Maruti Suzuki share price target 2026: Morgan Stanley has maintained a bullish outlook on Maruti Suzuki India’s stock, indicating an upside potential on 37 per cent, a day after the country’s largest carmaker announced that it will raise prices of its models across its entire portfolio by up to Rs 30,000 from June.
At 10:48 AM today, shares of Maruti Suzuki were trading at Rs 1,3034.40, up 0.21 per cent from the previous close.
Created with AI. Errors are possibleMorgan Stanley on Maruti Suzuki
Morgan Stanley has maintained an ‘Overweight’ rating on Maruti Suzuki with a target price of Rs 17,895. The brokerage expects margins to trough in Q1FY27 due to commodity inflation and brownfield expansion costs.
– Brokerage estimates effective price hike at around 1%.
– Commodity cost tracker suggests 250-300 bps cost headwind in Q1 FY27.
– Peers M&M, Hyundai and Tata have already raised prices this year.
Maruti Suzuki India on Thursday said it will hike prices of its vehicles prices across models by up to Rs 30,000 from June 2026 citing inflationary pressures and adverse cost environment.
The company has decided to increase prices of its models across its portfolio by up to Rs 30,000 with effect from June 2026, Maruti Suzuki India said in a regulatory filing.
“For the past few months, the company has been making continuous efforts to mitigate the cost impact to the extent possible through cost reduction measures,” it added.
However, it further said, “With inflationary pressures now at elevated levels and the adverse cost environment persisting, the company has to pass on a portion of the increased costs to the market, while continuing to ensure that the impact on customers is kept to the minimum extent possible.”
Maruti Suzuki India currently sells a range of vehicles from entry level S-Presso to premium utility vehicle Invicto priced between Rs 3.49 lakh and Rs 28.7 lakh (ex-showroom).
Last year in September after GST 2.0 kicked in, the company had cut prices of entry-level model S Presso by up to Rs 1,29,600; Alto K10 by up to Rs 1,07,600; Celerio by Rs 94,100 and Wagon-R by up to Rs 79,600, among others.
Last month, Maruti Suzuki India (MSI) announced its quarterly results for the January-March period (Q4 FY26). Besides, the Board of Directors of Maruti Suzuki also recommended a dividend of Rs 145 for the financial year 2025-26. It had given a dividend of Rs 135 per share in FY2024-25.
Maruti Suzuki reported a 6.9 per cent year-on-year decline in its consolidated net profit to Rs Rs 3,590.5 crore in the reporting quarter from Rs Rs 3,857.3 crore posted in the year-ago period, due to mark-to-market impact despite record vehicle sales. The auto major had posted a net profit of Rs 3,911.1 crore in the same quarter of the preceding fiscal.
The decline in the net profit is primarily due to mark-to-market impact, the company said, adding that there was lower non-operating income, a notional loss due to a change in bond yields, which can be recovered at a later stage.
The company’s revenue from operations increased 28.2 per cent YoY to Rs 52,449 crore in the fourth quarter. It stood at Rs 40,910 crore in the same quarter the previous year.
EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) for the reporting quarter came in at Rs 6,157 crore, representing a growth of 27.1% YoY from Rs 4,842.6 crore reported in the year-ago period. EBITDA Margin declined 10 bps YoY to 11.7 per cent in Q4 FY26 against 11.8 per cent in Q4 FY25.
Net sales crossed the Rs 50,000 crore milestone for the first time in the fourth quarter, the company said.
Total expenses in the quarter under review were higher at Rs 48,125.3 crore compared to Rs 37,585.5 crore in the year-ago period, the company said in a regulatory filing.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money-related decisions.)
