Large Cap Tata Group Stock Up 55.51% In 2023, Should You Buy, Sell Or Hold?

Large cap Tata Group stock, Tata Motors Ltd. shares witnessed a surge of 55.51% year-to-date as its consolidated profit for June quarter soared to Rs 3202.80 crore as against the loss of Rs 5,006.60 core declared in the corresponding quarter last year. Tata Motors also declared 100% dividend in 2023 after a gap of nearly 7 years as its profits rallied in FY 2023. Current market price of Tata Motors share on BSE is Rs 622.00 per share. Check details below:

Tata Motors Stock Outlook In 2023: Current market price of Tata Motors stock on BSE is Rs 622.00 apiece. Its 52-week high price is Rs 665.30 per share (attained on July 26, 2023) and 52-week low price is Rs 375.50 per share (attained on December 26, 2022). The company has a market capitalisation of Rs 2,06,099.94 crore. Tata Motors stock declined 2.07% in last 1-week, gained 5% in last 3-months, soared 53% in last 6-months, witnessed a rally of 55.51% YTD, and rose 54% in last 1-year. Tata Motors Ltd share offered shareholders return of 86% in last 2-years. In last 3-years, Tata Motors Ltd stock surged 362% and gained 174% in last 5-years.

Tata Motors Dividend: Tata Motors shares traded ex-dividend on July 28, 2023. Earlier, its board of directors on May 12 recommended declaration of final dividend of Rs 2 per Ordinary Share of Rs 2 each (@100%) and Rs 2.10 per 'A' Ordinary Share of Rs 2 each (@105%) for the financial year ended March 31, 2023. The dividend, if declared at the AGM, shall be paid to the eligible shareholders from August 14, 2023 onwards." Tata Motors declared 16 dividends since July 2002, according to Trendlyne.

Tata Motors Financials: The company announced its revenue quarter ended June 30, 2023 at Rs 1,02,236 crore, up 42.1%, according to its exchange filing. The company's EBITDA for the quarter stood at Rs 14,700 crore, up 177%. Meanwhile, EBIT declared at approximately, Rs 8300 crore pushed by JLR and CV businesses. Tata Motors announced its free cash flow (automotive) for the June quarter remained in positive zone at Rs 2,500 crore amid robust improvement in cash profits. Net automotive debt came down to Rs 41,700.

Tata Motors Brokerage Call: According to brokerage firm Geojit, in its report dated August 8, "We believe the company's earnings performance will continue to improve in the coming quarters. With easing of chip supply, JLR should benefit from the healthy order book, driven by Range Rover Sport and ramp-up in Defender. Its Indian business is steadily recovering and anticipates sustained growth in the near term. Moreover, Tata Motors' continuous efforts to minimize cost, mainly in the JLR business, and favourable product mix would further aid expansion in margins in the coming quarters. Hence, we upgrade our rating to BUY on the stock with a revised target price of Rs. 737 based on SOTP valuation."

Tata Motors About: Tata Motors Group (Tata Motors) is a $37 billion organisation. It is a leading global automobile manufacturing company. Its diverse portfolio includes an extensive range of cars, sports utility vehicles, trucks, buses and defence vehicles. Tata Motors is one of India's largest OEMs offering an extensive range of integrated, smart and e-mobility solutions, according to its official website.

Disclaimer

The stock has been picked from the brokerage report of Geojit. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.