New Maruti Alto 800 and Ertiga: Credit Suisse recommends Maruti Suzuki as Mahindra & Mahindra is graded neutral

Credit Suisse Group is a leading global financial services company with their headquarters in Zurich. The Group has over 250 branches in Switzerland itself while it operates in over 50 countries across the globe. Credit Suisse has downgraded Mahindra & Mahindra from – neutral to outperform. The investment bank has stated that the production cycle of M&M will peak where their utility vehicles are concerned while sales of their tractor segment will go down lower than expected.

On the other side of the coin, Maruti Suzuki India Limited is collecting rich rewards especially where their newly launched Maruti Ertiga SUV is concerned. The company launched their Ertiga in April 2012 and is competitively priced in the Rs.5,89,095 to Rs.8,60,095 bracket for the petrol and diesel variants. Bookings reached hit a new record with over 32000 bookings in just a month of launch.

Maruti Suzuki also launched their new Alto 800 which is again predicted to be a major crowd puller specially for first time buyers and buyers in the younger age groups. Meanwhile shares of M&M have gone up 0.8% while those of Maruti Suzuki India Limited have gained 1.2%. M&M launched Mahindra’s compact SUV Quanto on 20th September and raked in over 5,000 bookings within 3 weeks of launch. On the other hand, yesterday’s new Maruti Alto 800 launch has already garnered 10,000 bookings prior to being introduced in the Indian auto market. The new maruti Alto is available in a price range of Rs 2.44 lakh and 3.56 lakh (Ex -showroom Delhi).