Maruti stock gains lost ground from improving expectation of volume growth

Scores over peers on BSVI portfolio, inventory levels and discounts

After falling 30 per cent over the last year, Maruti Suzuki has recovered most of its losses and is now trading at just 6 per cent lower than the year-ago levels. The recovery in the stock, which started in August has gathered pace despite the worsening demand and volume conditions over the last few months and the challenges related to the transition to BSVI emission norms.

The key trigger for the stock is improving expectations of volume growth. After four consecutive quarters of de-growth due to the economic slowdown and higher cost ownership, there has been a marginal uptick in