Auto Stocks Rally | TVS Motors Share Price | M&M Sales Growth | Eicher Motors Performance
Shares of leading auto companies TVS Motors, Mahindra & Mahindra (M&M), Ashok Leyland, and Eicher Motors gained up to 4% in Monday’s trading session, driven by robust auto sales data for February 2025. The positive sales performance has boosted investor sentiment, propelling these stocks higher.
Auto Sales Performance in February 2025
TVS Motors reported a 9% year-on-year (YoY) growth in its two-wheeler sales, while M&M registered 14% growth in passenger vehicle sales, backed by strong demand for its SUVs. Ashok Leyland’s commercial vehicle sales surged 12% YoY, reflecting higher demand in the logistics and infrastructure sectors.
Meanwhile, Eicher Motors, the maker of Royal Enfield motorcycles, posted 10% growth in sales, driven by strong exports and domestic demand.
Underperforming Auto Stocks
On the other hand, Tata Motors, Hyundai, Maruti Suzuki, Bajaj Auto, and Hero MotoCorp saw muted performances due to weak sales numbers. Tata Motors reported a 5% drop in passenger vehicle sales, while Hero MotoCorp’s two-wheeler sales declined by 3% YoY.
Market Reaction
The positive sales data sparked investor buying in auto stocks, with TVS Motors rising 3.8%, M&M gaining 4%, Ashok Leyland up 2.5%, and Eicher Motors climbing 3.2%. In contrast, Tata Motors and Hero MotoCorp shares fell by 1.8% and 2.3%, respectively.
Expert Opinion
“The auto sector has shown resilience in February, with companies like TVS Motors, M&M, and Ashok Leyland benefiting from strong demand. However, the mixed performance of other major players highlights the uneven recovery in the sector,” said Rajesh Gupta, Auto Analyst at Axis Securities.
Outlook for Auto Sector
Market experts believe that the auto sector’s growth momentum is likely to continue in the coming months, driven by festive season demand, government infrastructure push, and improved consumer sentiment. Investors are advised to focus on companies with strong product pipelines and consistent sales growth.
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