North America Class 8 truck sales cool down to lowest in 14 months

Investors of Bharat Forge and Ramkrishna Forgings panic amid rising fears of a slowdown in the firms' performance.

Dec 06, 2018 03:12 IST India Infoline News Service

North American Class 8 trucks
Sales of North America Class 8 trucks cooled to 27,900 units in November 2018, the lowest level since September 2017. The sales number was 32,293 units in November 2017 and 43,000 in October 2018, implying a decline of 14% yoy and 35% mom.

However, analysts are not overly concerned with the decline. New orders averaged ~42,000 units over the 12-month period till October 2018, while peak monthly production was ~30,000 units, resulting in an order book addition of ~2,00,000 units. Thus, the overall order backlog is equivalent to 8-10 months of production. Hence, investors need not be excessively concerned with the drop this month.

Ramkrishna Forgings Ltd is currently trading at Rs523 down by Rs0.2 or 0.04% from its previous closing of Rs523.20 on the BSE. The scrip opened at Rs523 and has touched a high and low of Rs523 and Rs523 respectively. So far 700 (NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs1,708.40cr.

Bharat Forge Ltd is currently trading at Rs522 down by Rs9.95 or 1.87% from its previous closing of Rs531.95 on the BSE. The scrip opened at Rs529.70 and has touched a high and low of Rs532 and Rs517.50 respectively. So far 5,20,026 (NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs24,766.99cr.

Related Story