Tata Motors Share Price: Brokerages remain bullish on Tata Motors despite volumes headwind

Mumbai: Most analysts have maintained a bullish view on even as the auto-maker’s luxury arm Jaguar Land Rover said it expects chip shortages to worsen in the ongoing second quarter, impacting sales.

Motilal Oswal has maintained a buy rating with a target price of Rs 400. Antique Stock Broking has maintained a buy rating with a target price of Rs 425.

“While 1HFY22 would be tough, we expect a sharp recovery in the subsequent period. Retail demand for JLR is healthy, evident from the build-up of a strong order-book,” said IIFL, maintaining a buy rating with a target price of Rs 380. The brokerage said shares of Tata Motors may be under pressure in the near term but they are likely to rebound once the chip shortage eases and volumes revive.

Edelweiss has maintained buy and revised target price to Rs 405 from Rs 436 on rollover of valuation to December 2022. ICICIdirect has revised target price to Rs 375 from Rs 400 but retained buy due to Tata Motors’ intent to reduce automotive net debt to near zero levels from around Rs 41,000 crore as of FY21.

Jefferies lowered target price on Tata Motors to Rs 435 from Rs 455 but retained buy, estimating a strong turnaround by FY23.