Shares of homegrown auto major Tata Motors rose over 3% on Tuesday after the company declared its sales numbers for October.
Tata Motors reported a 27% growth in domestic sales to 49,669 units in October against 39,152 units YoY
Tata Motors stock has risen 1.86% in the last 3 days. Today, the stock touched an intraday high of Rs 137.35 rising 3.39% as against the last close of Rs 132.85 on BSE.
Tata Motors shares have given 0.67% returns in the last one month. Tata Motors share price is trading higher than 5, 20, 100 and 200-day moving averages but lower than 50-day moving averages. Market capitalisation of the auto firm stood at Rs 41,515.81 crore.
Passenger vehicle sales during the previous month surged 79% to 23,617 cars as compared to 13,169 units in October 2019, Tata Motors said.
Company's total CV sales grew 2% to 28,472 vehicles in October as against 28,002 vehicles in the year-ago period. Commercial vehicle domestic sales stood at 26,052 in the previous month compared to 25,893 units in October 2019.
Commercial vehicle exports grew 20% during October to 2,420 units against 2,019 a year ago.
CLSA has raised its FY21-23 EBITDA forecasts by 2% and maintained a "buy" rating with a price target at Rs 220. Meanwhile, research and broking firm ICICIdirect kept a "buy" rating on the stock with a target of Rs 165 per share.
Motilal Oswal on its report published on 28 October 2020 said," 2QFY21 marked initial signs of volume recovery, the benefit of the mix, and cost-cutting initiatives coming together. This coupled with normalcy in working capital as well as tight control on Cape resulted in FCF turning positive. JLR's near-term volumes may be at risk from a potential second wave of COVID. However, mix improvement and tight cost/Capex control would drive sharp improvement in operating performance and debt reduction. We upgrade our FY22E EPS by 13% to factor in lower tax in JLR (reversal of deferred tax). Maintain Buy, with TP of INR230 (Sep'22 SOTP)."