Auto demand stays strong across PVs, CVs, tractors and EVs but OEM margins face H1 FY27 squeeze

Antique Stock Broking sees resilient Indian auto demand—PV wholesales +23% YoY in Q1FY27, CVs +20%, tractors +19%—but flags margin pressure through H1FY27 before normalising. Tata Motors (+69%), M&M (+33.5%) and Maruti (+21%) lead June wholesales; TVS tops e-2W share at 24% as Ola Electric slips to 8% from 19%.

— Source publishedFri, 3 Jul, 2026, 15:03 IST·First seen Fri, 3 Jul, 2026, 15:17 IST·Source ET Small Business

What happened

Antique Stock Broking sees resilient Indian auto demand across PVs, CVs, tractors and EVs, but OEM margins pressured in H1FY27 before normalising. Tata Motors,

Key facts

  • PV wholesales +23% YoY Q1FY27
  • PV retail +22%
  • CV wholesales +20%
  • tractors +19%
  • June PV wholesale +22%
  • June CV wholesale +30%
  • Tata Motors +69%
  • M&M +33.5%
  • Maruti +21%
  • Hyundai -10%
  • EV PV retail +91%
  • e-2W +68%
  • TVS 24% share
  • Bajaj 22%
  • Ather 16%
  • Ola Electric 8% vs 19%

Why this matters

The EV two-wheeler share reshuffle—TVS at 24% versus Ola's slide to 8%—signals shifting competitive dynamics worth watching for partnership or consolidation plays.

What to watch

  • Monthly wholesale vs retail divergence signalling channel inventory build
  • RM basket (steel, aluminium, precious metals) and freight cost trajectory into H1FY27
  • Festive-season discounting intensity and EV price actions
  • Q1/Q2 FY27 EBITDA margin prints vs guidance for margin-normalisation timing
  • EV 2W monthly share shifts (TVS/Ather/Bajaj vs Ola)
  • Overweight PV leaders with mix tailwinds (M&M, Maruti) and diversified CV/tractor plays over pure-play margin-sensitive names
  • Trim Ola Electric exposure on share erosion (19%->8%); rotate toward TVS on e-2W leadership (24%)
  • Position for H2FY27 margin recovery via accumulate-on-dips on quality OEMs through the H1 squeeze
  • Track ancillary/component suppliers as beneficiaries of sustained volume even if OEM margins compress