Maruti Suzuki Shares Plunge 4% After Winning Streak; HSBC Flags Key Margin Factor

• Maruti Suzuki shares fell over 4.5% on Wednesday, ending a six-day winning streak and marking its biggest single-day fall in 11 months.
• HSBC maintained a 'buy' rating with a revised price target of ₹18,500, emphasizing Q3/Q4 margins as critical for the stock.
• HSBC warned that EBIT margins below 10% could disappoint the market, with commodity prices posing a near-term risk.
• Bernstein also maintained an 'outperform' rating, raising its price target to ₹19,000 from ₹17,800.
• Maruti reported strong December sales of 2.17 lakh units, exceeding estimates and up 22.2% year-on-year, with domestic PV sales up 37.5%.

Why It Matters: Maruti Suzuki shares dropped despite strong sales, with future margins and commodity risks key for investors.