Maruti Suzuki India jumped 4.60% to Rs 2,268 at 14:23 IST on BSE after a foreign brokerage put an aggressive three-year target of Rs 4,500 on the stock.
Meanwhile, the BSE Sensex was up 141.55 points, or 0.58%, to 24,439.57.
On BSE, so far 84,000 shares were traded in the counter, compared with an average volume of 68,769 shares in the past one quarter.
The stock hit a high of Rs 2,288.20 and a low of Rs 2,202 so far during the day. The stock hit a 52-week high of Rs 2,315 on 16 May 2014. The stock hit a 52-week low of Rs 1,217 on 28 August 2013.
The stock had outperformed the market over the past one month till 21 May 2014, rising 9.05% compared with 6.73% rise in the Sensex. The scrip had also outperformed the market in past one quarter, rising 29.47% as against Sensex's 17.38% rise.
The large-cap company has an equity capital of Rs 151.04 crore. Face value per share is Rs 5.
The foreign brokerage said that the Maruti Suzuki India stock price could double in three years in a bull scenario in which personal vehicle industry volume grows at a compounded annual growth rate of 20% due to pent-up demand should the economic growth pick up.
Still, the brokerage said its base case remains a 14% industry growth in personal vehicle demand over fiscal years 2015 to 2017, although it noted actual growth could be closer to around 20%.
The brokerage also noted that Maruti Suzuki has a strong product cycle starting in fiscal 2015, thus raising hopes about its market share.
The brokerage reiterated Maruti as its top pick among India's automobile stocks while maintaining its 'buy' rating.
Maruti Suzuki India's net profit fell 35.5% to Rs 800.05 crore on 9.5% decline in net sales to Rs 11818.13 crore in Q4 March 2014 over Q4 March 2013.
Japanese parent Suzuki Motor Corporation holds 56.21% stake in Maruti Suzuki India (as per the shareholding pattern as on 31 March 2014).
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