By Aditya Raghunath
Investing.com -- Three weeks back, on January 4, investing.com had written on the reasons why brokerages were recommending a ‘buy’ on Hero MotoCorp (NS:HROM). The company had reported good numbers for the third quarter of FY21. The stock was trading at Rs 3,073 then. Today, it is trading at Rs 3,450, up over 12%.
On January 28, Hero announced that it is entering into a distribution agreement with Mexico’s Grupo Salinas to start its operations in North America. “With the global expertise and technology prowess of Hero and the local market knowledge of Grupo Salinas, we are aiming for the rapid expansion of the Hero brand here over the next three years,” said Hero MotoCorp's Chairman & CEO Pawan Munjal.
A company statement said that the company will launch nine products in the first phase, including motorcycles - for work (100cc), street (125cc), premium (150cc, 160cc) and on-off segments - and scooters.
At a time when the world is moving toward EV (electric vehicles), this diversification into other markets could work well for Hero MotoCorp, as it develops its own electric vehicles. Hero MotoCorp now has an extensive presence across Asia, Africa, South and Central America and the Middle East. In Latin America, the company is now present in more than 10 countries.