TVS and Eicher trade near 52-week highs on positive demand outlook

19 Jul 2022 , 02:41 PM

In Tuesday’s intraday trade on the BSE, shares of two-wheeler manufacturers were in demand, with TVS Motor Company and Eicher Motors trading at their respective 52-week highs on the anticipation of robust rural demand supported by favorable rabi output, an increase in crop prices, and the opening of schools and colleges.

In terms of individual stocks, TVS Motor topped its previous high of Rs 885.85 set on July 1, 2022, reaching a record high of Rs 888.80, up 1%. In today’s intraday session, Eicher Motors increased by roughly 2% to a new 52-week high of Rs 3,088. 

These equities have increased by up to 20% apiece over the past month, while the S&P BSE Sensex has only up by 6%.

The market for two-wheelers throughout the world is still growing due to consumer desire for affordable, sustainable mobility options. The availability of semiconductors will return to normal and commodity costs are predicted to soften, which will help satisfy demand.

Long-term market growth is anticipated because of factors including improved technology, increased fuel efficiency, improved driving comfort, and less environmental impact.