Eicher Motors Ltd logo

Eicher Motors Ltd

EICHERMOT NSE

Eicher Motors Limited, incorporated in 1982, is the listed company of the Eicher Group in India and a leading player in the Indian automobile industry and the global leader in middleweight motorcycles. Eicher has a joint venture with Sweden’s AB Volvo to create Volvo Eicher Commercial Vehicles Limited (VECV). VECV is engaged in truck and bus operations, auto components business, and technical consulting services business [1]

AI Verdict: BUY Confidence: 7%

Eicher Motors deserves a BUY with a market cap of Rs.2,07,546 Cr, supported by strong profit CAGR of 33% over 5 years, consistent ROE of 24%, and a nearly debt-free balance sheet. The PE of 37.8x is rich but justified by sector-leading growth and 70.6% buy consensus among 34 analysts.

Key Fundamentals

LargecapBikesAutomobiles
Market Cap
2.1L Cr
Volatility
Moderate
P/E Ratio
37.79
EBITDA
₹5,300 Cr
Return on Equity
22.17%
Debt to Equity
0.02
Book Value
₹914.4
EPS
₹152.7
52W High
₹8,230
52W Low
₹5,353

Technical Indicators

Key Insights

Strengths

3
  • Company is almost debt free.
  • Company has delivered good profit growth of 32.8% CAGR over last 5 years
  • Company has been maintaining a healthy dividend payout of 38.7%

Weaknesses

3
  • Stock is trading at 8.28 times its book value
  • Earnings include an other income of Rs.2,229 Cr.
  • Working capital days have increased from 34.0 days to 66.6 days

Growth Rate

Revenue Growth
13.89% ↗
Net Income Growth
19.26% ↗
Cash Flow Change
6.88% ↗
ROE
0.27% ↘
ROCE
-2.83% ↘
EBITDA Margin (Avg.)
-29.64% ↘

AI Analysis — Bull vs Bear

Anthropic anthropic claude-opus-4.6 3d ago
BUY
Risk medium

Eicher Motors deserves a BUY with a market cap of Rs.2,07,546 Cr, supported by strong profit CAGR of 33% over 5 years, consistent ROE of 24%, and a nearly debt-free balance sheet. The PE of 37.8x is rich but justified by sector-leading growth and 70.6% buy consensus among 34 analysts.

Bull Case 8
  • Compounded profit growth of 33% CAGR over 5 years demonstrates exceptional earnings momentum
  • Consistent ROE of 24% last year and 23% over 10 years indicates superior capital efficiency
  • Almost debt-free balance sheet provides financial flexibility and lowers risk during downturns
  • Strong analyst consensus with 70.59% buy ratings (24 out of 34 analysts) reflects institutional confidence
  • Stock CAGR of 38% over 1 year shows strong price momentum and investor interest
  • TTM sales growth of 24% indicates robust demand environment for Royal Enfield motorcycles
  • Healthy dividend payout ratio of 38.7% with 0.92% yield rewards shareholders while retaining capital for growth
  • 10-year compounded sales CAGR of 14% shows durable long-term franchise value
Bear Case 8
  • PE ratio of 37.8x is expensive, leaving limited margin of safety if growth disappoints
  • Price-to-book of 8.31x is elevated, indicating significant premium over tangible asset value
  • Earnings quality concern as other income of Rs.2,229 Cr forms a material portion of profits
  • Working capital days nearly doubled from 34.0 to 66.6 days, signaling potential operational inefficiency
  • TTM profit growth of 17% trails the 5-year CAGR of 33%, suggesting growth deceleration
  • Only 8.82% sell ratings but 20.59% hold ratings (7 analysts) suggest some caution at current levels
  • 10-year stock CAGR of 15% versus 3-year CAGR of 29% implies recent re-rating may not sustain
  • Consumer discretionary sector is cyclical and vulnerable to demand slowdown in a high-interest-rate environment

This is AI-generated analysis, not financial advice. Do your own due diligence.

AI News Digest

Anthropic anthropic claude-opus-4.6 1d ago
Headwinds 6
  • Rs 1.64 crore customs demand Jun 04

    Principal Commissioner of Customs, Kolkata issued Rs 1.64 crore demand over a 2020 shipment. Eicher disputes the claim and plans to appeal.

  • EV transition uncertainty May 27

    Rising petrol prices and EV shift create uncertainty for traditional IC motorcycle manufacturers, requiring effective adaptation to changing consumer preferences.

