Mutual Funds Commodities Research Tax Planning IPO Our Team Contact Us  
Google
Web www.equitybulls.com
Research

| More

Demand - still uncertain in PVs, improving in 2Ws and robust in CV - Acuité Ratings

Posted On: 2022-06-06 18:41:25 (Time Zone: IST)


PV Segment

The demand for PVs remained muted on a sequential basis during May'22 as reflected by the domestic sales of top 13 PV players in the country. While the strong YoY growth is somewhat misleading given the favourable statistical base of the pandemic disrupted May'21, the domestic sales witnessed a muted growth of 0.3% MoM in May'22 against April'22.

Says Suman Chowdhury, Chief Analytical Officer, Acuité Ratings & Research Ltd, "In our opinion, the demand pattern in the domestic PV segment is likely to remain volatile in FY23 with the pent up demand factor getting partially offset by the sharply increased fuel prices, increase in vehicle prices led by higher commodity costs as well as longer waiting period for some models over the near term owing to chip shortages."

2W Segment

The overall demand in the 2W segment continued to witness moderate recovery on a sequential basis during May' 22 as per the sales volumes reported by the top 5 players in the industry. The YoY growth reflected in total sales during the month is majorly on account of low base effect. The total sales of the major 5 players in the industry improved by 2.6% MoM during May'22 against April'22.

Says Suman Chowdhury, Chief Analytical Officer, Acuité Ratings & Research Ltd, "The gradual improvement in domestic 2W sales after a period of weak demand reflects better demand environment in the rural economy. We believe that the demand in the 2W segment will continue on its path of recovery in the current year with the expectation of a normal monsoon and another healthy kharif harvest, that will support a further improvement in the rural economy."

CV Segment:

The domestic CV segment in the Indian auto industry continues to be bright spot. It maintained its growth momentum in May'22 marked by a healthy sequential growth in the domestic sales of the top four CV manufacturers. The sales also showed significant growth on a YoY basis albeit on a low base as the sales were significantly impacted during same month last year due to the onset of second Covid wave.

Says Suman Chowdhury, Chief Analytical Officer, Acuité Ratings & Research Ltd, "We believe that the growth momentum in CV sector across the country will continue going ahead owing to growing construction activities across the nation including development of National Highways, Railways, Metro Rail and Airports. Furthermore, the normalization of economic activities, healthy momentum in external trade volumes and high demand from the e-commerce industry is expected to further boost the demand of CVs over the medium term."

Link to the report


Click here to send ur comments or to feedback@equitybulls.com

Disclaimer:The article above is a gist / extract of the original report prepared by the research firm / brokerage firm. This article is not to be considered as an offer to sell or a solicitation to buy any securities. This article is meant for general information only. www.equitybulls.com, its employees or owners or the research firms, its employees or owners won't be responsible for any liability that may arise from information, errors or omissions in these articles. www.equitybulls.com or its employees or owners / the research firms or its employees or clients or owners may from time to time hold positions in securities referred in this article. For detailed research reports, please contact the concerned research firm directly.





Other Headlines:

Gladiator Stocks - Minda Industries - ICICI Direct

Reliance Industries - Company Update - In fine fettle amidst global uncertainty - BUY

Sector Update - Sugar - ICICI Direct

Initiating Coverage - Hindustan Aeronautics Ltd - ICICI Direct

Rallis India - Company Update - Margin pressure likely to persist in near term..!! - Upgrade to 'BUY'

Indoco Remedies - Q4FY22 Result Update - In-line quarter; strong revenue guidance for US & EU mkt - Upgrade to 'BUY'

Indraprastha Gas - Q4FY22 Result Update - Impressive performance - BUY

KEC International - Annual Report Analysis - Healthy outlook across business segment - Accumulate

Westlife Development - Q4FY22 Result Update - Approaching the tipping point; Buy for LT Gains

Reliance Research downgrades Bajaj Auto to Sell

NOCIL - Q4FY22 Result Update - Strong operating performance amidst challenges - BUY

Gujarat Gas - Company Update - Deftly negotiating through tough times - BUY

Orient Electric - Gaining market share via innovation: initiate with ADD - ICICI Securities

Manappuram Finance - Q4FY22 Result Update - Intense Competition Put Pressure on Yields - BUY

Derivatives Weekly View - June 24, 2022 - ICICI Direct

Stock Tales - Newgen Software - ICICI Direct

Weekly Report - June 25, 2022 - Mr. Mitul Shah - Head of Research at Reliance securities

Gladiator Stocks - Bosch - ICICI Direct

Management Meet Update - Sheela Foam - ICICI Direct

Gladiator Stocks - Mahindra & Mahindra - ICICI Direct

Banks - Modifications to PPI and its impact on cards - Negligible impact, if any, for stocks under coverage

LIC Housing Finance - Q4FY22 Result Update - Fixed rate liabilities could cushion NIM - BUY

Navneet Education - Q4FY22 Result Update - Growth levers in place - BUY

MPC Minutes: Jun-22: All eyes on inflation - Acuité Ratings

Nazara Technologies - Management Meet Update - Breaking through the ESports landscape - BUY

Sector update - Quick Service Restaurants - YES Securities

JK Lakshmi Cement - Q4FY22 Result Update - Strong performance; Valuations drive upgrade - Accumulate

Would it be wise to invest in a home early in your career?

Dr. Reddy's Laboratories - Analyst Meet Update - Multiple growth initiatives - BUY

Dhanuka Agritech - Management Meet Update - 1Q likely to be subdued; all hopes pinned on the monsoons - BUY

BUY Ipca Laboratories - Q4FY22 Result Update - Weak exports; gradual recovery

Acuité expects India's current account deficit to widen to more than USD 90 bn in FY23 - Acuité Macro Pulse

Inflationary concerns will continue to weigh on the pace of economic revival in FY23 - Acuité Macroeconomic Performance index

City Union Bank - Q4FY22 Result Update - Asset quality on the mend - BUY

Banks - BNPL - Early results are not that exciting as yet - Kotak

Acuité expects FY23 GDP growth estimate at 7.5% - Acuité Macro Pulse - Growth - May-22 Edition

Base factor pushes up IIP in Apr-22 to an 8-month high - Acuité Ratings

India Strategy & Q4FY22 Review - Long term growth prospects to overshadow near term uncertainties

India Equity Strategy - Quarterly flipbook: Q4FY22-Cost inflation driving downgrades

FMCG - D2C is here to stay; omni-channel the way forward - HDFC Securities

Automobile Sector - Monthly Quick View - May'22 - Steady Performance Improvement, backed by Gradual Rural Recovery

BFSI - New normal rate cycle; brace for transmission effects - HDFC Securities

SBI Cards and Payment Services - BUY - TP Rs. 1260 - YES SECURITIES

RBI frontloads rate hike amid increased inflationary headwinds - Acuité Ratings

Monetary Policy June 2022 - Axis MF Views

RBI Monetary Policy View - Mr. Dhiraj Relli, MD & CEO, HDFC Securities

Monetary Policy - entering the red zone - Anuj Puri, ANAROCK

Mr. Murali Ramakrishnan, MD &CEO, South Indian Bank on RBI Monetary Policy

Comments on RBI's MPC Policy Jun'22 - Acuité Ratings

Views on RBI Monetary Policy - June 2022


Website Created & Maintained by : Chennai Scripts
West Mambalam, Chennai - 600 033,
Tamil Nadu, India

disclaimer copyright © 2005 - 2020