Buy Tata Motors; target Rs 385: Motilal Oswal

Motilal Oswal is bullish on Tata Motors and has recommended buy rating on the stock with a target price of Rs 385 in its January 11, 2013 research report.
  • Language
  • App
  • Subscriptions
  • Specials
  • Sign-In
  • Register
Real-time Stock quotes, portfolio, LIVE TV and more.
GeStepAhead SME Special
moneycontrol.com

Home » News » Recommendations

Jan 14, 2013, 04.24 PM | Source: Moneycontrol.com

Buy Tata Motors; target Rs 385: Motilal Oswal

Motilal Oswal is bullish on Tata Motors and has recommended buy rating on the stock with a target price of Rs 385 in its January 11, 2013 research report.

Like this story, share it with millions of investors on M3

Buy Tata Motors; target Rs 385: Motilal Oswal

Motilal Oswal is bullish on Tata Motors and has recommended buy rating on the stock with a target price of Rs 385 in its January 11, 2013 research report.

Post Your Comments

Share Cancel

Motilal Oswal (more)

CMD, |

Motilal Oswal is bullish on Tata Motors and has recommended buy rating on the stock with a target price of Rs 385 in its January 11, 2013 research report.

"Tata Motors, organizational changes under new India MD to improve competitiveness, with the aim to be credible #2 player in PVs by 2020 and maintain market leadership in CVs. Has set up a road map to revive PV business by focusing on consumers and offering exciting product portfolio, improving quality and improving overall consumer experience in sales and service. While product portfolio changes would need at least 2 years, it plans to improve other aspects over next 2 years. As the CV business is undergoing cyclical downturn, it is focused on being prepared for an eventual recovery. Also, Tata Motors (TTMT) plans to maintain its leadership by offering technologically superior products, with lowest total cost of ownership and superior service network. It expects M&HCV industry to post 10-15% CAGR over the next 5-10 years, while LCVs structural growth remains intact.

TTMT's capex focus is on product development in both businesses as capacities are in place for future growth. While CVs would require leveraging of existing new platforms, PVs would require development of new platforms. The stock is trading at 8.2x FY14E cons. EPS of INR40 and 7.6x FY15E cons. EPS of INR43. The DVR stock trades at 4.6x FY14E and 4.2x FY15E cons. EPS. Buy with a target price of INR385 (FY15 SOTP based) for ordinary share and INR231 for DVR (~40% discount to ordinary share's target price)," says Motilal Oswal research eport.

Non-Institutions holding more than 90% in Indian cos

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

To read the full report click here

Ads by Google

Buy, Hold, Sell ? Hear it first on M3
Buy Tata Motors; target Rs 385: Motilal Oswal

See all

Get started using your favorite social network

or

Login using moneycontrol ID

Username
Password

Need help logging in? Reset password.

Don´t have an account? Sign Up

Get started using your favorite social network

or

Simply sign up using this short form

* mandatory

UserName*

Username should be atleast 4 character

Password*

Password should be 8 or more characters,
atleast 1 number, 1 symbol & 1 upper case letter

Alert

Your Password should contain
  • 8 or more characters
  • At least 1 number
  • At least 1 symbol
  • At least 1 upper case letter
Confirm Password*
Email
Already have an account? Login