Hero MotoCorp Limited

BSE:500182 Stock Report

Market Cap: ₹868.0b

Hero MotoCorp Valuation

Is 500182 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 500182 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 500182 (₹4339.85) is trading above our estimate of fair value (₹2054.89)

Significantly Below Fair Value: 500182 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 500182?

Key metric: As 500182 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 500182. This is calculated by dividing 500182's market cap by their current earnings.
What is 500182's PE Ratio?
PE Ratio21x
Earnings₹41.38b
Market Cap₹867.97b

Price to Earnings Ratio vs Peers

How does 500182's PE Ratio compare to its peers?

The above table shows the PE ratio for 500182 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average54.3x
532343 TVS Motor
60.2x22.9%₹1.1t
505200 Eicher Motors
30.4x11.1%₹1.3t
BAJAJ-AUTO Bajaj Auto
33.3x16.6%₹2.5t
531795 Atul Auto
93.1xn/a₹15.9b
500182 Hero MotoCorp
21x11.8%₹868.0b

Price-To-Earnings vs Peers: 500182 is good value based on its Price-To-Earnings Ratio (21x) compared to the peer average (54.3x).

Price to Earnings Ratio vs Industry

How does 500182's PE Ratio compare vs other companies in the Asian Auto Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
500182 21.0xIndustry Avg. 19.1xNo. of Companies10PE01224364860+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 500182 is expensive based on its Price-To-Earnings Ratio (21x) compared to the Asian Auto industry average (18.8x).

Price to Earnings Ratio vs Fair Ratio

What is 500182's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

500182 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21x
Fair PE Ratio30.4x

Price-To-Earnings vs Fair Ratio: 500182 is good value based on its Price-To-Earnings Ratio (21x) compared to the estimated Fair Price-To-Earnings Ratio (30.4x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 500182 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹4,339.85
₹5,306.57
+22.3%
14.8%₹6,664.00₹3,430.00n/a37
Dec ’25₹4,758.65
₹5,324.79
+11.9%
14.7%₹6,664.00₹3,430.00n/a38
Nov ’25₹5,019.50
₹5,504.32
+9.7%
15.3%₹7,000.00₹3,300.00n/a38
Oct ’25₹5,749.55
₹5,406.31
-6.0%
15.0%₹7,000.00₹3,350.00n/a39
Sep ’25₹5,451.05
₹5,378.68
-1.3%
13.9%₹6,620.00₹3,350.00n/a40
Aug ’25₹5,369.85
₹5,249.59
-2.2%
15.8%₹6,620.00₹3,450.00n/a39
Jul ’25₹5,602.25
₹5,100.31
-9.0%
15.6%₹6,450.00₹3,000.00n/a39
Jun ’25₹5,119.60
₹5,008.44
-2.2%
16.0%₹6,057.00₹3,000.00n/a39
May ’25₹4,542.40
₹4,888.32
+7.6%
16.8%₹6,057.00₹2,750.00n/a38
Apr ’25₹4,683.30
₹4,803.03
+2.6%
18.6%₹6,057.00₹2,750.00n/a39
Mar ’25₹4,504.40
₹4,811.62
+6.8%
18.6%₹6,057.00₹2,750.00n/a39
Feb ’25₹4,586.90
₹4,017.63
-12.4%
17.9%₹5,325.00₹2,750.00n/a38
Jan ’25₹4,115.65
₹3,566.67
-13.3%
15.0%₹4,579.00₹2,521.00n/a39
Dec ’24₹3,758.55
₹3,396.60
-9.6%
12.7%₹4,350.00₹2,521.00₹4,758.6540
Nov ’24₹3,092.20
₹3,269.00
+5.7%
11.7%₹3,980.00₹2,470.00₹5,019.5040
Oct ’24₹3,056.95
₹3,215.69
+5.2%
12.7%₹3,980.00₹2,344.00₹5,749.5539
Sep ’24₹2,927.05
₹3,188.73
+8.9%
12.7%₹3,980.00₹2,344.00₹5,451.0540
Aug ’24₹3,103.00
₹3,077.74
-0.8%
12.2%₹3,840.00₹2,344.00₹5,369.8538
Jul ’24₹2,909.40
₹2,957.62
+1.7%
11.5%₹3,650.00₹2,200.00₹5,602.2537
Jun ’24₹2,800.95
₹2,872.50
+2.6%
10.1%₹3,650.00₹2,200.00₹5,119.6038
May ’24₹2,555.25
₹2,824.62
+10.5%
10.4%₹3,378.00₹2,170.00₹4,542.4037
Apr ’24₹2,347.15
₹2,865.22
+22.1%
11.0%₹3,380.00₹2,150.00₹4,683.3037
Mar ’24₹2,432.75
₹2,901.05
+19.2%
10.7%₹3,380.00₹2,150.00₹4,504.4039
Feb ’24₹2,726.90
₹2,919.51
+7.1%
10.7%₹3,430.00₹2,100.00₹4,586.9039
Jan ’24₹2,737.05
₹2,903.36
+6.1%
10.6%₹3,430.00₹2,150.00₹4,115.6539
Dec ’23₹2,869.85
₹2,903.28
+1.2%
10.5%₹3,430.00₹2,150.00₹3,758.5540

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/20 16:12
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Hero MotoCorp Limited is covered by 88 analysts. 37 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Piyush ParagAlmondz Global Securities Ltd
Jinesh GandhiAmbit Capital
null nullAnand Rathi Shares and Stock Brokers Limited