The Indian motorcycle maker will boost prices across the board starting July 1. Prices could climb by much to Rs 3,000, according to estimates. The stock was one of the top gainers on the Sensex and Nifty 50 indexes on Wednesday.
Splendor Plus, HF Deluxe (Rs 49,400), and Passion Pro are the most popular Hero models. The Xtreme 200R and Xtreme 160S are two upcoming Hero motorcycles set to debut in India in 2021.
On the NIfty, Hero MotoCorp was trading at Rs2975 a share at 11.38 a.m., up Rs68.65 or 2.36 percent. So far this year, Hero MotoCorp shares have declined 3%, trailing the Sensex, which has gained more than 10%.
Hero MotoCorp's move to raise pricing beginning July 1, 2021, has been well received by investors.
The price rise was necessary, according to Hero MotoCorp, to partially offset the impact of rising commodity prices. To minimize the impact on the client, the corporation continues to actively pursue a cost-cutting program.
Since the second wave of COVID-19 swept the country, the trend of price increases has resumed. Maruti Suzuki has just lately increased the cost of its vehicles, whereas BMW and Tata Motors have also made price changes to their lineups. Mahindra is also exploring a change.
Most manufacturers have already increased prices to compensate for rising raw material costs and sluggish sales caused by the pandemic.