Auto Ancillary Stocks To Outperform Auto Majors? Expert Reveals Top Outlook

Auto stocks and ancillary counters are seeing strong buying interest, with Shanti Gears rising sharply and Apollo Tyres gaining after a UBS buy call. Ambareesh Baliga, Market Analyst, says Shanti Gears’ rally is linked to Kuu Investment increasing its stake in the company. He remains bullish on auto ancillaries and believes the segment could offer better opportunities than auto majors. While he continues to favour two-wheelers and passenger vehicle stocks, he expects auto ancillary companies to potentially deliver stronger returns and alpha for investors. The broader auto space remains in focus as demand and investor interest continue to rise.