TVS Motor rallies 6% in 2 days, nears record; what's driving the 2W stock?

TVS Motor Company share price today: Shares of TVS Motor Company continued their upward movement, surging nearly 4 per cent to ₹2,960 on the BSE in Monday’s intra-day trade. In the past two trading days, the stock price of the two-wheeler company has rallied 6 per cent after the company reported strong July sales numbers. The stock is trading close to its record high level of ₹2,960.90 touched on June 30, 2025.

 

At 12:15 PM; TVS Motor Company was quoting 3 per cent higher at ₹2,951.70, as compared to 0.39 per cent rise in the BSE Sensex.

 

TVS Motor Company registers 29% sales growth in July 2025

 

TVS Motor Company recorded monthly sales of 456,350 units in July 2025 with a growth of 29 per cent as against 354,140 units in the month of July 2024.

 

Motorcycles registered a growth of 25 per cent with sales increasing from 161,074 units in July 2024 to 201,494 units in July 2025. Scooter registered a growth of 42 per cent with sales increasing from 139,995 units in July 2024 to 198,265 units in July 2025.

 

The company's total exports registered a growth of 46 per cent with sales increasing from 97,589 units in July 2024 to 142,629 units in July 2025. Two-wheeler exports grew by 52 per cent with sales increasing from 85,426 units in July 2024 to 130,070 units in July 2025.  Check List of Q1 results today 

TVS Motor Company Q1 results

 

TVS Motor Company posted a 35 per cent growth in standalone profit after tax (PAT) to ₹779 crore during the first quarter of 2025-26 (Q1FY26), driven by its highest-ever quarterly sales. The company had posted a profit of ₹577 crore in the same period last year.  

 

Its revenue from operations stood at ₹10,081 crore in the April-June quarter, up 20 per cent from ₹8,376 crore in Q1FY25. In Q1FY26, TVS Motor reported an Ebitda margin of 12.5 per cent (+110bps Y-o-Y), broadly in line with analysts’ estimate. Including Production Linked Incentive (PLI) benefits for Q1FY25, the margin expansion was primarily led by operating leverage and cost reduction initiatives.

 

TVS Motor Company sold a total of 1.27 million two-wheelers and three-wheelers, including exports, in Q1FY26, registering a 17 per cent growth in sales. Motorcycle sales grew by 21 per cent, with 621,000 units sold in Q1FY26. Scooter sales also grew by 19 per cent to 499,000 units. Three-wheeler sales, meanwhile, grew by 46 per cent to 45,000 units.

 

Brokerages view on TVS Motor Company

 

Domestic 2W industry growth is expected to be supported by improved consumer sentiment, a pickup in rural demand due to a normal monsoon, repo rate cuts, and improving liquidity. Demand in the international market is also improving gradually, according to analysts at JM Financial Institutional Securities.

 

With respect to EVs, TVS Motor plans to ramp up its electric vehicle (EV) business by introducing new products (both E2W and E3W) in the near-to-medium term, and expanding the dealer network. A near-term headwind for EVs includes the supply of rare earth magnets. Overall, JM Financial Institutional Securities expect TVS Motor’s outperformance to continue on the volume front, led by premiumisation and EV product launches. A richer mix, higher operating leverage, and astute cost management are expected to drive margin performance. However, we see a marginal impact on margin due to magnet constraints and commodity-linked cost inflation, the brokerage firm said in the result update.

 

According to analysts at Choice Equity Broking, TVS Motor consistently grew above industry averages, indicating strong market share gains. In Q1FY26, domestic two-wheeler ICE sales grew by 8 per cent, while the industry experienced a 3 per cent decline. International two-wheeler sales excelled with 40 per cent growth against an industry growth of 23 per cent. Furthermore, TVS iQube maintains its market leadership in EV two-wheelers, with sales increasing by 35 per cent to 70,000 units, and the recently launched TVS King EV Max (three-wheeler) is also performing extremely well. 

 

The brokerage firm believes this diversified growth across domestic, international, ICE, and EV segments highlights TVS Motor’s strong competitive position and sets it for a strong future growth.