* Nomura downgraded Bajaj Auto to 'neutral' from
'buy', saying the Indian auto maker's valuations of 15.5 times
fiscal 2014 earnings have priced in expectations of improving
* The downgrade comes even as Nomura says it still believes
Bajaj Auto can continue to beat market leader Hero MotoCorp
over the next few months.
* Bajaj Auto has gained 30.8 percent so far this year versus a
25 percent gain in the BSE index and a fall of 2.2
percent in Hero MotoCorp.