New target for Tvs Motors

Buy and hold TVS Motor Company with a 12-month target of Rs 40. TVS Motors Ltd (TVSM) reported a 16% rise in net sales to Rs 9.1 billion on back of a 3% YoY growth in volumes and 13% improvement in realizations aided by price hikes and richer product-mix. Despite the above, TVSM reported a 7% decrease in net profits due to an exceptional income of Rs 72 million in Q1FY08.