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It has been a lackluster 2013 so far for Bajaj Auto on the bourse. The stock has underperformed those of rivals Hero and TVS Motor , and also the BSE Auto Index. Investor fatigue could have to do with the company losing market share and the stock being fairly priced after a decent upswing in 2012.
“Our issue has been with the Discover brand and that is where we have to gain back the couple of percentage points on market share that we have lost,” Managing Director Rajiv Bajaj told CNBC-TV18 in an interview.
Bajaj says market response to the just launched new Discover has been positive.
“The rate at which we will lock bigger numbers in motorcycles and therefore greater market share depends entirely now on the success of the new models that we will launch of these new Discover platform,” he said. A Moneycontrol.com poll showed that between the two – Hero Motocorp and Bajaj Auto , the latter was a better play in the two-wheeler segment now. Sixty eight percent of the 280 respondents preferred Hero.