Auto stocks in focus, June 11 -- The automobile sector across passenger vehicles (PV), two-wheelers (2W), and commercial vehicles (CV) has been facing demand challenges in the domestic market, even as export markets have maintained decent growth despite increasing global headwinds.

The continued weakness in domestic demand is attributed to subdued consumer sentiment, particularly in the entry-level segment, which is typically more affordable, simpler, and fuel-efficient.

For instance, the contribution of entry-level motorcycles to overall sales declined to 37% in April 2025 from 53% in Q4FY23. Similarly, entry-level cars accounted for only 31% of total PV sales in Q4FY25, down from 41% in Q4FY23.

According to domestic brokerage JM Fina...