  • Commodity cost pressure Q1FY27 May 26

    Management expects 3-3.5% commodity cost headwinds in Q1FY27, only partially offset by 1.75% Royal Enfield and ~2% VECV price hikes.

  • Export decline persists Jun 01

    May 2026 motorcycle exports declined 33% YoY and VECV exports fell 17.2%, reflecting global macroeconomic headwinds.

  • Intensifying competition May 27

    Bajaj Auto, TVS Motor, Hero MotoCorp, Harley-Davidson and Honda are increasing pressure on Eicher's market share and pricing power in the premium segment.

  • Valuation above industry median May 27

    Eicher trades above the industry median PE of 27x, with JM Financial maintaining a 'Reduce' rating and target of Rs 7,240.

Positives 8
  • Strong Q4FY26 beat across metrics May 26

    Revenue rose 16% YoY to Rs 6,080 crore, EBITDA grew 20% to Rs 1,514 crore with margin expanding to 24.9%, and net profit of Rs 1,520 crore beat consensus of Rs 1,455 crore.

  • Record annual sales above 1.2M units May 26

    Royal Enfield surpassed 1.2 million units in FY26, its highest-ever annual sales and second consecutive year crossing 1 million. Q4 volumes grew 12% to 313,811 units.

  • Capacity expansion to 2M by FY28 May 26

    Production capacity expanding from 1.4M to 1.6M units by July 2026, with brownfield Tamil Nadu expansion (Rs 958 crore) to 2M by FY28 and new greenfield facility in Andhra Pradesh.

  • May domestic sales up 24% YoY Jun 01

    Total motorcycle sales rose 15% YoY to 1,03,231 units in May 2026, driven by 24% domestic growth. New Bullet 650 launched and Rs 2,500 crore AP facility announced.

  • Bullet 650 launched at Rs 3.65L May 28

    Royal Enfield launched the Bullet 650 in India at Rs 3,64,856 with a 650cc engine, strengthening the premium portfolio.

  • VECV sales up 7.8% in May Jun 01

    VE Commercial Vehicles sold 7,978 units in May 2026, up 7.8% YoY with domestic sales growing 9.1% to 7,375 units.

  • 87% premium segment market share May 26

    Royal Enfield maintained 87% market share in the above-250cc premium motorcycle category in Q4FY26, with 1 in 3 buyers now under 25.

  • Volvo JV for vehicle financing May 26

    Eicher formed a 50:50 JV with Volvo Group for vehicle financing, investing Rs 750 crore to support commercial vehicle sales growth.

Neutral 5
  • Trading window closed from Jul 1 Jun 23

    Eicher Motors shut its trading window for securities from July 1, 2026 until further notice, per insider trading regulations ahead of results.

  • No promoter share encumbrance Jun 18

    Nine promoter entities disclosed no encumbrance on shares under SEBI SAST Regulations 31(4) & (5).

  • Featured as top long-term pick Jun 12

    Equitymaster highlighted Eicher among 3 top long-term stocks, noting 16% sales CAGR and 21% net profit CAGR over five years with ROE of 18%.

  • Analyst meet scheduled Jun 11 Jun 08

    Eicher Motors held a physical group meeting with analysts and institutional investors on June 11, 2026 under Regulation 30.

  • Investor conferences Jun 1-4 May 30

    Eicher Motors met analysts and investors at major conferences from June 1-4, 2026.

TL;DR: Eicher Motors is executing well with record FY26 volumes above 1.2M units, strong Q4 margin expansion to 24.9%, and aggressive capacity build-out toward 2M units by FY28. Domestic demand remains robust with 24% May growth and young buyer demographics strengthening the brand. Key risks include 33% export declines, 3-3.5% commodity cost headwinds in Q1FY27, and longer-term EV transition uncertainty. The trend is improving on domestic volumes and margins, but export weakness and elevated valuations warrant monitoring.

