Case study

HEROMOTOCO

Hero MotoCorp

Worth a closer look1y model -8.5%

Each stock's 10,000-path forecast, rendered as light.

0Score

Hero MotoCorp (HEROMOTOCO) Stock Analysis & Case Study

Is HEROMOTOCO a good buy? The data-driven verdict.

Hero MotoCorp (HEROMOTOCO) trades at ₹4,984,on the numbers it worth a closer look, a Downstox Snapshot Score of 66/100.

On the numbers, Hero MotoCorp (HEROMOTOCO) worth a closer look, a Downstox Snapshot Score of 66/100, weighing fairly valued at 17.1× earnings, ROE of 28.5%, a 37% model probability of trading higher in a year. Below: the full bull case, bear case, sector-relative valuation, and a probability-weighted price target for 20272031.

Last updated . Data snapshot for research, not investment advice.

HEROMOTOCO fundamentals at a glance, PE, PB, ROE, ROCE, market cap, dividend yield

Market cap
₹99,728 Cr
Current price
₹4,984
P/E ratio
17.1×
P/B ratio
4.61×
Book value
₹1,080
Dividend yield
3.71%
ROCE
35.8%
ROE
28.5%
Piotroski F-Score
4/9

Is HEROMOTOCO overvalued? HEROMOTOCO P/E vs its Auto

HEROMOTOCO's P/E of 17.1× sits below the Auto peer median of 26.4×, so on earnings it screens cheaper than peers, while its 3.71% dividend yield is above the peer median of 1.08%.

HEROMOTOCO P/E
17.1×
Peer median P/E
26.4×
HEROMOTOCO div yield
3.71%
Peer median yield
1.08%

HEROMOTOCO share price target 2027, 2028, 2029, 2030, 2031, a probability view

Unlike a single guessed number, this is a probability-weighted range from a 10,000-path Monte-Carlo simulation on 2.0y of HEROMOTOCO history (-5%/yr drift, 26%/yr volatility).

YearLow (P10)Median target (P50)High (P90)Upside vs today
HEROMOTOCO 2027₹3,274₹4,554₹6,389-8%
HEROMOTOCO 2028₹2,622₹4,169₹6,682-16%
HEROMOTOCO 2029₹2,162₹3,838₹6,734-23%
HEROMOTOCO 2030₹1,811₹3,518₹6,821-29%
HEROMOTOCO 2031₹1,543₹3,231₹6,732-35%

Median (P50) is the central estimate; the P10–P90 band is the 80% confidence range. Probabilities, not promises.

What is the probability HEROMOTOCO goes up, or doubles?

37%
Higher in 1 year
Modelled chance the price is above today in 12 months
23%
Higher in 5 years
Modelled chance the price is above today in 5 years
3%
Doubles in 5 years
Modelled chance of reaching ₹9,950 within 5 years

The bull case for HEROMOTOCO

  • A 17.1× P/E sits in the fair-value band, neither cheap nor stretched.
  • High return on equity (28.5%), the business compounds shareholder capital efficiently, the hallmark of a quality franchise.
  • Strong ROCE (35.8%) shows the core business earns well above its cost of capital.
  • Pays a 3.7% dividend yield, so you're partly paid to wait.
  • Upside scenario: the model's optimistic (P90) 3-year path reaches ₹6,734.

The bear case & risks

  • The probability model is cautious 12 months out, only a 37% chance of finishing above today's price.
  • Downside scenario: the model's pessimistic (P10) 3-year path falls to ₹2,162.

HEROMOTOCO volatility & expected range, how bumpy is the ride?

Over the last 2.0 years HEROMOTOCO compounded at -5%/year with annualized volatility of 26%. That volatility implies a 1-year 80% range of ₹3,274₹6,389, the honest backbone behind any single price target.

HEROMOTOCO price forecast, the full 60-month probability fan

Spot Price · Today
₹0
Based on 2.0 years of daily NSE data ·0.0% annualised volatility
5-yr median forecast
₹0
P(price ↑ in 5y)
0%
1-Year Forecast
2027
₹0
Median (P50)
8.5%
80% range₹3,274–₹6,389
P(price ↑)37%
P(price 2×)0%
3-Year Forecast
2029
₹0
Median (P50)
22.9%
80% range₹2,162–₹6,734
P(price ↑)28%
P(price 2×)2%
5-Year Forecast
2031
₹0
Median (P50)
35.0%
80% range₹1,543–₹6,732
P(price ↑)23%
P(price 2×)3%

HEROMOTOCO price probability fan

Each band shows where 10,000 simulated paths land. The wider the fan, the more uncertainty.

