TVS Motor vs Bajaj Auto: Which auto stock should you pick for long term?

livemint.com:

₹10,037.30 on June 18, 2024. Currently trading at ₹9,480.05, the scrip is just 5.5 percent away from its peak. It has surged around 109 percent from its 52-week low of ₹4,544.00, hit on August 14, 2023.Similarly, TVS also touched its record high of ₹2,524.95 on June 18, 2024.

Currently trading at ₹2,385, it is also 5.5 percent away from that peak. However, it has jumped 85 percent from its 52-week low of ₹1,289, hit on June 27, 2023.In the long term, 3 years, TVS has emerged as the winner. It has soared over 281 percent while Bajaj has rallied 125 percent.Two-wheeler maker TVS Motor Company reported a standalone net profit of ₹485 crore for the quarter ended March 31, 2024, marking an 18 percent increase from ₹410 crore in the same period last year.

Revenue from operations reached ₹8,169 crore, up nearly 24 percent from ₹6,605 crore in the corresponding quarter of the previous financial year. TVS Motor recorded its highest-ever revenue and profit in FY2023-24, with sales surpassing 40 lakh units. Operating EBITDA for the quarter rose to 11 percent, compared to 10 percent in the fourth quarter of the previous year.On the other hand, Bajaj Auto reported a 35 percent year-on-year (YoY) increase in net profit, reaching ₹1,936 crore for the March quarter, up from ₹1,433 crore in the same quarter last year.

Revenue from operations grew 29 percent YoY to ₹11,485 crore, compared to ₹8,905 crore in the previous year. EBITDA for the quarter was ₹2,307 crore, a 34 percent rise from ₹1,718 crore in the same period last year. The revenue growth was driven by a strong domestic business and steady exports, despite challenges in international markets.