Eicher Motors Ltd (Auto - 2 & 3 Wheelers) — fundamental analysis, earnings data, and key metrics. PE: 35.1. ROE: 24.1%. This stock is not currently in the Nifty 500 momentum outperformers list.
Based on Q3 FY26 earnings • Updated Feb 22, 2026
What: Brownfield expansion increasing annual production capacity from 1.4M to 2.0M units with ₹958 cr investment
“Board's approval of capacity expansion to 20 lakh units from current 1.4 million units with ₹958 cr investment over two years”
What: EBITDA margin expanded 300bps to 9.5% at VECV with operating leverage benefits
“Throughout the quarter, pricing discipline, operating leverage and cost reductions supported margin growth”
What: 72.5% YoY growth in export volumes providing revenue diversification
“Exports in Q3 were 2,056 units, which is 72.5% year-on-year growth on better traction in select markets”
Earnings deceleration risks from management commentary
Trigger: Ongoing implementation
Impact: -100 bps margin impact
Management view: We've got 100 basis points on account of increase in cost due to OBD2B norms.
Monitor: Gross margin trends
Trigger: Tender timing delays
Management view: Bus sales were at 3,624 units, which were down 3.3% year-on-year on tender timing, underlying market sentiment remains positive for buses as well.
Monitor: Bus segment order book
Key quotes from recent conference calls
“The company announced plans for brownfield expansion at its Cheyyar manufacturing facility in Tamil Nadu, taking annual production capacity to 20 lakh units from the current 1.4 million units. The project involves an estimated investment of ₹958 crores over two years, with target capacity achievement by FY 27-28. — Management”
“Throughout the quarter, pricing discipline, operating leverage and cost reductions supported margin growth. — Management”
“Inquiries are better. Conversions are better, bookings are good. So there is a positive trend which is continuing. — B. Govindarajan, Managing Director of Eicher Motors and CEO of Royal Enfield”
“The whole industry is looking at high single digit, that's sort of the growth. And the premium segment will grow. We will continue to outgrow the market. That's our ambition. — B. Govindarajan, Managing Director of Eicher Motors and CEO of Royal Enfield”
Forward-looking targets from management for FY27-28
Capex Plan
₹958 Cr
Key Milestones
• 2.0M annual production capacity by FY27-28
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Feb 22, 2026.
Based on publicly available financial data. This is educational research, not investment advice.
Eicher Motors Ltd's latest quarterly results (Dec 2025) show
Eicher Motors Ltd's current PE ratio is 35.1x.
Eicher Motors Ltd's price-to-book ratio is 8.6x.
Eicher Motors Ltd's fundamental strength based on key financial ratios
Eicher Motors Ltd has a debt-to-equity ratio of N/A.
Eicher Motors Ltd's return ratios over recent years
Eicher Motors Ltd's operating cash flow is positive (FY2025).
Eicher Motors Ltd's current dividend yield is 1.01%.
Eicher Motors Ltd's shareholding pattern (Dec 2025)
Eicher Motors Ltd's promoter holding has remained stable recently.
Eicher Motors Ltd is an established outperformer with 1 weeks of consecutive Nifty 500 outperformance.
Eicher Motors Ltd has 3 key growth catalysts identified from recent earnings analysis
Eicher Motors Ltd has 2 key risks worth monitoring
In Q3 FY26, Eicher Motors Ltd's management highlighted
Eicher Motors Ltd's management has provided the following forward guidance for FY27-28
Based on quantitative research signals, here is why Eicher Motors Ltd may be worth studying
Eicher Motors Ltd investment thesis summary:
Eicher Motors Ltd's forward outlook based on current data signals
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.
