Hero MotoCorp Limited is India’s largest motorcycle and scooter manufacturer,

Strengths Market leader in the domestic two-wheeler segment with strong brands such as Splendor, HF Deluxe, Passion and Xtreme. Strong rural distribution network and over 6,000 dealerships and service points across India. Q3 FY26 revenue grew 21% YoY to around ₹12,328 crore, while volumes increased 16% to 16.97 lakh units, showing strong demand recovery. Weaknesses Heavy dependence on commuter motorcycles such as Splendor and HF Deluxe, which face slower growth and lower margins. Market share has gradually declined because competitors are growing faster in scooters, premium bikes and EVs. Electric vehicle business remains weak compared with rivals like TVS, Bajaj and Ola. Hero’s EV market share is still relatively small. Opportunities Rising rural demand and government support for lower GST on motorcycles below 350cc can improve future sales. Expansion into premium motorcycles, EVs and exports can improve margins and reduce dependence on entry-level bikes. Hero’s partnership with Harley-Davidson and investment in Euler Motors may create long-term growth opportunities in premium and electric mobility. Threats Strong competition from TVS Motor Company, Bajaj Auto Limited and Honda Motorcycle & Scooter India in both ICE and EV segments. TVS has gained market share faster in FY26, especially in scooters and EVs, while Hero has lost share. Any slowdown in rural demand or increase in fuel prices may hurt sales of commuter motorcycles. SEBI Registered Research Analyst Disclaimer (INH000013174): This analysis is prepared only for educational and informational purposes and should not be considered as investment advice, buy recommendation or sell recommendation. Investors should do their own research and consult their financial advisor before taking any investment decision. Registration No.: INH000013174.