Auto Stocks Close Mixed on May 2; Maruti, Tata Motors Shine Amid April Sales Boost

Automobile stocks ended with mixed results on May 2, as investors reacted to the latest April sales figures across the sector. While passenger vehicle makers like Maruti Suzuki and Tata Motors posted gains on the back of robust domestic demand, others such as Eicher Motors and Bajaj Auto closed in the red amid concerns over softer performance and export volatility.

The Nifty Auto index ended the session marginally lower at 22,286.50, down 0.10%, underlining cautious optimism across the sector.

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Winners: Maruti, Tata Motors Drive Ahead

Maruti Suzuki emerged as a key gainer, closing at Rs 12,390 with a 1.09% rise on the NSE. The uptick followed a solid 7% year-on-year growth in April sales, which touched 1.8 lakh units. The company also reported a 26% increase in exports, boosting investor confidence in its overseas performance, as per industry analysts.

Tata Motors also finished strong, adding 1.20% to close at Rs 652.00. The company’s steady sales momentum and continued focus on EVs helped keep sentiment positive.

TVS Motor Company closed at Rs 2,710.00, gaining 1.42%. The two-wheeler major reported a 16% rise in overall sales last month, with electric vehicle sales surging by 59%. The company’s robust export performance, which rose 45% in April, also supported the uptrend.

Hyundai Motor India ended the session with a slight increase of 0.15%, closing at Rs 1,710.00.

Mahindra & Mahindra: Steady Performer

The stock showed limited movement through the day, reflecting investor caution despite the brand’s consistent presence in the passenger vehicle segment.

Mahindra & Mahindra shares saw a subdued finish, settling at Rs 2,918.60, down 0.35%. While April sales held steady, market participants appear to be awaiting further cues on the company’s utility vehicle performance and rural demand trends before turning more bullish, as per industry analysts.

Losers: Bajaj, Eicher Under Pressure

On the flip side, Bajaj Auto shares declined 2.75% to settle at Rs 7,809.00 after the company posted a 6% drop in April sales. Weaker two-wheeler demand and export softness weighed on investor sentiment.

Eicher Motors also came under pressure, shedding 2.50% to close at Rs 5,428.00. Despite resilience in its premium motorcycle brand Royal Enfield, muted domestic growth and a tepid global outlook dragged the stock lower.

Sector Outlook

While April’s numbers painted a broadly positive picture for the industry, analysts remain cautious of input cost pressures, rising competition in the EV space, and potential global headwinds. However, the strong uptick in domestic passenger vehicle and electric scooter sales suggests sustained demand momentum heading into the summer months.