Block Deal Boosts Bajaj Auto to New Highs: Stock Surges 3.5% on Robust Trading Volumes

Record High for Bajaj Auto Shares Amid Block Deal 

Shares of Bajaj Auto surged to a fresh record high on Wednesday, rising by 3.5% during the trading session. The stock saw robust trading activity, with volumes crossing 4 lakh shares on the NSE within the first one and a half hours of the session. The significant increase in volume can be attributed to a block deal involving 51,350 shares valued at Rs 56.79 crore, executed at Rs 11,019.95 per share.

Strong Performance in September and 2024

Bajaj Auto’s shares have been on a strong upward trajectory in recent months. In September alone, the stock has advanced by 4.40%, and for 2024, it has delivered a remarkable 67.5% gain. This performance reflects the company’s growing market dominance and strategic positioning in the automotive sector.

Impressive August Sales Numbers

In August, Bajaj Auto reported a robust 16% year-on-year increase in overall sales. The domestic 2-wheeler segment saw a significant 30% jump, while exports of commercial vehicles surged by 41% YoY. This growth underscores the company’s strength in both domestic and international markets.

Market Leader in the 2-Wheeler and 3-Wheeler Segments

Bajaj Auto Limited (BAL) is a formidable player in the Indian automotive industry. It is the second-largest player in the domestic motorcycle market by volume and the country’s largest exporter of 2-wheelers. According to the Society of Indian Automobile Manufacturers, BAL held an 18.2% market share in FY24, up from 17.3% in FY23, for motorcycle sales in India, and a 46.3% share in the exports market.

Dominance in the 3-Wheeler Market

BAL also maintains a leading position in the 3-wheeler segment. It commands a 75.5% market share in the passenger carrier segment and around 46.5% in the cargo segment for FY24. Additionally, Bajaj Auto is the largest exporter of 3-wheelers from India, further solidifying its market leadership.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.