Eicher Motors Limited (EICHERMOT) AI Stock Analysis

• Market Cap: ₹1.91T
• Dividend Yield: 1%
• Average Volume (3M): 26.26K
• Price to Earnings (P/E): 39.5
• Beta (1Y): 1.03
• Revenue Growth: 15.21%
• EPS Growth: 15.48%
• Country: IN
• Employees: 5,249
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Manufacturers
• EPS (TTM): 44.10
• Shares Outstanding: 274,277,980
• 10 Day Avg. Volume: 26,403
• 30 Day Avg. Volume: 26,263
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹6,613.23
• Price Target Upside: -5.15% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 69 Neutral
• Price Target: ₹5,985.00 ▼(-14.16% Downside)

Eicher Motors boasts strong financial performance with significant revenue growth and high profitability margins. However, technical indicators point to bearish momentum, and the high P/E ratio suggests potential overvaluation. The lack of significant corporate events or earnings call insights further consolidates the current assessment.

Eicher Motors Limited Business Overview & Revenue Model

Company Description

Eicher Motors Limited, an automobile company, manufactures and sells motorcycles and commercial vehicles in India and internationally. It owns the Royal Enfield motorcycle brand that offers Classic, Bullet, Himalayan, Interceptor INT 650, Classic 350, Scram 411 ADV Crossover, Meteor 350, Continental GT 650, and Thunderbird models. In addition, the company designs, develops, manufactures, assembles, and sells two-wheelers, as well as sells related parts and accessories and apparel. It offers through its joint venture, Volvo Eicher Commercial Vehicles Limited, manufactures and sells light and medium duty trucks, heavy duty trucks, and buses under the Eicher brand; Volvo trucks; and engineering components and aggregates. The company was founded in 1948 and is headquartered in Gurugram, India.

How the Company Makes Money

Eicher Motors Limited generates revenue through multiple streams, primarily focusing on its two-wheelers and commercial vehicles segments. The company earns a significant portion of its income from the sale of Royal Enfield motorcycles, which are marketed both domestically and internationally. This includes various models ranging from classic to modern motorcycles, catering to different consumer preferences. Additionally, through its joint venture with Volvo Group, Eicher Motors produces and sells commercial vehicles under the VE Commercial Vehicles Limited banner, contributing to its revenue. The company also benefits from after-sales services, spare parts, and accessories sales, which enhance its earnings. Furthermore, strategic partnerships and collaborations, such as the one with Volvo, aid in expanding its product range and market reach, thus bolstering its revenue streams.

Eicher Motors Limited Financial Statement Overview

Summary

Eicher Motors Limited demonstrates strong financial health with significant revenue growth, high profitability margins, and efficient cash management. The low debt-to-equity ratio and high equity ratio indicate financial stability, though the conservative capital structure might limit growth opportunities.

Income Statement

Eicher Motors Limited has shown strong revenue growth, with a significant increase from 162.34 billion to 185.38 billion in the latest year, a growth rate of approximately 14.2%. The company maintains a high gross profit margin of 34.8% and a net profit margin of 25.5%, indicating strong profitability. EBIT and EBITDA margins are also robust at 21.5% and 36.2%, respectively, underscoring efficient operations. Overall, the income statement reflects a well-performing company with strong growth and profitability.

Balance Sheet

The balance sheet of Eicher Motors is strong, with a low debt-to-equity ratio of 0.02, indicating conservative leverage. The equity ratio is high at 78.3%, demonstrating financial stability and effective asset management. Return on equity stands at 22.2%, which is a healthy indicator of profitability for shareholders. However, the company's high equity ratio may suggest a conservative capital structure, potentially limiting growth opportunities.

