Motilal Oswal Upbeat On Auto Shares As Festive Season Sales Approach

Brokerage firm Motilal Oswal stays positive on major vehicle makers like Maruti Suzuki, TVS Motor, and Mahindra and Mahindra due to rising sales ahead of the festive season. Companies are pushing more stock to dealers now because festivals like Diwali, Dussehra, and Navratri usually bring higher customer demand.

Market Shifts

Scooters are leading the growth in the two-wheeler sector as the festive period nears. While market leader Honda Motorcycles and Scooter India saw slower growth, TVS Motor Company kept growing its share. In the car segment, total volumes grew by 20.4 percent in August 2026. Maruti Suzuki, Hyundai Motor India, and Honda stood out as the top performers in this space.

Stock Gains And Targets

Specific companies saw notable growth figures in the recent reports. Maruti Suzuki saw a 29.4 percent change, Hyundai Motor India recorded 29.8 percent, and Honda jumped by 84 percent. Maruti Suzuki grew its market share by roughly 665 basis points to reach 72.9 percent. Hyundai saw a small drop in its yearly market share down to 12.2 percent, while Honda held steady at about 3 percent. Motilal Oswal also added Bajaj Auto to its favored list and sees a potential 41 percent price rise for Maruti Suzuki shares.

Context

Automobile companies often see a jump in sales during the Indian festive season as buyers view this time as auspicious for big purchases. Brokerages track these monthly volume trends closely to advise investors on which vehicle stocks might perform best. This seasonal pattern is a regular part of the retail and auto business cycle in India.