HDFC Securities' Ather Energy Buy call resurfaces, June's 31% upside view back in focus
HDFC Securities' initiation of Ather Energy with a Buy rating and a projected 31% upside — first made in June 2025 — is resurfacing as investors track lock-in expiries, Helios Fund activity and potential EV supply-chain risks from China's rare-earth export curbs.
What happened
HDFC Securities began Ather Energy coverage with a Buy rating and projected 31% upside. The roundup also flagged upcoming lock-in expiries, Helios Fund’s April
Key facts
- 31% expected upside
- Nearly 6% of Ather Energy and Borana Weaves shares
- June 10, 2025
- May 29, 2025
- April 2025
Why this matters
Ather Energy should use improving market sentiment to deepen rare-earth sourcing partnerships, localize critical components and pursue strategic supply-chain alliances.
What to watch
- Exact lock-in expiry dates, eligible share quantity and subsequent bulk/block deals.
- Helios Fund stake disclosures, selling patterns and other institutional ownership changes.
- China rare-earth export-policy implementation, supplier commentary and Indian import-cost trends.
- Ather monthly vehicle registrations, deliveries, cancellation rates and market share versus Ola Electric, TVS, Bajaj and Hero MotoCorp.
- Updates on production capacity, new model launches, retail-experience-center additions and dealer-network economics.
- Quarterly revenue growth, gross margin, EBITDA loss, working-capital movement and cash runway.
- Any evidence of domestic magnet sourcing, redesigns reducing rare-earth intensity or long-term supply agreements.
- Management is likely to emphasize supply-chain localization, inventory buffers and alternative sourcing for magnet and motor components.
- Broker coverage expansion and target-price comparisons may increase institutional participation and trading liquidity.
- Investors will scrutinize monthly registrations, market-share changes, dealer expansion, gross-margin trajectory and cash-burn discipline.
- Potential lock-in-related selling could lead the company or major shareholders to communicate ownership intentions and long-term commitment more actively.
- Rivals may accelerate promotions or financing offers if Ather's stronger market narrative improves its ability to fund network and product expansion.