Force Motors shares zoom 10%; here's what is driving rally in stock

Force Motors shares jumped 10.3 per cent on Wednesday, logging an intraday high at Rs 7,057.95 per share on BSE. The demand for the stock came after the company released its January sales data. 

 

Around 12:24 PM, Force Motors share price was up 5.84 per cent at Rs 6,767 per share on BSE. In comparison, the BSE Sensex was down 0.20 per cent at 78,424.08. The market capitalisation of the company stood at Rs 8,819.36 crore. The 52-week high of the stock was at Rs 10,272.65 per share and the 52-week low was at Rs 3,990.1 per share. 

 

The company released its January update during market hours. The report showed Force Motors' January sale of small commercial vehicles (SCV), light commercial vehicles (LCV), utility vehicles (UV) and sports utility vehicles (SUV) increased 20.34 per cent at 3,597 units as compared to 2,989 units a year ago. 

 

 

SCV, SUV, LCV and UV domestic sales in January 2025 increased 39.27 per cent to 3,493 units as compared to 2,508 units a year ago. However, company's SCV, SUV, LCV and UV export decreased 78.37 per cent to 104 units as compared to 481 units a year ago. Force Motors discontinued tractor business effective from March 31, 2024.

 

In December, Force Motors' SCV, SUV, LCV and UV domestic sales fell 8.06 per cent year-on-year (Y-o-Y) to 1,985 units in December from 2,159 units a year ago. However, it increased 14.3 per cent from November's sale of 1,736 units. The company's domestic sale of tractors stood at 15 units.  

 

Additionally, its export of SCV, SUV, LCV and UV fell 84.35 per cent Y-o-Y to 51 units as compared to 326 units. All together, the company's total sales fell 18.07 per cent to 2,036 units against 2,485 a year ago. However, it rose 8 per cent from November's sale of 1,885 units.

 

Besides, on January 2, 2025, Force Motors bagged an order for the supply of 2,429 units of ambulances to the Medical Health and Family Welfare Department, Uttar Pradesh. In a regulatory filing, the company said the order is for supply of 2,429 units of BS-VI diesel ambulance to the department. The order is to be executed between December 2024 and March 2025, it said without disclosing the value of the order.

 

In the past one year, Force Motors shares have gained 57.2 per cent against Sensex's rise of 9.5 per cent.