Tata Motors share rose 10% in early trade today after the company highlighted signs of recovery as sales in China remained strong in Q3. Share of Tata Motors hit upper circuit of 10% to Rs 242.10 against previous close of Rs 220.10 on BSE.
Market cap of the firm rose to Rs 74,784 crore. The large cap stock has gained 31.22% in the last 8 days. The stock opened with a gain of 3.95% at Rs 228.80.
Tata Motors share is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
The share has gained 23.27% in one year and risen 31.79% since the beginning of this year. In a month, the stock has gained 35.4%.
The rise in stock can be attributed to recovery of JLR sales in China.
In Q3, retail sales rose 13.1% to 128,469 vehicles against 113,569 vehicles sold in the preceding quarter. However, they were down 9 per cent when compared to same period last year.
In 2020, Jaguar Land Rover retail sales fell 23.6 per cent to 425,974 vehicles compared to 2019 reflecting the industry impact of COVID-19 particularly in the first half of the year when plants were shut down for more than two months. However, China sales were particularly encouraging as they rose 20.2 per cent on the prior quarter and 19.1 per cent year-on-year.
By Aseem Thapliyal