The Reasons Behind the Declining Automobile Stocks: Bajaj Auto, Hero MotoCorp Shares Reach a New 52-Week Low, Ola Electric Trades Flat
Arpita Kushwaha March 04, 2025 06:27 PM

Bajaj Auto Share Price: The share price of Bajaj Auto continued its downward trajectory, dropping more than 3% during Tuesday’s intraday trade. The car stocks dropped 3.60% to an intraday low of 7,437.00 on NSE at about 12:08 pm. Over the last week, the price of Bajaj Auto’s shares dropped by more than 10%.

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In February, domestic 2-wheeler sales fell 14%, according to the company’s latest report. According to a report with the exchange, Bajaj Auto sold 146,000 two-wheelers in India in February 2025. Compared to the 171,000 two-wheelers sold in February, this is a 14% decrease. In contrast, the company’s 2-wheeler exports increased by 23% year over year to a total of 153,000 units for the month.

Bajaj Auto had a 3% increase in domestic sales of commercial cars and a 2% decrease in exports.

Stocks of Two-Wheeler Automobiles Are Under Pressure

Hero MotoCorp, Bajaj Auto, and Ola Electric Mobility’s two-wheeler stocks have all seen pressure and recently fell to their 52-week lows. Since its 52-week peak, the car stock has dropped between 40 and 66 percent.

In terms of individual equities, Ola Electric’s shares, which fell to a new low of Rs 53.71 yesterday, recovered somewhat to trade higher today. The shares of the biggest EV two-wheeler producer in India dropped 6% at the BSE on Monday due to high trading volume.

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According to a Bloomberg article, Ola Electric has let go of over 1,000 contract workers and staff in an effort to reduce its growing losses.

Hero MotoCorp’s stock dropped 2.42% to Rs 3,542.90 a share on Tuesday during intraday trading. In today’s trading session, the NSE saw heavy selling till 12:19 pm, which caused it to drop to a new 52-week low of Rs 3,535.50.

Hero MotoCorp announced that overall sales in February decreased by 17% to 388,068 units from 468,410 units during the same month the previous year. In February, the company’s domestic two-wheeler sales dropped 20% to 357,296 units. Nonetheless, this month’s exports of two-wheelers increased 33% to 30,772 units.

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