Cash Flow

Eicher Motors exhibits a solid cash flow position, with a free cash flow of 29.41 billion. The free cash flow has decreased slightly compared to the previous year, but the company maintains a strong operating cash flow to net income ratio of 0.84, indicating efficient cash generation. The free cash flow to net income ratio is also robust at 0.62, highlighting the company's ability to generate cash relative to its net income. Overall, the cash flow statements suggest efficient cash management and operational effectiveness.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	189.91B	185.38B	162.34B	141.76B	101.27B	86.94B
Gross Profit	76.21B	59.26B	70.98B	59.64B	41.71B	34.71B
EBITDA	64.69B	67.17B	53.98B	40.34B	26.11B	22.34B
Net Income	47.34B	47.34B	40.01B	29.14B	16.77B	13.47B
Balance Sheet
Total Assets	271.74B	271.74B	231.28B	191.98B	162.01B	145.59B
Cash, Cash Equivalents and Short-Term Investments	39.79B	37.97B	14.58B	10.50B	31.21B	68.95B
Total Debt	4.58B	4.58B	4.19B	2.88B	1.08B	2.19B
Total Liabilities	58.78B	58.78B	50.82B	42.07B	35.93B	31.21B
Stockholders Equity	212.96B	212.96B	180.46B	149.90B	126.08B	114.38B
Cash Flow
Free Cash Flow	0.00	29.41B	30.87B	21.65B	8.86B	11.59B
Operating Cash Flow	0.00	39.80B	39.06B	28.23B	15.27B	16.91B
Investing Cash Flow	0.00	-24.83B	-30.59B	-24.22B	-9.83B	-16.25B
Financing Cash Flow	0.00	-13.99B	-8.19B	-4.17B	-5.93B	-147.60M

Eicher Motors Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6972.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:EICHERMOT, the sentiment is Positive. The current price of 6972.5 is above the 20-day moving average (MA) of 6548.53, above the 50-day MA of 5973.51, and above the 200-day MA of 5363.80, indicating a bullish trend. The MACD of 295.47 indicates Negative momentum. The RSI at 77.82 is Negative, neither overbought nor oversold. The STOCH value of 88.16 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:EICHERMOT.

Eicher Motors Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HEROMOTOCO	79 Outperform	1.08T	21.48	22.72%	3.05%	3.30%	23.39%
TATAMOTORS	76 Outperform	2.61T	12.30	24.24%	0.85%	-1.08%	-34.23%
BAJAJ.AUTO	75 Outperform	2.50T	32.98	20.82%	2.34%	12.27%	-4.25%
HYUNDAI	71 Outperform	2.28T	41.33	34.61%	0.75%	-2.62%	-11.26%
EICHERMOT	69 Neutral	₹1.91T	39.51		1.00%	15.21%	15.48%
TVSMOTOR	59 Neutral	1.68T	70.31	26.29%	0.28%	14.06%	39.28%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Eicher Motors Limited Corporate Events

Eicher Motors Releases Q1 2025 Financial Results Conference Call Recording

Eicher Motors Limited announced the availability of an audio recording from their recent conference call discussing the financial results for the first quarter ended June 30, 2025. This announcement is part of their compliance with SEBI regulations, and the recording is accessible on their website, providing stakeholders with insights into the company’s financial performance and strategic direction.

Eicher Motors Releases Q1 FY 2026 Investor Presentation

Eicher Motors Limited has released an investor presentation in compliance with Regulation 30 of the SEBI (LODR) Regulations, 2015. This announcement is part of the company’s efforts to maintain transparency with its stakeholders and provide insights into its financial performance and strategic direction for the first quarter of the fiscal year 2026.

Eicher Motors Announces 43rd AGM and Annual Report Availability

Eicher Motors Limited has announced the dispatch of letters to shareholders regarding the availability of the Notice for the 43rd Annual General Meeting (AGM) and the Integrated Annual Report for FY 2024-25. The AGM is scheduled for August 21, 2025, and will be conducted via video conferencing. This move ensures shareholders are informed and can access important company documents online, reflecting Eicher Motors’ commitment to transparency and stakeholder engagement.

Eicher Motors to Hold 43rd AGM via Video Conferencing, Announces Dividend

Eicher Motors Limited has announced that its 43rd Annual General Meeting (AGM) will be held on August 21, 2025, via video conferencing. The company has set August 1, 2025, as the record date for determining shareholder eligibility for a dividend payment of Rs. 70 per equity share, pending shareholder approval. This move reflects the company’s adaptation to digital methods for shareholder engagement and its commitment to maintaining shareholder value through dividend distribution.

Eicher Motors’ Subsidiary Faces GST Demand Notice

Eicher Motors Limited announced that its subsidiary, VE Commercial Vehicles Limited, has received a demand cum show cause notice from the Commissioner of CGST & Central Excise in Ujjain, Madhya Pradesh. The notice pertains to alleged contraventions of the CGST Act, 2017, for the fiscal year 2017-18, demanding GST payment of Rs. 168.19 Crores with penalties and interest. The company, however, believes the demand is not maintainable and is assessing the situation to respond within the stipulated time. Eicher Motors does not foresee any significant impact on its financials or operations due to this notice.