Ather Energy shares rose nearly 3% to ₹1,625 on Thursday after brokerage Nomura turned more positive on the electric two-wheeler maker and raised its target price. The stock gained as investors responded to expectations of faster electric vehicle adoption and stronger growth for Ather.
Nomura has raised its target price for Ather to ₹1,926 from ₹1,714 while maintaining its Buy rating. The brokerage believes demand for electric two-wheelers is developing faster than previously expected, creating room for Ather to increase sales and improve its financial performance.
A key part of the positive outlook is Ather’s recent launch of the Konarc, a new electric scooter aimed at a wider customer base. The model starts at around ₹1 lakh and marks the company’s push beyond its traditional premium positioning.
The Konarc launch comes at a time when India’s electric two-wheeler market is expanding rapidly. Electric two-wheelers crossed a 10% share of overall two-wheeler sales in August, reflecting growing consumer acceptance of EVs.
Nomura expects this trend to continue and has increased its estimates for Ather’s volumes and earnings. The brokerage sees faster EV penetration, new products and an expanding addressable market supporting the company’s growth over the next few years.
The Konarc could become particularly important because it gives Ather access to customers looking for more affordable electric scooters. The company has largely been associated with technology-focused and premium products, while competition in the mass-market segment has intensified.
The broader EV market is also attracting fresh investment from manufacturers. Ultraviolette, another Indian electric two-wheeler company, said it plans to invest about $82 million in a new plant in Hosur, Tamil Nadu, with an initial annual capacity of 2.5 lakh vehicles. The move reflects expectations of sustained growth in electric two-wheelers.
Ather’s stock has already delivered a strong performance this year. The shares have gained sharply over the past year, with the latest rally adding to investor interest in the electric mobility sector.
The company is also benefiting from a stronger competitive position as India’s EV market matures. Better battery technology, improving charging infrastructure and growing awareness of lower running costs are encouraging more buyers to consider electric scooters.
Ather’s performance will now be closely watched as the company begins scaling up the Konarc and attempts to convert the rising interest in electric mobility into higher volumes. Nomura’s latest target suggests that the brokerage expects the company’s growth to accelerate as EV adoption moves into a broader phase.
The ₹1,625 level reached by Ather shares on Thursday therefore reflects more than a one-day market move. It comes amid increasing expectations that new products such as the Konarc, combined with faster electric two-wheeler adoption, could improve Ather’s growth trajectory and financial performance.
