Force Motors surges 11% in a weak market as December sales jump 62% YoY

Shares of Force Motors rallied nearly 11 per cent to quote at Rs 1,217 on the BSE on Monday after the automobiles company's vehicle sales jumped 62 per cent year on year (YoY) in December.

The stock was trading at its highest level since September 24, 2019 in an otherwise weak market. The S&P BSE Sensex was down 1.2 per cent at 40,985 points at 10:24 am. The trading volumes on the counter jumped three-fold with a combined 412,648 equity shares changing hands on the NSE and BSE till the time of writing of this report.

Force Motors, which is engaged in manufacturing light commercial vehicles and utility vehicles, and engines, sold a total of 2,747 units in December 2019, as against 1,697 units sold during the same month last year. It had sold 2,112 units in November 2019, the company said in a regulatory filing. Besides, total domestic sales rose by 52.6 per cent to 2,517 units in December 2019 from 1,650 units in December 2018.

Moreover, the auto maker's total production rose 33 per cent to 2,379 unit during the month under review from 1,786 units in November 2019. The production is, however, still down by 7.72 per cent YoY compared with 2,578 units in December 2018.

Since December 13, 2019, when the stock had touched a low of Rs 964, it has outperformed the market by surging 26 per cent, as compared to a marginal 0.01 per cent rise in the Sensex.