Hero MotoCorp Ltd. fell nearly 4% to Rs. 5,322 per share, emerging as the top loser on the Nifty Auto index, which traded 0.5% lower in early deals. The stock opened weak at Rs. 5,499.75 and slipped to an intraday low of Rs. 5,270, with a VWAP of Rs. 5,346.89. The two-wheeler major’s market capitalisation stood at Rs. 1.05 lakh crore, as investors reacted to a 6.4% (YoY) decline in October volumes, led by softer domestic demand.

Hero MotoCorp sold 5.32 lakh units in October 2025, compared with 5.68 lakh units a year earlier. Domestic sales fell 8% YoY, signalling continued demand weakness in commuter motorcycles, while exports rose 43%, aided by a low base and improved shipments to Africa and Latin America. Analysts noted that the sales mix remains concentrated in the entry-level 100–125 cc category, where rural recovery has been sluggish despite festive-season schemes.

In contrast, Bajaj Auto posted a 4% YoY rise in October two-wheeler sales, buoyed by a stronger export rebound and rising contribution from premium models.

TVS Motor Company reported total sales of 3.62 lakh units in October, up 6% YoY, driven by double-digit growth in scooters and a steady rise in electric two-wheelers under its iQube portfolio.

The divergence highlights Hero’s slower traction in premium and EV segments, despite recent rollouts such as the Xtream 125R and Vida V1. Industry trackers said high competition, delayed rural purchases and moderate festival footfalls weighed on Hero’s October performance.

At the broader sector level, auto stocks traded mixed: TVS Motor edged 0.4 percent higher, Bajaj Auto was up 0.6 percent, while Eicher Motors slipped 0.8 percent. The Nifty Auto index hovered around 21,950, consolidating after a strong October run. Despite today’s fall, Hero MotoCorp shares are still up 33% in 2025, supported by robust financials and a net-cash balance sheet, though investors await clearer visibility on premium and EV traction before re-rating the stock.