, a pause in the premiumisation trend, and ongoing capacity constraints.
Adding to the negative sentiment, Hyundai Motor India Ltd. announced on last Thursday that it will raise prices across its entire vehicle range by up to Rs 25,000 starting January 1, 2025. The company cited rising input costs, unfavorable exchange rates, and increased logistics expenses as the reasons behind the price hike. The increase will affect all 2025 models, further contributing to the market’s unease.
Hyundai Motor share price fell as much as 3.20% to Rs 1,765 apiece. It pared losses to trade 1.56% lower at Rs 1,795 apiece, as of 09:34 a.m. This compares to a 0.10% advance in the NSE Nifty 50 Index.
It has fallen 8.42% since listing. Total traded volume so far in the day stood at 2.3 times its 30-day average. The relative strength index was at 40.
Out of 13 analysts tracking the company, 10 maintain a ‘buy’ rating, and three suggest ‘sell,’ according to Bloomberg data. The average 12-month consensus price target implies an upside of 18.9%.
. Read more on Markets by NDTV Profit.Hyundai Motor share price fell as much as 3.20% to Rs 1,765 apiece. Read MoreMarkets, Business
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