Ashika Institutional Research has initiated coverage on Sharda Motor Industries Ltd, assigning a 'Buy' rating with a target price of Rs 1,410. The brokerage described Sharda Motor as a "hidden-value, high-quality auto-ancillary" player with strong leadership in emission systems for passenger and light commercial vehicles and growing prospects in light-weighting and exports. Advertisement

The report noted that Sharda Motor is well-positioned to benefit from multiple tailwinds, including the upcoming TREM-V and BS-VII emission norms, which are expected to significantly expand its addressable market.

The TREM-V regulation alone could unlock a tractor exhaust market worth about Rs 800 crore, boosting the company's emission-related revenues at a projected 11 per cent CAGR between FY25 and FY

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