UBS Securities negative on Tata Motors

Suresh Mahadevan of UBS Securities says they are negative on Tata Motors on concerns over its valuations.

Mahadevan told CNBC-TV18, “Our analyst is negative on Tata Motors off late and his concerns are around valuations. This is because if you adjust the way they account for R&D, value this company and compare it with global peers, he feels it is expensive.”
“So, we don't have a very positive view on Tata Motors though it keeps getting reviewed every quarter based on data points. At this point we are certainly negative on Tata Motors,” Mahadeven added.
The company's trailing 12-month (TTM) EPS was at Rs 3.94 per share. (Dec, 2012). The stock's price-to-earnings (P/E) ratio was 68.91. The latest book value of the company is Rs 60.65 per share. At current value, the price-to-book value of the company was 4.48. The dividend yield of the company was 1.47 percent.
The stock's price-to-earnings (P/E) ratio stands at 68.83 on (NSE).