Bajaj Auto has some exciting news to share! They recently decided to buy back their own shares, and that’s not all – they’ve also achieved a significant milestone.
Now, Bajaj Auto is the third-largest vehicle manufacturing company in India, after Maruti Suzuki and Tata Motors.
The value of Bajaj Auto in the stock market, known as its market cap, is now more than Mahindra and Mahindra.
On Monday, it reached a whopping Rs 2.02 lakh crore, which is about Rs 1110 crore more than Mahindra’s market cap of Rs 2.01 lakh crore.
Here’s a quick look at the top 5 auto companies based on market cap:
1) Maruti Suzuki – Rs 3.13 lakh crore
2) Tata Motors – Rs 2.89 lakh crore
3) Bajaj Auto – Rs 2.02 lakh crore
4) Mahindra & Mahindra – Rs 2.01 lakh crore
5) Eicher Motors – Rs 1.06 lakh crore
Now, let’s talk about the share buyback. Bajaj Auto plans to buy back about 40 lakh shares, and they’re offering Rs 10,000 for each share.
That’s quite a good deal! The company’s shares closed at Rs 6983.85 on Monday, and this buyback offer includes a 43 percent premium.
In 2023, Bajaj Auto’s shares doubled in value, and in the first days of 2024, they’ve gone up by about 3 percent.
On the other hand, Mahindra’s shares have decreased by 7 percent in January 2024.
Lastly, Bajaj Auto has made impressive strides in the electric two-wheeler segment.
Despite challenges like Covid and changing government rules affecting the demand for two-wheelers, Bajaj Auto secured the third position, leaving Ather behind and following TVS, while Ola is expected to take the top spot in this segment. Exciting times for Bajaj Auto!
