**
JP Morgan rates Maruti Suzuki overweight with a target price of Rs 16,415. Analysts placed the stock on positive catalyst watch in April. They expect the first-time buyer segment to keep recovering after GST cuts. The company holds a large share in this segment. Its order book and new capacity should help it gain market share. April-May 2026 wholesale volumes jumped 38% year over year. Retail volumes grew 22% year over year. Retail market share expanded 1.2 percentage points year over year to 40%. The stock has lagged the Nifty Auto index by 4% since the start of FY27. Analysts expect margins to hit a low in the first half of FY27 and then improve in the second half of FY27 and FY28.
Nomura rates M&M buy with a target price of Rs 4,580. Analysts expect capacity and new models to drive growth. The company expects mid-to-high teens volume growth for SUVs in FY27. Most models face high demand but supply faced issues over the past two months. The company expects this to resolve soon. SUV capacity should expand significantly by March 2027. The NU-IQ platform launch will follow. The company plans to launch 10 internal combustion engine vehicles and 6 battery electric vehicles from FY27 to FY31. The Nagpur plant will produce 500,000 SUVs and 100,000 tractors starting in 2028.