The 20th company to cross the Rs. 2 Trillion (Rs 2 Lakh Crore) market capitalization, Maruti Suzuki India Ltd takes pride in becoming the first Indian Auto manufacturer to reach the milestone.

In terms of market capitalization, Maruti Suzuki has become the 12th largest auto company in world.  Its market cap is 44% higher than its parent company, Suzuki Motor Corp of Japan.  The shares of Maruti Suzuki closed at Rs. 6,690 up by 2.52% from the previous close, with a market capitalization of Rs. 2.02 trillion.

Tata Consultancy retains the top spot with a market cap of Rs 4.51 Trillion, followed by Reliance Industries at Rs. Rs. 4.46 Trillion and HDFC at Rs. 3.96 Trillion.  Showing high growth in the last quarter ended March 2017 due to increase in sales of its Vitara Barezza and Baleno models, its market share went up from 47.4% to 47.(% despite demonetization.

Foreign brokerage firm USB said, “We remain positive on Maruti, as we expect strong volume growth in FY18-19 driven by implementation of the 7th Pay Commission and a strong model cycle. We expect valuation multiples to remain at the present level, as Maruti has demonstrated its ability to keep up with the premiumization of car demand and has increased its market share in higher-priced segments.“

Maruti Suzuki has recommended a dividend of Rs. 75 per share for 2016-17, up from Rs. 35 per share last year.

Source Courtesy: LiveMint