Tata Motors shares continue to be on the path to decline as the stocks of one of the largest automobile maker in the country were trading in red on Thursday, September 12.
This decline has accumulated the overall reduction in value of Tata Motors shares amounting to over 9 per cent, in just the past 5 trading sessions.
Company Shares Lose 9 per cent in 5 Days
Trading data for the past 5 trading sessions. |
This decline came to pass after international brokerage firm UBS Securities nugged the carmaker's shares to a 'Sell' rating. The firm focused on the possibility of a decline in the prospects of Tata Motors' luxury car-making wing, the Jaguar Land Rover or JLR, as it is popularly known to some.
According to UBS, due to margin limitations at the company's luxury division, Jaguar Land Rover, as well as in the domestic passenger vehicle market, there are concerns about possible further declines.
Previously, UBS Brokerage had retained the 'Sell' rating for the company's stocks. UBS set a target price of Rs 825 per share.
Currently, the shares are trading below the Rs 1,000 mark.
Tata Motors Shares Continue To Drop
On Thursday, September 12, the company shares have wavered in the red territory. Although not as colossal yesterday, the shares continue to make losses at Dalal Street. While making some recovery, the company shares dipped further, indicating a lack of momentum.
At 10:44 IST, Tata Motors shares dropped by 0.57 per cent or Rs 5.60, taking the overall value of the shares to Rs 970.70 per piece.
It is interesting to note, that in the quarterly earnings released for the first quarter or Q1 of FY25, Tata Motors, despite a poorer showing in the passenger vehicles sector, saw revenue growth for the first quarter. This was anticipated to be supported by robust volume improvements in its JLR (Jaguar Land Rover) and CV (Commercial Vehicle) segments.
