Ather Energy shares soar 7% but Nomura India target suggests downside
Nomura India retained its 'Buy' rating on the stock with a target of Rs 458, which was breached on Monday as the stock jumped 6.96 per cent to hit a high of Rs 481 on BSE.
- Sep 1, 2025,
- Updated Sep 1, 2025 11:14 AM IST
Shares of Ather Energy climbed 7 per cent in Monday's trade after brokerages attended Ather Energy’s Community Day 2025, that saw unveiling of EL01, the first model on the modular EL platform, allowing for 15 per cent faster assembly, 2 times quicker servicing and an extended 10,000km service interval.
The management showcased Project Redux, a concept moto-scooter featuring adaptive dynamics, posture-shifting, Morph-UI and a ‘Take Off’ mode. It also introduced AtherStack 7.0 with AI voice, advanced safety alerts and enhanced anti-theft features. Ather Energy is targeting 700 experience centres by end-FY26E (from now 500-plus) with growth focused on Central and North regions.
Nomura India retained its 'Buy' rating on the stock with a target of Rs 458, which was breached on Monday as the stock jumped 6.96 per cent to hit a high of Rs 481 on BSE.
"With the EL platform reveal, we believe Ather continues to strengthen its position as a technology and innovation leader in the electric two-wheelers space, highlighting its focus on enhancing the overall rider experience. Additionally, the success of the next-gen fast-charging rollout and the timely commissioning of the Aurangabad facility will determine how quickly Ather can ramp production and maintain its competitive edge in the ecosystem," Nomura said.
Nomura said it expects overall EV penetration to rise from 6 per cent in FY25 to 19 per cent by FY30F. It said Ather is a key play on the significant growth potential of EVs.
"We estimate its volumes to rise at a CAGR of ~41% over FY25-28F, from 155k units in FY25 to 436k units in FY28F. This will be backed by the doubling of its stores from ~350 (March-25), launch of the “EL” platform in FY27, and the “Zenith” motorcycle platform down the line. Our target price of Rs 458 is derived using 3.3x EV/sales based on average FY27-28F sales," Nomura said.
The foreign brokerage said Ather currently trades at 2.6x FY28 EV/sales, in line with high-growth peers.
Shares of Ather Energy climbed 7 per cent in Monday's trade after brokerages attended Ather Energy’s Community Day 2025, that saw unveiling of EL01, the first model on the modular EL platform, allowing for 15 per cent faster assembly, 2 times quicker servicing and an extended 10,000km service interval.
The management showcased Project Redux, a concept moto-scooter featuring adaptive dynamics, posture-shifting, Morph-UI and a ‘Take Off’ mode. It also introduced AtherStack 7.0 with AI voice, advanced safety alerts and enhanced anti-theft features. Ather Energy is targeting 700 experience centres by end-FY26E (from now 500-plus) with growth focused on Central and North regions.
Nomura India retained its 'Buy' rating on the stock with a target of Rs 458, which was breached on Monday as the stock jumped 6.96 per cent to hit a high of Rs 481 on BSE.
"With the EL platform reveal, we believe Ather continues to strengthen its position as a technology and innovation leader in the electric two-wheelers space, highlighting its focus on enhancing the overall rider experience. Additionally, the success of the next-gen fast-charging rollout and the timely commissioning of the Aurangabad facility will determine how quickly Ather can ramp production and maintain its competitive edge in the ecosystem," Nomura said.
Nomura said it expects overall EV penetration to rise from 6 per cent in FY25 to 19 per cent by FY30F. It said Ather is a key play on the significant growth potential of EVs.
"We estimate its volumes to rise at a CAGR of ~41% over FY25-28F, from 155k units in FY25 to 436k units in FY28F. This will be backed by the doubling of its stores from ~350 (March-25), launch of the “EL” platform in FY27, and the “Zenith” motorcycle platform down the line. Our target price of Rs 458 is derived using 3.3x EV/sales based on average FY27-28F sales," Nomura said.
The foreign brokerage said Ather currently trades at 2.6x FY28 EV/sales, in line with high-growth peers.