Probability Fan
HEROMOTOCO simulated paths · 60 months · 10,000 trials
P10–P90 (80%)P25–P75 (50%)Median (P50)

Probability of key outcomes

What are the odds HEROMOTOCO hits common targets within the simulated horizon?

0%
P(↑ 1Y)
Above today's price in 1 year
0%
P(↑ 5Y)
Above today's price in 5 years
0%
P(2×)
Doubles within 5 years
0%
P(↓)
Falls below today in 5 years

Full multi-horizon detail on the HEROMOTOCO price target & forecast page.

HEROMOTOCO Piotroski F-Score: 4/9, how financially strong is it?

4/9

The Piotroski F-Score grades financial strength on nine profitability, leverage and efficiency checks. HEROMOTOCO scores 4/9,mixed financial health.

HEROMOTOCO MTF margin & leverage, Upstox, Zerodha, Groww, Dhan

Margin Trading Facility lets you buy HEROMOTOCO with part of the capital. Lower margin % = higher leverage. Rates compared across brokers (no competitor publishes this):

BrokerMargin requiredApprox. leverage
Upstox28.2%3.5×
Zerodha24.1%4.1×
DhanCHEAPEST22.5%4.4×

Compare every broker on the HEROMOTOCO MTF page.

HEROMOTOCO vs peers,Auto comparison

StockP/EDiv yieldMarket cap
HEROMOTOCO (this stock)17.1×3.71%₹99,728 Cr
MARUTI28.8×1.04%₹4.22L Cr
EICHERMOT37.6×0.92%₹2.09L Cr
M&M21.5×1.08%₹3.81L Cr
BAJAJ-AUTO26.4×1.47%₹2.85L Cr
TVSMOTOR54.4×0.34%₹1.66L Cr
ASHOKLEY24.8×2.23%₹92,308 Cr

About Hero MotoCorp: sector, index & market-cap context

Hero MotoCorp (HEROMOTOCO) is a mid-cap NSE-listed company in the Auto sector, and a constituent of the Nifty 100 index group, with a market capitalisation of ₹99,728 Cr. See more Nifty 100 stocks.

How the HEROMOTOCO Snapshot Score & forecast are built

The Downstox Snapshot Score is a transparent, rules-based read of Hero MotoCorp's public fundamentals plus a statistical forecast, not an analyst opinion. It rewards low-to-fair valuation, high ROE/ROCE, a strong Piotroski F-Score, a dividend, low volatility and a favourable probability of upside; it penalises rich valuations, weak capital efficiency, a low F-Score and high volatility. The price target is a 10,000-path Monte-Carlo simulation on real historical volatility, a distribution, not a single guess. The bull and bear cases are generated from the same data, so you always see both sides.

This is information, not investment advice. Do your own due diligence and consult a SEBI-registered adviser before investing.

HEROMOTOCO analysis, FAQs

Is Hero MotoCorp (HEROMOTOCO) a good buy?

On the numbers, Hero MotoCorp (HEROMOTOCO) worth a closer look, a Downstox Snapshot Score of 66/100, weighing fairly valued at 17.1× earnings, ROE of 28.5%, a 37% model probability of trading higher in a year. This is a data snapshot for research, not investment advice.

Is HEROMOTOCO overvalued or undervalued?

HEROMOTOCO trades at 17.1× earnings versus a peer median of 26.4×, so it screens cheaper than its Auto peers.

What is the HEROMOTOCO share price target for 2031?

HEROMOTOCO's probability-weighted 2031 median target is ₹3,231, with an 80% range of ₹1,543₹6,732 (10,000-path Monte-Carlo).

What is the probability HEROMOTOCO doubles in 5 years?

The modelled probability of HEROMOTOCO reaching ₹9,950 (2×) within 5 years is 3%.

What is the bull case for HEROMOTOCO?

A 17.1× P/E sits in the fair-value band, neither cheap nor stretched. High return on equity (28.5%), the business compounds shareholder capital efficiently, the hallmark of a quality franchise. Strong ROCE (35.8%) shows the core business earns well above its cost of capital.

What are the risks in HEROMOTOCO?

The probability model is cautious 12 months out, only a 37% chance of finishing above today's price.

More on HEROMOTOCO