Nomura has maintained a Neutral rating on Maruti Suzuki with a target price of ₹13,290, following Suzuki’s new mid-term plan for FY25-30E (India FY26E-31E). The plan outlines ambitious goals, including:
- 50% market share in India,
- 4 million units capacity to meet domestic and export demand, and
- Becoming the No. #1 player in production, exports, and BEV sales.
Nomura believes the plan is strategically positive, with a greater focus on investment in new technologies, planning, development, and exports. However, the domestic volume target of 2.54 million units (implying a 5% CAGR) seems reasonable but may require more aggressive growth to achieve the 50% market share target.
Nomura remains cautious on Maruti Suzuki’s near-term outlook but acknowledges the long-term potential if the company successfully executes its strategic initiatives and growth plans.
