The Eicher Motors share price fell in early trade after Citi cut target price amid uncertainty on volume growth. Eicher Motors share price fell up to 3% to 19,340 compared to the previous close of 19,938 on BSE. Eicher Motors share price is trading 4.55% away from its 52-week low of 18,780.
Eicher Motors stock has lost 28% during the last one year and is down 15% since the beginning of this year. Eicher Motors turnover stood at Rs 2.82 crore with 1,449 shares changing hands on BSE. Eicher Motors opened at 19550 and hit an intra day high of 19,703 on BSE.
Eicher Motors has traded lower than its 5 day, 20 day, 50 day, 100 day and 200 day moving average. Citi cut consolidated earnings estimate 2-3% over FY19-21. It maintained a buy call on Eicher Motors with target price being cut to Rs 24,700 from Rs 25,200.
Discount to historical average trading multiple reflects uncertainty on volume growth for Eicher Motors, the brokerage said. Eicher Motors is a parent of Royal Enfield that offers middleweight motorcycles in India. Royal Enfield operates in India, and over 40 countries around the world. The company is engaged in manufacturing automobile products and related components. The company operates in business verticals, including motorcycles, commercial vehicles and personal utility vehicles.
Meanwhile, the Sensex and Nifty were rading lower in early trade. The Sensex fell 40 points to 36,027 and Nifty was down 2 points to 10,860.
Edited by Aseem Thapliyal