TVS Motor Company buoyant on hopes of volume and margin expansion

Plans in EV space is another trigger; but investors should await better entry point

TVS Motor Company’s stock has risen 5 per cent over the past couple of trading sessions on expectations of fund-raising for its electric vehicle (EV) business, volume gains on the back of successful launches, and improving profitability.

As a result, some brokerages have upgraded the stock, highlighting it as their top pick in the automotive sector.

The company is looking to raise up to Rs 5,000 crore ($650 million) to expand its product pipeline and global presence in the EV segment. The company is looking to expand capacity to 10,000 EVs per month by the end of the current quarter (Q1FY23) and