Maruti Suzuki (MARUTI)

FairStock Score: 48/100 — MIXED

Score breakdown: P/E: 0/3 · ROCE: 1/2 · Growth: 1/2 · Dividend: 0/1

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Here is what you need to know about Maruti Suzuki. The stock is trading near Rs 13,834 with a market cap close to Rs 4.35 lakh crore. This is a high-quality Indian auto franchise: almost debt-free, ROCE around 21.7%, ROE near 15%, and promoters holding about 58.5%. The company is not weak. The problem is the price and the profit trend. The P/E is 30.3 times while the Graham number is only about Rs 5,822, so you are paying a big premium for quality. Sales growth is strong at 35% year-on-year, but profit growth is negative at about -9.7%. Revenue is rising, but it is not converting into bottom-line growth. The FairStock score is only 2 out of 10, verdict weak. Now the quant side: the mean-reversion model is giving a sell signal, but not an extreme one. The z-score is 1.36, meaning the stock is about 3.2% above its 20-day average, with a half-life around 12 days. Think of a rubber band slightly stretched; it may snap back toward average, but the stretch is moderate. I do not have the Hurst exponent or variance ratio in this dataset, so I cannot fully confirm the strongest mean-reversion setup. Volume is mixed. Liquidity is excellent, with a composite score above 92 and very low market impact, but today's volume is only about 55% of the 20-day average. The five-day volume imbalance is positive at 54.8%, while the 20-day imbalance is still negative at -19.4%. That means the recent buying is not yet trend-confirmed. Pair data shows Maruti is cointegrated with financials like KOTAKBANK and BAJAJFINSV, with moderately stretched spreads, supporting near-term relative mean reversion. The practical call is simple: this is a classic stalwart where the business is strong but the entry price is poor. If you already own it, I would not panic-sell a debt-free franchise, but I would not add at current levels. If you are looking for fresh entry, there is no margin of safety. I would rather wait for a meaningful pullback toward the 20-day average or the 10,900 to 11,000 zone, or wait for profit growth to turn positive. My rating is SELL for fresh entry with a 12-month horizon. If you do hold it, keep the position small, ideally under 2% of your portfolio, and do not bet heavily just because the brand is popular.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer