Hero MotoCorp Shares Plunge 5% After Jefferies Downgrade, Market Share Concerns

• Hero MotoCorp shares dropped over 5% after Jefferies downgraded the stock from 'Hold' to 'Underperform'.
• Jefferies reduced the target price from ₹5,550 to ₹4,950, indicating a potential 15% downside.
• The brokerage cited Hero MotoCorp's domestic market share falling to a 25-year low of 28% (April-November).
• Reasons for market share decline include shifting demand from entry-level bikes and weakening presence in the 110–125cc segment.
• Jefferies cut EPS estimates for FY26-FY28, though it expects a 5% output volume increase under pressure.

Why It Matters: Hero MotoCorp's stock fell sharply due to Jefferies' downgrade and concerns over declining market share.