Tata Motors Ltd. share price target

Consolidated revenue grew 14.7% YoY to Rs. 61,379cr in Q2FY22, as higher revenue from TML (standalone) more-than offset weak JLR operations. TML volumes were up 56.3% YoY to 171.8k vehicles, while JLR wholesale volume fell 12.8% YoY to 64.0k units and retail sales...

strong recovery/ traction in JLR/India businesses from 3QFY22E onwards. We have lowered our FY22E/FY23E EPS estimate by PTL/8% to account for the lost sales due to the ongoing semiconductor shortage as well as higher competitive intensity in the CV business. We maintain our Buy rating with a TP of INR565/share (Sep'23E SoTP-based). Mix dilutes operating deleverage impact; working capital hurts cash flows Consolidated revenue/EBITDA grew by ~15%/-29% YoY in 2QFY22 to INR614b/INR40.5b (est. INR606b/INR42b). Adjusted loss stood at...

Net Auto debt stands at Rs 644bn v/s Rs 409bn of FY21. Tata Motors' consolidated performance largely surprised on all fronts with revenue growing 15% YoY and margin merely contracting (10.1%) 95bps QoQ, protected through cost control measures. Though inventory at JLR is very thin (channel inventory of 27k units), the unit has strong order book of 125k units, of which 32k is for Defender. Retails are likely to pick up as and when...

Tata Motors (TTMT) has entered into a binding agreement with TPG Rise Climate (TPG) whereby TPG, along with its co-investor ADQ, shall invest Rs75bn in a new wholly-owned subsidiary (TML EVCo) at an equity value of up to US$9.1bn. We believe, the scale of capital investment plan (>Rs160 bn over next 5 years) coupled with ecosystem approach across Tata group (e.g. Tata Power, TCS, Tata Auto components, Tata Chemicals) is likely to accelerate EV penetration in India, thereby cause investors to pivot away from current ICE only PV OEMs.

demonstrates the future potential of the changing technology landscape in mobility. We value TML at a revised target price of | 515 on SOTP basis vs. | 450 earlier (15x, 3.3x FY23E EV/EBITDA on India, JLR businesses, respectively). We slightly revise India PV, JLR volume estimates and arrive at | 90/share value for EVCo assuming 15% stake sale @| 7,500 crore (conservatively) and 20% holding company discount. ICICI Securities Retail Equity Research...

India PV business posted decade-high quarterly sales of ~84,000 units in Q2FY22 despite ongoing semiconductor supply shortages. Domestic EV sales were higher than 1,000 units for second successive month in September 2021 driven by Nexon EV; 1,078 units for the month & 2,704...

Tata Motors Limited is India's largest CV and fourth-largest PV player.

EBITDA margin remained under pressure declining to 7.9% (as against 14.4% in Q4FY21) owing to higher input costs during the quarter. On the other hand, recovery could be seen in the bottom-line, as the reported net loss declined to Rs. 4,451cr (vs. Rs. 8,438cr loss in Q1FY21...