Tata Motors'(NSE: TATAMOTORS) share is in focus during trading today. The share of the company increased by 1 percent today, reaching an intraday peak in the range of 976.
There is positive news behind this rise in shares. Atop brokerage firm has upgraded the rating on Tata Motors shares.
The brokerage has increased the rating of Tata Motors shares from ‘Add’ to ‘Buy’ and has set its target price at Rs 1,175 per share.
Let us tell you that this Tata stock has been sluggish for the last month. During this period, it has registered a decline of about 18%.
Tata Motors’ share is seeing a decline amid a slowdown in domestic commercial vehicles (CV) and passenger vehicles (PV).
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Details Of The Company
The brokerage says that China is a smaller market for Jaguar Land Rover (JLD) and its profitability and outlook for debt remain unchanged.
In the Indian markets, Tata Motors’ commercial vehicle business outlook is looking better.
Another analyst said that while overall growth expectations are modest, they expect profitability to remain, and the deleveraging journey is also on track due to mix and cost actions.
In addition, the company’s new launches and low inventory will help outperformance against a weak PV industry.
The analyst said the balance sheet of Tata Motors’ is now good. The brokerage firm projects a 6% volume CAGR for Tata Motors over FY24-27.
Tata Motors Share Price History
Tata Motors’ share price has fallen over 11% in a month, while the auto stock has climbed over 23% year-to-date (YTD).
Tata Motors share has climbed over 50% in a year. The 52-week peak value is 1,179.05 and its 52-week low is 608.45.
The market capitalization of the business is ₹ 3,55,922 crore.
Quick Fact
| Company name | Tata Motors |
|---|---|
| Rating | Upgraded to ‘Buy’ |
| Previous rating | ‘Add’ |
| Possible target price | ₹1,175 per share |
| Share increase today | 1% |
| Intraday peak | ₹976 |
| Recent performance (1 month) | Declined by 18% |
| Market capitalization | ₹ 3,55,922 crore |
| Commercial vehicle outlook | Positive |
| Deleveraging | On track |
| New launches | Support outperformance |
| Volume CAGR (FY24-27) | 6% |
| Year-to-date share increase | 23% |
| Share increase (1 year) | Over 50% |
| Key market for JLR | Not China |
| Domestic vehicle segments | Passenger & Commercial Vehicles |
| Inventory levels | Low |
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