TVS Motor Company Ltd Hits All-Time High at Rs.3753.8, Marking a Milestone in Market Performance

Strong Momentum Drives New Peak

On 1 Jan 2026, TVS Motor Company Ltd’s share price surged to Rs.3753.8, surpassing previous records and setting a fresh benchmark. The stock outperformed its sector by 0.62% today and has recorded a consecutive gain over the last three trading days, delivering a cumulative return of 4.85% during this period. The price movement occurred within a narrow trading range of Rs.27.9, indicating steady investor confidence and controlled volatility.

Notably, the stock is trading above all key moving averages — 5-day, 20-day, 50-day, 100-day, and 200-day — signalling a strong upward trend across short, medium, and long-term horizons. This technical strength is further supported by a day-on-day price increase of 1.16%, significantly outperforming the Sensex’s modest 0.19% gain on the same day.

Consistent Outperformance Against Benchmarks

TVS Motor Company Ltd’s performance over various time frames highlights its resilience and growth trajectory. Over the past one year, the stock has delivered an impressive 56.32% return, vastly outpacing the Sensex’s 8.75% gain. Extending the horizon, the company’s three-year return stands at 246.38%, compared to the Sensex’s 40.33%, while the five-year and ten-year returns are 666.81% and 1210.61% respectively, dwarfing the Sensex’s corresponding returns of 78.36% and 226.37%.

Shorter-term performance also reflects strength, with one-month and three-month returns of 2.74% and 8.85%, respectively, both outperforming the Sensex which recorded negative and lower positive returns in these periods.

Financial Strength and Operational Efficiency

TVS Motor Company Ltd’s ascent to this record price is underpinned by strong financial metrics and operational performance. The company boasts a high Return on Capital Employed (ROCE) of 22.47%, reflecting efficient utilisation of capital to generate profits. This figure improved further in the half-year period, reaching 25.11%, the highest recorded for the company.

Net sales have grown at an annual rate of 24.90%, while operating profit has expanded at an even more robust 37.28% annually. Net profit growth stands at 29.25%, with the company declaring very positive results in September 2025. Impressively, TVS Motor has reported positive results for eight consecutive quarters, signalling consistent operational strength.

Operating cash flow for the year reached a peak of Rs.3,502.92 crores, underscoring strong cash generation capabilities. Additionally, the operating profit to interest coverage ratio for the quarter hit a high of 3.84 times, indicating comfortable debt servicing capacity despite the company’s leverage.

Institutional Confidence and Market Capitalisation

Institutional investors hold a significant 41.24% stake in TVS Motor Company Ltd, reflecting confidence from entities with substantial analytical resources. The company’s market capitalisation grade is rated at 1, indicating a large-cap status with considerable market presence.

The company’s Mojo Score stands at 71.0, with a Mojo Grade upgraded from Hold to Buy as of 6 Nov 2025, reflecting improved fundamental and market performance assessments.

Valuation and Risk Considerations

While TVS Motor Company Ltd demonstrates strong growth and operational metrics, it carries a relatively high average debt-to-equity ratio of 1.92 times, indicating significant leverage. The company’s ROCE of 32.2 and an enterprise value to capital employed ratio of 9.6 suggest a valuation that is on the higher side, though the stock currently trades at a discount relative to its peers’ historical averages.

Over the past year, profits have risen by 39.1%, outpaced by the stock’s 56.32% return, resulting in a PEG ratio of 1.7. This indicates that while the stock price has appreciated strongly, earnings growth remains substantial but slightly lagging the price appreciation.

Long-Term Growth and Market Leadership

TVS Motor Company Ltd’s remarkable returns over the last decade, exceeding 1200%, highlight its sustained leadership in the automobile sector. The company’s ability to consistently outperform the BSE500 index over the past three years further cements its position as a growth engine within the market.

Its strong management efficiency, demonstrated by high ROCE and consistent profit growth, has been a key driver behind the stock’s upward trajectory. The company’s capacity to generate healthy operating cash flows and maintain positive quarterly results over an extended period reflects operational robustness.

Despite the elevated debt levels, the company’s interest coverage and cash flow generation provide a buffer that supports ongoing business activities and growth initiatives.

Summary of Key Metrics

To summarise, TVS Motor Company Ltd’s all-time high price of Rs.3753.8 is supported by:

• Consecutive gains over three days with a 4.85% return


• Outperformance versus Sensex and sector benchmarks across multiple time frames


• High ROCE of 22.47% (25.11% half-year), strong net sales and profit growth


• Operating cash flow at Rs.3,502.92 crores and strong interest coverage ratio


• Institutional holdings at 41.24% and upgraded Mojo Grade to Buy


• Robust long-term returns with 10-year gains exceeding 1200%

These factors collectively illustrate the company’s strong market position and financial health, culminating in this significant milestone.

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