HDFC Securities' June 2025 call resurfaces: 31% upside seen in Ather Energy; lock-in expiry and rare-earth risks loomed
Resurfacing a June 10, 2025 update, Ather Energy's post-IPO coverage included an HDFC Securities Buy call implying 31% upside. The April–June 2025 update also flagged potential lock-in share releases and the risk that China's rare-earth export curbs could disrupt Indian EV production.
What happened
Ather Energy news roundup covers HDFC Securities’ Buy rating and 31% upside estimate, IPO-listing commentary, potential lock-in share releases, and broader
Key facts
- 31% expected upside
- Nearly 6% of Ather Energy and Borana Weaves shares potentially entering the market after lock-in expiry
Why this matters
Ather should prioritize rare-earth supply diversification and strategic sourcing partnerships to protect production plans as lock-in expiries add market scrutiny.
What to watch
- Actual shareholder selling volumes and block deals around lock-in expiry dates.
- China policy changes on rare-earth exports, licensing delays and magnet price movements.
- Ather monthly registrations, deliveries, market-share trend and new-city/store additions.
- Quarterly gross margin, inventory days, working capital and commentary on component availability.
- Evidence of motor redesign, supplier localization or production disruption.
- Competitive pricing and launches from Ola Electric, TVS, Bajaj and Hero MotoCorp.
- Dealer/service-center throughput, customer wait times and warranty or quality indicators.
- Accelerate dual sourcing and local qualification for rare-earth magnets, motors and adjacent critical components.
- Build strategic inventory of constrained materials while avoiding excessive working-capital buildup.
- Communicate lock-in schedules, promoter/anchor ownership changes and any planned shareholder sales clearly to reduce uncertainty.
- Prioritize high-throughput experience centers and service capacity in top EV two-wheeler markets to convert brand interest into deliveries.
- Emphasize margin resilience through localization, software revenue, financing partnerships and lower warranty/service costs.
- Prepare contingency production plans using alternative motor designs or suppliers if rare-earth availability tightens.