Hyundai Motor India shares experienced a decline of 2.03% during Wednesday's afternoon trading session, settling at ₹2,529.00. This downturn comes despite the company's announcement of a substantial final dividend payout.

Dividend Declaration

The automaker has declared a final dividend of ₹21.00 per share, with an effective date set for August 5, 2025. This dividend represents a significant 210% payout, highlighting the company's commitment to shareholder returns despite recent financial headwinds.

Trading Dynamics

The stock opened at ₹2,581.00 but faced selling pressure throughout the session, touching a low of ₹2,476.40. Trading volumes were robust, with 14.72 lakh shares changing hands, amounting to a turnover of ₹369.89 crore. Notably, sell quantities significantly outpaced buy orders, with 82,658 shares on the sell side compared to 45,516 on the buy side, indicating a bearish sentiment among traders.

Stock Performance

The current stock price is hovering near its 52-week low of ₹1,541.70, recorded in April 2025. This stands in stark contrast to its 52-week high of ₹2,624.50, achieved just the previous day, underscoring the recent volatility in the stock.

Financial Performance

Hyundai Motor India's recent financial results reveal some challenges:

For the quarter ending June 2025, the company reported a year-over-year decline in both revenue and net profit. Revenue decreased from ₹17,344.23 crore to ₹16,412.88 crore, while net profit dropped from ₹1,489.65 crore to ₹1,369.23 crore.

The full-year results for 2025 also showed a marginal decrease in revenue, from ₹69,829.06 crore in 2024 to ₹69,192.89 crore in 2025.

Financial Health Indicators

Despite the recent financial pressures, Hyundai Motor India maintains a strong balance sheet:

• Debt-to-Equity Ratio: 0.05
• Current Ratio: 1.42

These figures suggest that the company has a low level of debt relative to its equity and maintains good short-term liquidity.

The recent stock performance and financial results present a mixed picture for Hyundai Motor India. While the generous dividend declaration demonstrates confidence in the company's cash position, the declining revenue and profit figures, coupled with the stock's proximity to its 52-week low, indicate ongoing challenges in the competitive automotive market.

Hyundai Motor India shares experienced a remarkable surge, jumping 9.9% to reach a post-listing high of ₹2,464.70. This marks the most significant intraday gain for the automaker since its stock market debut in October 2024.

GST Rate Cut Expectations Drive Surge

The sharp rise in Hyundai Motor India's stock price comes amid growing expectations of potential GST rate reductions for automobiles. The Centre has proposed substantial cuts for entry-level two-wheelers, small cars, and hybrid vehicles as part of a proposed two-tier GST structure. This news has sparked optimism in the automotive sector, with Hyundai Motor India being a notable beneficiary.

Stock Performance

Since its initial public offering (IPO), Hyundai Motor India's stock has shown impressive growth:

• Gained over 25% from its IPO price of ₹1,960.00
• Rebounded nearly 60% from its post-listing low

Recent Financial Performance

Hyundai Motor India recently reported its quarterly results:

Despite the year-on-year decline in net profit and revenue, the company's performance surpassed analyst expectations in key areas.

Analyst Outlook

The stock has garnered significant attention from the financial community:

• Total analysts covering the stock: 26
• Buy ratings: 21
• Hold ratings: 3
• Sell ratings: 2

The overwhelmingly positive analyst sentiment reflects confidence in Hyundai Motor India's future prospects.

Upcoming Non-Deal Roadshow

Hyundai Motor India Limited has announced a Non-Deal Roadshow with investors and analysts scheduled for August 21-22, 2025, in Singapore. The event will take place from 6:30 AM to 3:30 PM IST and will be conducted in a physical format. Citi is organizing the roadshow.

The company has emphasized that discussions during the roadshow will be based solely on publicly available information, and no unpublished price-sensitive information will be shared during the meetings. It's worth noting that the dates and timings are subject to change due to potential exigencies on the part of investors or the company.

As the automotive industry awaits potential GST rate cuts, Hyundai Motor India's strong market position, recent financial performance, and upcoming investor engagement have contributed to its stock's impressive rally. Investors and industry observers will be closely monitoring developments in the GST structure and their potential impact on the company's future growth trajectory.