Book profit in Tata Motors, says Rajen Shah

Shah told CNBC-TV18, “I would certainly book profits in Tata Motors if I had, though we don’t own at this point of time. I think the expectation was too much. The company had been delivering very good numbers. Infact numbers beyond our expectations and that expectation was building that this would continue for ever and that’s the reason the stock rallied. But I think that the stock needs to come down to little seiner levels. So I would certainly expect a reaction to about Rs 250-260 in the coming days.”

The company's trailing 12-month (TTM) EPS was at Rs 3.94 per share. (Dec, 2011). The stock's price-to-earnings (P/E) ratio was 68.73. The latest book value of the company is Rs 63.05 per share. At current value, the price-to-book value of the company was 4.3. The dividend yield of the company was 1.48%.