The brokerage has maintained its “buy” rating on Ather Energy, and has raised its price target to ₹1,150 from ₹1,000 earlier. The revised price target implies an upside potential of 32% from Wednesday’s closing levels.
Ather Energy remains the preferred stock for Emkay to play the electric two-wheeler theme, that it continues to like.
Emkay wrote in its note that there will be a mega shift towards electrification in the automobiles segment and this shift is likely to be a structural one, similar to the one seen from scooters to motorcycles in the 1990s.
This shift is likely to be further expedited due to fears of higher fuel prices due to the ongoing crisis in West Asia, that has hampered energy supply globally.
For Ather, Emkay has raised its financial year 2027 and 2028 volume estimates by 2.6% and 4.6% respectively.
Besides Ather, Emkay also likes TVS Motor within this space, due to its ability to capture evolving consumer preferences.
All nine analysts who have coverage on Ather Energy have a “buy” rating on the stock. The consensus estimates of price targets implies an upside potential of 3.5% from current levels.
Emkay’s price target of ₹1,150 on Ather, is the highest on the street for the stock.
Shares of Ather Energy ended 4% lower on Wednesday at ₹871.8. The stock has risen nearly 20% so far this year and is up 190% over the last 12 months.