Quarterly Results

  Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Sales
3,804
3,986
4,115
4,179
4,256
4,393
4,263
4,973
5,241
5,042
6,172
6,114
6,080
Expenses
2,871
2,966
3,027
3,089
3,127
3,228
3,175
3,772
3,983
3,839
4,660
4,557
4,566
Operating Profit
934
1,021
1,087
1,090
1,129
1,165
1,088
1,201
1,258
1,203
1,512
1,557
1,514
OPM %
25%
26%
26%
26%
27%
27%
26%
24%
24%
24%
24%
25%
25%
Other Income
379
344
375
368
437
457
468
452
628
603
486
465
675
Interest
8
10
13
12
15
12
13
13
16
15
19
17
20
Depreciation
148
142
143
148
165
169
180
179
201
198
200
211
232
PBT
1,156
1,212
1,307
1,298
1,385
1,441
1,362
1,461
1,669
1,593
1,779
1,793
1,937
Tax %
22%
24%
22%
23%
23%
24%
19%
20%
18%
24%
23%
21%
22%
Net Profit
906
918
1,016
996
1,070
1,101
1,100
1,170
1,362
1,205
1,369
1,421
1,520
EPS in Rs
33.11
33.58
37.12
36.38
39.1
40.2
40.15
42.7
49.68
43.95
49.93
51.79
55.41
Figures in ₹ Crores

Profit & Loss

  Dec 2014Mar 2016 15mMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Sales
8,738
6,173
7,033
8,965
9,797
9,154
8,720
10,298
14,442
16,536
18,870
23,408
Expenses
7,621
4,484
4,859
6,156
6,893
6,971
6,937
8,120
10,996
12,206
14,148
17,622
Operating Profit
1,118
1,690
2,174
2,809
2,904
2,183
1,783
2,178
3,446
4,329
4,723
5,785
OPM %
13%
27%
31%
31%
30%
24%
20%
21%
24%
26%
25%
25%
Other Income
105
326
416
536
701
572
482
496
908
1,521
1,994
2,229
Interest
10
2
4
5
7
19
16
19
28
51
54
72
Depreciation
220
137
154
223
300
382
451
452
526
598
729
840
PBT
993
1,877
2,433
3,116
3,297
2,355
1,798
2,203
3,800
5,202
5,933
7,102
Tax %
29%
29%
30%
30%
33%
22%
25%
24%
23%
23%
20%
22%
Net Profit
702
1,338
1,667
1,960
2,203
1,827
1,347
1,677
2,914
4,001
4,734
5,515
EPS in Rs
22.71
49.27
61.27
71.89
80.75
66.91
49.28
61.32
107
146
173
201
Div. Payout %
22%
20%
16%
15%
15%
19%
34%
34%
35%
35%
41%
41%
Figures in ₹ Crores

Balance Sheet

  Dec 2014Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Equity Capital
27
27
27
27
27
27
27
27
27
27
27
27
Reserves
2,489
3,626
5,318
7,003
8,891
9,954
11,411
12,581
14,963
18,018
21,269
25,073
Borrowings
58
23
112
151
187
249
219
108
288
419
458
514
Other Liabilities
3,829
1,263
1,552
2,341
2,281
2,220
2,901
3,424
3,919
4,650
5,420
6,549
Total Liabilities
6,403
4,939
7,009
9,522
11,387
12,450
14,559
16,140
19,198
23,115
27,174
32,164
Fixed Assets
2,309
790
873
1,502
1,875
2,378
2,433
2,424
2,690
2,914
3,473
4,385
CWIP
419
94
374
333
450
312
314
505
472
555
491
203
Investments
1,078
3,388
4,987
5,581
4,923
5,749
3,902
7,721
12,321
13,527
14,791
17,496
Other Assets
2,597
667
775
2,106
4,140
4,011
7,909
5,490
3,715
6,119
8,419
10,080
Total Assets
6,403
4,939
7,009
9,522
11,387
12,450
14,559
16,140
19,198
23,115
27,174
32,164
Figures in ₹ Crores

Cash Flow

  Dec 2014Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Operating
1,047
1,463
1,708
2,482
1,575
1,694
1,691
1,527
2,823
3,724
3,980
4,805
Investing
-1,214
-1,001
-1,744
-2,145
-660
-1,508
-1,625
-983
-2,397
-2,834
-2,461
-2,964
Financing
-162
-466
25
-262
-292
-858
-15
-593
-417
-844
-1,399
-1,983
Net Cash Flow
-329
-4
-10
75
623
-673
51
-50
8
45
121
-142
Free Cash Flow
79
954
1,161
1,736
786
1,150
1,176
888
2,149
2,909
2,951
3,538
CFO/OP
119
117
109
117
86
106
120
94
104
111
107
107
Figures in ₹ Crores

