Tata Motors share price zooms 6% on rise in JLR wholesale volumes; brokerages see 30% upside
Tata Motors Share Price NSE: JLR, a subsidiary of Tata Motors, reported a 15 per year-on-year increase in wholesale sales of Jaguar Land Rover to 79,591 units for the third quarter. T
Tata Motors Share Price NSE: Shares of Tata Motors rallied more than 6 per cent to quote Rs 415 apiece on NSE around 11 AM on Tuesday in an otherwise weak market. The buying in the domestic automotive manufacturing company was buoyed after higher wholesale volumes reported by Jaguar Land Rover (JLR) in Q3FY23 on the back of improvement in chip supplies.
The counter opened at Rs 400, up by 3 per cent from previous close of Rs 389.45 AM. The stock witnessed good momentum and good volumes as strong buying lifted it to the day's high of Rs 415.80, zooming more than 6 per cent around 9:45 AM. A total of 3,24,47,067 shares changed hands on NSE. It was also the top Nifty50 gainer during today's session.
JLR, a subsidiary of Tata Motors, reported a 15 per cent year-on-year increase in wholesale sales of Jaguar Land Rover to 79,591 units for the third quarter. The retail sale of the automotive manufacturing company grew by 5.9 per cent to Rs 84,827
Click Here For Latest Updates On Stock Market | Zee Business Live
Global brokerage firm CLSA said that it expects JLR margin profile to improve led by volume growth. For commercial and passenger vehicles, it said that business margins will improve on lower commodity costs and price hikes. It has upgraded the rating to Buy from Outperform and a price target of Rs 512.
JP Morgan has given a Neutral rating on Tata Motors with a target at Rs 400 per share. It said that model mix improved with share of Land Rover at 87 per cent in the third quarter. Share of higher margin models was at 65 per cent against 45 per cent in the first half. This, the brokerage said, is likely driving management expectation of £400 million of positive free cash flow (FCF) in the quarter under review.
Morgan Stanley in its report has maintained Overweight rating on Tata Motors for a price target of Rs 502.
Tata Motors Share Price Target
Tata Motors begins delivery of mini truck Ace
Also, read- Lumpsum Investment: What it is and how it works - Key things to know
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.