Up 60% in 1 year: Brokerages suggest buying this Tata Group stock, revise target

Up 60% in 1 year: Brokerages suggest buying this Tata Group stock, revise target

Auto stock to buy: Shares of Tata Group company Tata Motors closed in the green today on BSE. The stock has come on the radar of brokerages after JLR's (1QFY25) business update. Brokerages are advising to buy shares of auto company Tata Motors. 

Tata Motors share: Price target

Brokerage Macquarie has given an 'outperform' rating to the stock with a revised target of Rs 1,171. The target implies an upside of up to 17 per cent from Thursday's closing price.

On the other hand, brokerage JP Morgan has maintained its 'overweight' rating on the stock. It has given a target price of Rs 1,115. According to the brokerage, the stock can provide returns of up to 11 per cent from its today's closing price of Rs 1002.4 apiece on BSE.

Why JP Morgan bullish on Tata Motors stock

Brokerage says JLR's product mix in the first quarter is positive. Good margins are visible. JLR's wholesales (ex-China JV) in 1QFY25 stood at Rs 97.8 thousand. This is 5 per cent more on annual basis. Overall sales were 111K. It has increased by 9 per cent on an annual basis. This is a positive surprise.

A look at Tata Motors' Q4FY24 earnings

Mumbai-headquartered Tata group auto giant Tata Motors reported a consolidated net profit of Rs 17,407.2 crore for the January-March period, beating analysts' expectations by a wide margin. The net profit was up 3.2 times on a year-on-year basis. 

The company registered a growth of 13.3 per cent in revenue to Rs 1,19,986 crore for the March quarter, according to a regulatory filing. Read more 

Tata Motors stock performace

Shares of Tata Motors were the top performer of Nifty in the last financial year. The stock has jumped more than 60 per cent in the last one year. Whereas it has given returns of more than 125 per cent in 2 years. The stock has gained more than 26 per cent so far this year. The 52 week high of the stock on BSE is 1,065.60 and the low is 592.25. The market cap of the company is more than Rs 3.33 lakh crore.