Ratios

  Dec 2014Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Debtor Days
23
2
3
3
3
3
7
11
9
8
11
6
Inventory Days
41
33
33
31
46
42
62
69
57
57
55
55
Days Payable
96
77
75
92
89
74
108
110
80
85
90
76
Cash Conversion Cycle
-31
-42
-40
-58
-40
-28
-39
-29
-14
-19
-24
-16
Working Capital Days
-35
-47
-55
-64
-42
-44
-30
-15
-14
5
31
67
ROCE %
28%
51%
53%
49%
41%
25%
17%
18%
27%
31%
30%
31%

Shareholding Pattern

As of Mar 2026
Promoters 49.06%
FIIs 26.78%
DIIs 14.82%
Public 7.48%
Others 1.86%
Total 100.00%
  Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Promoters
49.23%
49.22%
49.22%
49.22%
49.21%
49.21%
49.21%
49.21%
49.20%
49.17%
49.16%
49.15%
49.15%
49.11%
49.10%
49.09%
49.08%
49.07%
49.06%
49.06%
49.06%
FIIs
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
28.89%
0.00%
28.95%
28.81%
27.62%
25.43%
25.03%
25.83%
26.98%
27.01%
26.78%
DIIs
8.72%
9.10%
8.32%
9.45%
9.68%
9.86%
9.21%
10.06%
11.28%
10.12%
10.58%
7.95%
11.14%
11.95%
13.76%
16.19%
16.63%
15.76%
14.72%
14.74%
14.82%
Government
0.15%
0.10%
0.10%
0.10%
0.10%
0.10%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
Public
9.74%
9.66%
9.02%
8.92%
8.93%
8.59%
8.37%
8.66%
8.76%
8.25%
9.07%
8.49%
8.50%
8.01%
7.53%
7.41%
7.36%
7.43%
7.31%
7.29%
7.48%
Others
32.16%
31.92%
33.35%
32.31%
32.08%
32.24%
33.21%
32.07%
30.75%
32.45%
2.30%
34.41%
2.25%
2.12%
1.99%
1.87%
1.90%
1.92%
1.92%
1.90%
1.86%
No. of Shareholders
2,50,684
2,58,544
2,49,288
2,71,075
2,63,779
2,34,512
2,38,294
2,60,161
2,66,168
2,45,461
2,80,530
2,48,486
2,63,132
2,56,978
2,47,951
2,46,190
2,49,483
2,54,118
2,52,901
2,60,429
2,80,399

Documents

Frequently Asked Questions about Eicher Motors Ltd

What does Eicher Motors Ltd do?
Eicher Motors Limited, incorporated in 1982, is the listed company of the Eicher Group in India and a leading player in the Indian automobile industry and the global leader in middleweight motorcycles. Eicher has a joint venture with Sweden’s AB Volvo to create Volvo Eicher Commercial Vehicles Li...
Where is Eicher Motors Ltd (EICHERMOT) listed?
Eicher Motors Ltd is listed on the Indian stock exchanges. It is listed on NSE: EICHERMOT and BSE: 505200. You can view its live share price, financials, and ratios on Tapetide.
Which sector does Eicher Motors Ltd belong to?
Eicher Motors Ltd operates in the Consumer Discretionary sector within the Automobiles industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of Eicher Motors Ltd?
Eicher Motors Ltd has a market capitalisation of approximately ₹211468.82 Cr. Based on this, it is classified as a Large Cap stock.
What is the PE ratio of Eicher Motors Ltd?
The Price-to-Earnings (PE) ratio of Eicher Motors Ltd is 37.79. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of Eicher Motors Ltd?
Over the past 52 weeks, Eicher Motors Ltd has traded between a low of ₹5,353 and a high of ₹8,230. This range helps investors understand the stock's price volatility and recent trading levels.
Does Eicher Motors Ltd pay dividends?
Yes, Eicher Motors Ltd has a dividend yield of 0.92%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of Eicher Motors Ltd?
Eicher Motors Ltd has a Return on Equity (ROE) of 22.17%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research Eicher Motors Ltd on Tapetide?
On Tapetide, you can view Eicher Motors Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.

Company Information

Eicher Motors Limited, incorporated in 1982, is the listed company of the Eicher Group in India and a leading player in the Indian automobile industry and the global leader in middleweight motorcycles. Eicher has a joint venture with Sweden’s AB Volvo to create Volvo Eicher Commercial Vehicles Limited (VECV). VECV is engaged in truck and bus operations, auto components business, and technical consulting services business [1]

Website eicher.in
CEO Mr. Siddhartha Vikram Lal PGDME
Employees 5,178
Listed 2004-09-07
Face Value ₹ 1
Issued Size 27,42,99,237

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