Following the Q2 FY27 results, investors are closely comparing Maruti Suzuki and Tata Motors Passenger Vehicles (PV) to identify the better auto stock for long-term investment. According to market experts, both companies offer attractive opportunities, but their investment stories are quite different.
Maruti Suzuki continues to benefit from its strong brand value, wide dealership network, large-scale manufacturing capabilities and leadership in the passenger vehicle segment. The company’s market share improved to 40.8%, while quarterly sales reached a record 6.97 lakh units, registering healthy year-on-year growth. Revenue also moved up significantly. However, profit margins came under pressure due to higher commodity costs, unfavourable currency movements and lower non-operating income. Experts believe future growth will be supported by stronger SUV sales, exports and upcoming electric vehicle launches.
Tata Motors PV reported even stronger volume growth, driven by its popular SUV range and a sharp rise in electric vehicle sales. The company is also strengthening its CNG portfolio and introducing new products. While Tata offers higher growth potential, experts point out that maintaining market share, improving profitability and enhancing after-sales service remain key challenges.
Analysts believe Maruti Suzuki is better suited for stable long-term wealth creation, while Tata Motors PV may suit investors looking for higher growth with higher risk. Tata Motors PV has a suggested upside target of ₹320.