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BAJAJ-AUTO: E Rickshaw Launch And Board Review Will Shape Balanced Outlook

BAJAJ-AUTO: Supply Constraints Will Ease While Margins Remain Steady This Year

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BAJAJ-AUTO
AnalystConsensusTarget
Not Invested
Published 07 Nov 2024

Update shared on 06 Dec 2025

Fair value Increased 0.19%
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AnalystConsensusTarget's Fair Value
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1Y
-0.7%
7D
-1.1%

Analysts have nudged their price target on Bajaj Auto slightly higher to approximately ₹9,606 from about ₹9,588, citing incremental adjustments to discount rates, revenue growth assumptions, profit margins, and forward valuation multiples that modestly lift their fair value estimate.

What's in the News

  • Bajaj Auto has entered the e rickshaw market with the launch of the Bajaj Riki passenger model (P4005). It offers a claimed segment leading range of 149 km, fast charging in 4.5 hours, a monocoque chassis, independent suspension, hydraulic brakes, and a 3 year battery warranty (company announcement).
  • The Bajaj Riki P4005 passenger variant, part of the new P40 series, is equipped with a 5.4 kWh battery and is priced at INR 1,90,890 ex showroom. It targets value conscious urban and semi urban drivers (company announcement).
  • Bajaj Auto has also launched the Riki C4005 cargo model with a certified range of 164 km, a larger tray size for higher earning potential, 28 percent gradeability for slopes and flyovers, and pricing at INR 2,00,876 ex showroom (company announcement).
  • The company has scheduled a board meeting on November 07, 2025 to review and approve unaudited standalone and consolidated financial results for Q2 and the half year ended September 30, 2025, along with limited review reports and a press release (regulatory filing).

Valuation Changes

  • Fair Value Estimate was nudged up slightly to approximately ₹9,606 from about ₹9,588, reflecting minor model refinements.
  • The Discount Rate inched higher to about 18.32 percent from roughly 18.23 percent, implying a marginally more conservative risk assessment.
  • Revenue Growth was trimmed slightly to around 9.94 percent from about 9.98 percent, indicating a modestly softer growth outlook.
  • Net Profit Margin edged down to roughly 16.65 percent from about 16.69 percent, incorporating slightly lower long term profitability assumptions.
  • The Future P/E Multiple increased modestly to around 35.9x from about 35.6x, supporting a small uplift in the overall valuation.

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Disclaimer

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