Auto stocks in sharp rally amid monthly sales data; Mahindra, Tata Motors, Hero MotoCorp in the fast lane

Heavyweight stocks were in the fast lane which led the overall sector to outperform against benchmarks.

Mar 02, 2021 12:03 IST India Infoline News Service

Auto stocks extended bullish momentum on Tuesday's trading session as well on the back of monthly sales data. Heavyweight stocks were in the fast lane which led the overall sector to outperform against benchmarks. The majority of automakers have announced their sales data for February 2021.

At around 12.47 pm, Nifty Auto trades at 10,636.35 higher by 224.55 points or 2.16%. The index has clocked to an intraday high of 10,659.75.

On the index, M&M was the top gainer surging by 4.4% followed by Tata Motors soaring by 4% and Hero MotoCorp up 3.4%.

M&M announced that its overall auto sales (passenger vehicles+ commercial vehicles+ exports) for February 2021 stood at 28,777 vehicles, compared to 32,476 in February 2020.

While Tata Motors sales in the domestic & international market for February 2021 stood at 61,365 vehicles, compared to 40,619 units during February 2020.

As for Hero MotoCorp, the company sold a total of 505,467 units of motorcycles and scooters in February 2021 compared to 498,242 units of two-wheelers dispatch during the same month a year ago.

Furthermore, on the index, Bharat Forge and Bajaj Auto gained 2.8% and 1.8% respectively.

Bajaj Auto recorded 6% growth in February 2021 sales to 375,017 units compared to 354,913 units sold in the same month a year ago.

Also, TVS Motor and Exide advanced by 1.5% each.

TVS Motor Company posted sales of 297,747 units in February 2021 as against 253,261 units in the same month a year ago - registering an 18% yoy growth.

Meanwhile, Balkrishna and Maruti Suzuki stock spurted by over 1.3% each. Nearly, 1% gain was seen in Ashok Leyland.

Maruti Suzuki registered an 11.8% growth in February 2021 sales to 164,469 units compared to a year ago same month. Total sales in the month include domestic sales of 147,483 units, sales to other OEMs of 5,500 units and exports of 11,486 units.

Ashok Leyland has announced a total sales of 13,703 units in February 2021, increasing by 19% compared to sales of 11,475 units a year ago the same month.

Other stocks like Bosch and MRF surged 0.5% each, whereas Motherson Sumi, Amara Raja Batteries and Eicher Motors gained marginally.

Eicher Motors recorded a 10% growth in Royal Enfield sales to 69,659 units in February 2021 against 63,536 units sold in the same month a year ago.

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