Maruti Suzuki shares get an upgrade, price target raise from Jefferies on two key factors

Shares of Maruti Suzuki India

Ltd., the country's largest passenger vehicle maker, will be in focus on Tuesday, June 30, after brokerage firm Jefferies upgraded the stock to 'Buy' from 'Hold' and raised its price target to ₹16,500.

The revised target price implies a potential upside of more than 22% from the stock's previous closing level.



Jefferies said the outlook for the passenger vehicle (PV) industry has improved, supported by resilient demand in the first half of calendar year 2026.

The brokerage added that easing geopolitical tensions in the Middle East and the subsequent correction in crude oil prices have reduced concerns around demand, while softer metal prices are expected to support margins.

Jefferies has raised its FY27-FY29 earnings estimates by 2-4% and now expects Maruti to deliver an earnings per share (EPS) CAGR of 16% between FY26 and FY29.

The brokerage also said that Maruti's stock has underperformed the Nifty 50 by 16% so far this calendar year, making its valuation of 24 times estimated FY27 earnings attractive.

According to Bloomberg data, 43 of the 49 analysts covering the stock have a 'Buy' rating, while four recommend 'Hold' and two have a 'Sell' rating.

Maruti Suzuki shares ended Monday's session 1.9% lower at ₹13,472. The stock has declined nearly 20% so far this year.