Motilal Oswal Reiterates Buy on Maruti Suzuki Citing Capacity Expansion and New Launches

Motilal Oswal maintains a Buy rating on Maruti Suzuki with a target price of Rs 17,406, citing healthy retail demand and capacity constraints limiting near-term wholesale volumes. The brokerage expects new manufacturing capacity from April 2026 to boost dispatches and anticipates strong growth in FY27 driven by upcoming launches like the e-Vitara and export momentum. Despite recent stock underperformance and a softer Q3FY26, the firm projects a 16% earnings CAGR through FY25-28.