Hyundai Motor India’s shares could tumble more than 26% from their current levels, warns a fresh report from brokerage firm InCred Equities. The analysts stick with their “Reduce” rating and set a target price of just Rs 2,023 per share—well below the stock’s recent close of Rs 2,737.
The buzz around a recent government tweak to GST rates has car buyers excited, but InCred says it won’t do much for Hyundai’s sales. “Hyundai relies heavily on big SUVs, exports, and parts sales for about 70% of its revenue,” explains Pramod Amthe from InCred. “That setup means the GST cut won’t spark a big demand surge for their cars.”
As India’s second-biggest carmaker, Hyundai already faces tough times in the market. In August, total sales fell 4.23% to 60,501 units, down from 63,175 the year before. Domestic numbers looked even worse, dropping to 44,001 units from 49,525. Exports offered a bright spot, though, jumping 21% to 16,500 units.
Hyundai’s top execs remain upbeat about the company’s global push. Whole-time Director and COO Tarun Garg recently highlighted plans to make India the brand’s top export base outside South Korea. From January to August this year, Hyundai shipped out 118,840 units, boosting its role in worldwide manufacturing.
The company ties into India’s “Make in India” and “Atmanirbhar Bharat” drives, expanding factories and jobs. Still, experts like those at InCred predict short-term headaches for the stock amid shifting taxes and buyer trends. Investors keep a close eye on how automakers like Hyundai adapt to India’s evolving car market.
Adding to the pressure, Hyundai’s net profit for the first quarter of fiscal year 2026 (ended June 30) slipped 8% year-over-year to Rs 1,369.23 crore, from Rs 1,489.65 crore the previous year.
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