Bajaj Auto, Tata Motors, Mahindra & Mahindra, Eicher Motors and Hero MotoCorp were among major gainers on NSE in today's session. Automobile stocks witnessed strong buying and majority of stocks in the sector were trading firm. NSE Nifty closed the day with 0.81 percent gains at 24,625. The markets were trading firm since morning and investors have a strong start for September. Bajaj Auto shares were up by 4.01 percent while M&M gained 3.52 percent. Hero MotoCorp gained 3.18 percent and Eicher Motors closed 3.1 percent higher. TopNews has reviewed technical levels for buzzing stocks in automobile sector for short term investors and traders.

Bajaj Auto: Export Momentum and Premium Strategy

Bajaj Auto finds itself at the vanguard of this cycle, recently closing at ₹8,967—a 3.89% jump, reflecting not only weekly outperformance but a sustained upward arc in its market capitalization, now ₹2.5 lakh crore strong. August 2025’s results are telling; the company posted 417,616 total units sold, up 5% from the prior year. Motorcycles comprised 341,887 units (+2% YoY), but the real star emerges overseas: Bajaj exported 185,218 vehicles, up a staggering 29% year-on-year, single-handedly buffering weaker domestic sentiment and inventory adjustment challenges. Commercial vehicles compounded this strength, with a 21% jump to 75,729 units—exports soaring 58%.
These metrics are not merely statistical flair; they underline Bajaj Auto’s sharpened international focus and its leverage of premium motorcycle launches, evidenced by new Triumph models tailored for urban riders. The Speed 400 is priced at ₹2.33 lakh, aiming to reposition Bajaj in aspirational segments. Adding further ballast is a bold ₹4,000 crore share buyback—executed at a 43% premium—demonstrating board-level confidence in future profitability and insulating stock valuations through periods of volatility.

Analyst Opinions: Cautious Optimism and Strategic Outlook

Analysts span a spectrum of views but generally imply optimism. ICICI Securities recently placed a buy rating with a ₹9,850 target on Bajaj, tipping their hat to export vaulting and high-margin launches. Motilal Oswal and LKP Research, while commending operational strength, maintain a neutral posture, mindful of domestic weakness and already rich multiples.
On Smartkarma’s research desk, Nimish Maheshwari identified Bajaj's consolidation of KTM AG as a strategic enabler, projecting margin expansion and technology protection. Sreemant Dudhoria, on the other hand, cautioned about risks—especially margin compression from European deals. Yet, the consensus by end-August showed: 23 buy, 15 hold, and 8 sell recommendations, summarizing sector optimism tinged with realism in the face of global macro volatility.

Financial media outlets, including The Economic Times and Moneycontrol, are quick to highlight these strengths but warn that supply chain disruptions—China-origin inputs, in particular—could periodically jar margins or output projections.

Mahindra & Mahindra: Electrification, Rural Stability, and Inventories

Mahindra & Mahindra’s trajectory is underscored by stellar share highs and multi-faceted strength across core auto segments and agricultural machinery. In August 2025, the company reported 75,901 total vehicles sold, although SUV figures slipped 9%—largely due to deliberate inventory tactics ahead of Goods and Services Tax changes. This strategic reduction gears Mahindra up for a buoyant festive season, with dealers cleared for fresh demand surges and risk of overstock mitigated.
The real pivot lies with electrification. August’s EV sales rocketed 937% YoY to 3,495 units, capturing a dramatic 20% market segment share. Tractor sales ascended 28% to 26,201 units, signifying robust rural demand and market stabilization. Meanwhile, exports rose by 8.18% YoY, bolstering Mahindra’s credentials as a global player.

Q1FY26 financials further validate this thesis: Consolidated revenue leapt between 22–23% YoY (₹45,436–45,529 crore); profits climbed 24% sequentially to ₹4,083 crore. This growth rests atop SUV, tractor, and commercial vehicle market share expansion—underscoring Mahindra’s wide exposure and ability to weather cyclical or regulatory setbacks.

Analyst Insights: Managing Cycles, Regulatory Frontiers

Nomura positions Mahindra as a direct beneficiary if the GST auto rate sees a reduction, citing potential for margin improvement and renewed demand. Smartkarma contributors hail Mahindra’s “strategic agility,” and most agree that inventory paring ahead of policy pivots is a sign of tactical prudence. The Economic Times technical review bolsters this view, marking Mahindra in a breakout formation, with sector rotation likely to accelerate as GST clarity unfolds.
Executives such as CEO Nalinikanth Gollagunta voice confidence, highlighting sustained SUV appetite and viewing inventory maneuvers as pre-emptive moves for seasonal and regulatory triggers. Vahan registration data shows resilient farm vehicle leadership—further anchoring Mahindra as an agrarian and rural powerhouse.

Eicher Motors: International Expansion and Product Innovation

Eicher Motors, home to the Royal Enfield marquee, exploded onto the scene in August 2025 with motorcycle sales surging 55% YoY to 114,002 units. Exports, up 39% to 11,126 units, validate the company’s global ambitions—specifically targeting premium middleweight segments and using manufacturing hubs in Europe, Brazil, and Thailand.
The commercial vehicle space also advanced, with a 9.5% YOY rise to 7,167 units. Eicher's product pipeline—new Royal Enfield variants like the Hunter 350 (Graphite Grey) and Guerrilla 450 (Shadow Ash)—are intentionally tuned for youthful, urban buyers. Experiences like Motoverse 2025 merge lifestyle with financial performance, reinforcing brand equity and, crucially, driving ongoing demand cycles.

The June quarter reported a 23% YoY revenue increase to ₹5,150 crore, though operating margins retreated slightly (down 266 basis points to 23.86%), thanks to competitive pricing and input pressures associated with expansion. Nonetheless, festive seasons, rural rally points, and new launches align to push FY26 momentum further.

Market Sentiment: Bullish Trends, Tactical Risks

Analyst consensus is predominantly bullish, with 22 buy, 11 hold, and 8 sell recommendations as of late August. Jefferies noted the “toughest phase” may have passed, flagging upside risk into future cycles. Smartkarma’s Pranav Bhavsar credits Eicher with expertly leveraging Royal Enfield exports and strategic international growth; domestic optimism is reinforced by a spate of product upgrades and rural renewal. Technical lenses, such as those from Nilesh Jain (Centrum), frame near-term trading through breakout zones and options expiry, hinting at tactical opportunity for the nimble investor.
Media coverage from Moneycontrol and The Economic Times uniformly spotlights Eicher’s export advances and refreshed lineup, describing the roll-up in market share and international reach as underpinning further expansion.

Comparative Insights: India’s Auto Sector Playbook

Below is a comparative HTML table summarizing critical August 2025 performance figures and strategic issues:

Strategic Takeaways for Investors

The convergence of export-driven growth, premium product launches, and tactical inventory management is defining market leadership in India’s auto sector through late 2025. Bajaj Auto’s international play and aggressive buyback reflect long-term conviction; Mahindra’s electrification and deep rural roots anchor resilience; Eicher’s global expansion and product innovation keep the momentum flowing.