Nomura expects strong India Sept auto sales, growth to taper off in coming months

TVS Motor

29/09/2026 07:30

** Nomura expects upbeat demand for Indian auto companies in September, with broad-based retail growth across segments despite recent price hikes
** September passenger vehicle wholesale volume growth seen at 21% YoY, medium- and heavy-commercial vehicle growth expected at 25%, the brokerage says
** Adds that sustainability of growth will be important amid higher-base period from October 2026
** "We estimate low single-digit growth across segments in 2HFY27F, but need to monitor if rising inflation, interest rates and further price increases can impact demand in the future"
** Prefers Mahindra & Mahindra MAHM.NS, Hyundai India HYUN.NS, Ather Energy ATHR.NS, TVS Motor TVSM.NS and Sona Comstar SONB.NS within its coverage universe
** Nifty Auto index .NIFTYAUTO down 0.3% on Tuesday, vs benchmark Nifty 50's .NSEI 0.2% drop
** YTD, auto index down 6.3%, while Nifty 50 down 13.1%

 (Reporting by Vivek Kumar M)
 ((VivekKumar.M@thomsonreuters.com;))