Tata Motors Ltd. share price target

Background: Tata Motors (est. 1945) is India's leading automobile maker, and is among the top 10 auto manufacturers in the world. The company has more than 130 models spanning a wide range of Heavy, Medium & Light Commercial Vehicles, Passenger Cars and Multi-Utility Vehicles. Tata Motors is the market leader in Commercial Vehicles - both M&HCV; and LCV with their established brand and service network including the hinterland offering the competitive advantage. Engine and transmission for some models of cars are manufactured in a JV with Fiat. The company operates out of plants at Jamshedpur, Pune, Lucknow, Sanand and Pantnagar. Jaguar-Land Rover...

JLRs 2QFY16 APAT of GBP 153mn was sharply below expectations, with adjusted EBITDA margin declining by 250bps QoQ to 13%. A combination of factors, including weak product/region mix, 50bps QoQ increase in variable marketing expenses and sub-optimal utilisation of its ingenium engine plant led to a miss in topline/EBITDA levels.

Tata Motors (TTMT) delivered disappointing Q2FY16 performance with margin contraction at JLR, on account of inferior geographical mix. Its consolidated Revenues/EBIDTA/PAT grew 6%/-28%/-83% YoY and declined 0%/24.5%/81% QoQ to Rs 613bn/Rs69bn/Rs5.5bn, as against our estimate of Rs 583bn/Rs71bn/Rs15bn in the quarter.

9 Standalone division posted strong results with EBITDA margin at 6.8% being ahead of ourestimateof6.3%leadingtoa9%beatatEBITDA Key highlights: Overall a stark compression in JLR margins to 13% spooked us as well as...

strong with 10 launches in key markets until 4QFY16 (implying 15% growth between SeptemberMarch 2016), (3) consumer downtrading clearly evident with only 2530% of RR and RR Sport sales coming from top variants (vs. 50%+ last year), (4) given sluggish...

In our recent meeting, Tata Motors (TTMT) management appeared to be cautious about China?s market conditions. However, it expects a double-digit growth in the US/Europe markets. The company is fairly confident of achieving more than 500k sales volume for the year at JLR.

Tata Motors (TTMT) delivered disappointing Q1FY16 performance with margin contraction at JLR, on account of inferior geographical mix. Its consolidated Revenues/EBIDTA/PAT declined 6%/18%/47% YoY, but rose (10)%/8%/56% QoQ to Rs610bn/Rs91bn/Rs28bn, as against our estimate of Rs 632.6bn/Rs88bn/Rs27.7bn in the quarter.

results were marginally below our estimates and should allay investor concerns on marginsduetodeterioratingproduct/countrymix.AdjustedEBITDAmarginforJLRstood at 15.5% Standalone surprised positively with EBITDA margin of 4.7% (+196bps qoq) vs....

Tata Motors 1QFY16 operating performance was weaker than expected as JLRs adjusted EBITDA declined by 29% YoY to GBP 774mn, partially offset by robust standalone operations (EBITDA margin at 4.7%, 200bps QoQ).

deviate from the rendition stated by various articles and reports, we highlight the following myths getting debunked: Myth: Stock market crash impacted luxury car sales. Reality:Corruptionclampdowndid.Myth:LREvoqueisfacingproductionrampupissues...