Vrooming stock! Tata Motors shares gain amid higher-than-expected June auto sales; shares up 86% in 6 months

Tata Motors become one of the topmost gainers at the close today, along with Baja Auto, and led the auto index grew by near one per cent on Thursday. On an individual basis, the shares of auto major grew by around two and a half per cent to Rs 347.5 per share on the BSE intraday trade amid strong vehicle sales data. 

The scrip was positive and buzzing since the market open, as the company reported a 125 per cent year-on-year jump in the total domestic sales to 43,704 units in June 2021 as compared to 19,387 units in the same month a year ago, while it grew by 78 per cent on a month-on-month (MoM) basis. 

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In bifurcation, Tata Motors total commercial vehicle sales soared by 150 per cent to 22,100 units in June 2021 as against 8,824 units in June 2020, while passenger vehicle sales jumped 111 per cent to 24,110 units versus 11,419 units in the same period a year ago. 

Tata Motors Commercial Vehicles Business Unit, ED & President Girish Wagh, “The second covid wave impact was much lesser than the first wave last year on sales. We realigned our production to the revised retail visibility as demand across all segments was impacted.”  

“The trucker and tipper sentiments indices saw a sharp drop, being comparable only with the level seen during complete lockdown last year. However, with easing restrictions and gradual reopening during the last fortnight of June 2021, we are witnessing increasing inquiries and retails,” he added. 

The stock closed around one and a half per cent higher to Rs 344.2 per share on the BSE, as against a 0.3 per cent decline in the S&P BSE Sensex on Thursday. In the last six months, the stock has reported a growth of over 86 per cent, while it grew by around 31 per cent Since April 12, 2021.