Hero MotoCorp Powers Ahead, Eyes Europe
- 14th May 2025
Aaj Ka Bazaar
Wall Street indices, except the Dow Jones, rose on Tuesday after US consumer inflation data for April came in lower than expected. The S&P 500 climbed 42.36 points to close at 5,886.55, while the Nasdaq Composite advanced 301.74 points to 19,010.09. However, the Dow Jones Industrial Average slipped 269.67 points to 42,140.43, dragged down by a decline in UnitedHealth shares after the company suspended its annual forecast and its CEO resigned. Asian markets traded cautiously as investors awaited further clarity following the sharp rebound in US markets, which recovered losses on signs of easing trade tensions. Following the global cues, Indian benchmark indices are expected to open on a positive note, with GIFT Nifty indicating a strong start in the green. On the stock-specific front, ITD Cementation India has secured a Rs. 593 crore order for construction work at Jaipur International Airport in Rajasthan.
Markets Around Us
BSE Sensex – 81,621.95 (0.58%)
Nifty 50 – 24,736.10 (0.64%)
Bank Nifty – 55,003.35 (0.11%)
Dow Jones – 42,200.14 (0.14%)
Nasdaq – 19,010.08 (1.61%)
FTSE – 8,602.92 (-0.02%)
Nikkei 225 – 38,022.45 (-0.42%)
Hang Seng – 23,438.11 (1.41%)
Sector: Automobiles
Hero MotoCorp Q4 Profit Beats Estimates
Hero MotoCorp posted a strong Q4 performance, standing out in a weak two-wheeler market and reinforcing its leadership despite slightly lower sales volumes. The company is seeing good momentum in more profitable segments like 125cc bikes, scooters, and electric vehicles, helped by successful new launches such as the Xpulse 210 and Xoom 160. It’s also working to make the brand more aspirational through efforts like a deeper partnership with Harley-Davidson and high-impact marketing. International expansion is a clear focus Hero has started setting up operations in Southeast Asia, entered Brazil, and is planning to enter Europe and the UK by late 2025. In the electric vehicle space, Hero is being proactive, using both in-house products and strategic investments to stay ahead of market and regulatory shifts. This combination of strong execution, product innovation, and global ambition puts the company in a solid position for future growth.
Why it Matters:
Hero MotoCorp’s strong Q4 performance is important because it shows the company can grow profits even when the overall two-wheeler market is weak. Its focus on higher-margin products, electric vehicles, and global expansion indicates a clear strategy for long-term growth. These moves not only strengthen its market position but also build investor confidence as the company adapts to changing consumer preferences and regulatory trends.
NIFTY 50 GAINERS
TATASTEEL – 156.70 (4.87%)
SHRIRAMFIN – 654.05 (3.23%)
HINDALCO– 649.30 (2.29%)
NIFTY 50 LOSERS
ASIANPAINT – 2292.10 (-1.40%)
TATAMOTORS – 698.60 (-1.29%)
CIPLA – 1504.40 (-1.03)
Sector : Telecom
Bharti Airtel Profit jumps on Tariffs
Bharti Airtel posted a strong result in Q4FY25, supported by increased tariffs. The company’s ARPU of Rs. 245 remained the highest in the industry. This reflects the positive absorption of tariff hikes, robust smartphone data customer additions, and an improved customer mix. The company is expected to continue this growth trajectory, driven by a sustained focus on premiumizing the portfolio with quality customers and the consolidation of Indus Towers. The company continues to diversify its portfolio to drive long-term growth. Its recent partnership with SpaceX’s Starlink will help expand internet access in remote areas, boosting future revenue. Looking ahead, the company’s strategic partnership, gaining market share and enhanced ability to meet the customer’s overall needs are expected to drive its overall performance in the long run. Key areas to monitor will include progress on 5G adoption, capital expenditure trajectory, trends in prepaid-to-postpaid conversions, and traction in home broadband.
Why it Matters:
Bharti Airtel’s strong Q4 results highlight its ability to grow profits through tariff hikes and a high-quality customer base. Its leadership in ARPU and strategic moves like the Starlink partnership position it well for long-term growth. Monitoring 5G rollout, capex trends, and broadband traction will be key for future performance.
Around the World
Asian stock markets were mixed on Wednesday. Hong Kong and South Korea gained over 1.5%, helped by strong tech performance on Wall Street, especially NVIDIA’s rally after a major AI chip deal. Japan’s markets, however, fell as the yen strengthened due to rising expectations of a Bank of Japan rate hike, which hurts exporters. U.S.-China trade tensions eased slightly, with both countries agreeing to temporarily cut tariffs for 90 days, but the rally from that news seemed to fade as focus shifted to upcoming trade talks. Chinese markets were flat, as the tariff deal reduced hopes for more government stimulus. Elsewhere, markets in Australia and Singapore were slightly lower, and India’s futures remained flat due to geopolitical tensions. The next key watch will be the BOJ meeting on May 19-20, where rate decisions may impact Japanese markets further, especially with wholesale inflation rising to 4% in April, keeping pressure on policy tightening.
Option Traders Corner
Max Pain
Nifty 50 – 24600
Bank Nifty – 55000
Nifty 50 – 24699 (Pivot)
Support – 24,425, 24,273, 23,999
Resistance – 24,852, 25,126, 25,278
Bank Nifty – 55109 (Pivot)
Support – 54,719, 54,498, 54,108
Resistance – 55,330, 55,720, 55,941
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