Bharat Forge: Headwinds in domestic CV segment offset positive US growth

Given the market share gains, any correction in the stock price would be a good opportunity to buy

A strong demand for North American class 8 trucks has turned out to be positive for Bharat Forge. Factors such as an uptick in demand for the heavy duty trucks and a revival in oil and gas-related orders are expected to boost the company’s export revenue for the June quarter (Q1) by 53 per cent year-on-year (y-o-y).

Orders for class 8 trucks increased 38 per cent y-o-y in June to 17,600 units. This comes on the back of five months of double-digit growth on a weak base.

According to Shyam Sundar Sriram and Vivek Kumar of JM Financial, a healthy