Trending stocks: Tata Motors shares climb 3%

NEW DELHI: Shares of Tata Motors Ltd. traded 3.03 per cent up in Wednesday’s trade at 10:47AM (IST). Around 2,588,230 shares changed hands on the counter.

The counter opened at Rs 129.8 and touched an intraday high and low of Rs 132 and Rs 128.4, respectively, in the session so far. The stock of Tata Motors Ltd. quoted a 52-week high of Rs 201.8 and a 52-week low of Rs 63.6.

Total market cap of the Tata Motors Ltd. stood at Rs 40527.34 crore at the time of writing this report.

The automaker aims to reduce its total automotive debt to ‘near-zero levels’ in three years and generate free cash flows from FY22 onwards, company chairman N Chandrasekaran said on Tuesday.

Key Financials

The company reported consolidated sales of Rs 31481.86 crore for the quarter ended 30-Jun-2020, down 49.18 per cent from previous quarter’s Rs 61949.39 crore and down 48.25 per cent from the year-ago quarter’s Rs 60830.16 crore.

The net loss for latest quarter stood at Rs 8437.99 crore, up 128.16 per cent from the corresponding quarter last year.

Shareholding pattern

As of 30-Jun-2020, DIIs held 6.21 per cent stake in the firm, while foreign institutional investors held 15.62 per cent and the promoters 42.39 per cent.

Valuation ratio

According to BSE data, the stock traded at a price-to-earnings multiple of -2.41 and a price-to-book ratio of 0.75. A higher P/E ratio shows investors are willing to pay a higher price because of better future growth expectations. Price-to-book value indicates the inherent value of a company and is the measure of the price that investors are ready to pay even for no growth in the business.

Tata Motors Ltd. belongs to the Auto – Cars/UV/CV industry.