Tata Group Stock: Shares of Tata Group‘s auto company Tata Motors closed in the green on Friday (3 November). Tata Motors stock saw a rise after strong July-September quarter results. The company made a profit of Rs 3764 crore in Q2. After the results, brokerage houses are bullish on Tata Group‘s auto shares Tata Motors. Most of the brokerages have advised to buy the shares. The stock has jumped nearly 64 percent so far this year.
Tata Motors: Share price will touch ₹840
Brokerage firm Nuvama has advised to buy shares of Tata Motors. From a 12 month perspective, the target price per share has been kept at Rs 840. The brokerage says that the second quarter has been strong. Margin outlook has improved. On November 3, 2023, the share price closed at Rs. 646. In this way, the stock can get further returns of about 30 percent from the current price.
Motilal Oswal has advised to buy Tata Group‘s auto shares. The target has been kept at Rs 750 per share. The company has registered strong profits in the September quarter. There has been strong growth from JLR/PV business.
CLSA has advised to buy on Tata Motors with a target of Rs 803. Morgan Stanley has given the rating ‘Overweight’. A target of 711 has been set. Jefferies has advised buying with a target of Rs 800. Nomura has maintained its buying advice. The target per share has been kept at Rs 786.
Tata Motors has been included in the Jhunjhunwala portfolio for a long time. Rekha Jhunjhunwala’s portfolio includes Tata Motors shares (Tata Motor Share Price). Rakesh Jhunjhunwala and Associates’ stake in Tata Group company is 1.6 percent (53,256,000 equity shares). Its total value is Rs 3,448.3 crore. Shares of Tata Motors have increased by more than 35 percent in the last 6 months.
Tata Motors: How were the Q2 results?
Tata Motors had a profit of Rs 3764 crore in Q2. The company had suffered a loss of Rs 944 crore in the same quarter a year ago. There was a bumper increase of 32% in consolidated revenue and it stood at Rs 105128 crore. Shares of Tata Motors closed at Rs 637 (Tata Motors Share Price). The company’s revenue on consolidated basis stood at Rs 105128 crore with a jump of 32.1 percent. EBITDA margin improved by 400 basis points to 13.7 percent. EBIT margin improved by 510 basis points to 7.5 percent. PBT i.e. Profit Before Tax was Rs 6110 crore.
The revenue of JLR i.e. Jaguar and Land Rover recorded a growth of 30.4 percent on annual basis and stood at 6857 million pounds. There was an increase of 430 basis points in EBITDA and it was 14.9 percent. EBIT strengthened by 630 basis points and stood at 7.3 percent. Talking about the performance of Tata Motors’ commercial segment, the revenue stood at Rs 20087 crore with a jump of 22.3 percent. Talking about the performance of passenger vehicle segment, there has been a decline of 3 percent in revenue and it stood at Rs 12174 crore.