Shares of TATA Motors fell nearly 6 percent after CLSA reduced the share to perform better at a reduced target price of £ 765 per share from £ 930.
This indicates that the brokerage company has removed the stock of high convictions, better than the list. It has also reduced the EBITDA estimate of JLR for FY26. It added that the JLR volumes can fall by 14 percent yoj in FY26.
The automotive sector witnessed the lasting sales pressure after Trump’s rates.
CLSA says that the Ebidta margins from Tata Motors in FY26-27 can fall to 7 percent.
With the bottom of the commercial vehicles in FY26, however, the brokerage has overrolled the CV valuation of TATA Motors to FY28, which could add £ 127 to its share price. It would further dampen the appreciation against the demand risks as a result of American rates, CSA added.
The sale of TATA Motors in the domestic and international market for Q4FY25 was 252,642 units, almost 4.6 percent lower of 265,090 units in Q4 FY24.
Analysts of incredible shares have maintained the assessment of TATA Motors for £ 661 Target price stating that the weakness in the sales volume is not fully recorded by their valuations.
The share proceeded 5.34 percent lower at £ 619.05 from 10.18 hours, close to the low point of the day of £ 616.05.
The Nifty Auto Index was almost 3 percent at 20,558.35. Great losers are also Bharat Forge, Hero Motocorp, Bosch, Maruti, MRF and Motherson.
Published on April 4, 2025
