Tata Motors Share Price: Stock Analysis, History, and Forecast

Just like any other company, Tata Motors share price also fluctuates on a day-to-day basis. Since its inception, the company has gone through several crests and troughs. Nevertheless, it always stood out and is one of the best stocks to invest in for gaining long term profits. 

Any company’s share price depends on various factors. One of them is the quality of product it offers. Another one is the future scope. TATA Motors isn’t solely restricted to manufacturing cars but it also creates a myriad of automotive products and that’s why it always mirrors a better prospect.

Tata isn’t just a name but an entire kingdom spread across the globe. Tata Motors Limited is a part of the Tata Group and a USD 34 billion automobile manufacturer Indian MNC headquartered in Mumbai, Maharashtra. The company has a diversified portfolio that covers a wide range of cars, trucks, buses, defence vehicles, pickups, and SUVs. 

To know more about one of the leading automobile manufacturers in the world, keep reading!

Tata Motors Shares Price

As of 15 January 2022, the TATA share price stands at ₹ 503, which is higher than the stock price of the previous day, which was ₹ 478. However, the company needs to put in substantial effort to reach the highest highs of the last year.

For better clarity about the Tata Motors share price, have a look at the chart given below:

Source: MoneyControl

Company Information

TATA Motors was incorporated as TATA Engineering and Locomotive Company (TELCO) in 1945.

Earlier, the company would create locomotive steam engines and other engineering products. However, after some time, it shook hands with Daimler Benz AG in 1954 to develop commercial vehicles which lasted until 1969.

After contemplating the technological trend, Tata Motors eventually terminated this fragment and got itself into the production of the commercial vehicle in 1977 independently, in Pune. 

Presently, the company leads the market in the commercial vehicle sector in India with a share of over 37%. In 1991, the company entered the Passenger Vehicle (PV) segment by launching Tata Sierra.

In the 1998 Auto Expo, Tata Motors wrote history with the launch of Tata Indica, which evolved to be the number one car in the respective sector within just two years. Adding another feather to its cap, the company also acquired the Jaguar Land Rover segment in 2008, from Ford Motors and entered the foreign market completely. 

At present, Tata Motors holds its R&D and manufacturing facilities in the leading economies of the world, namely, the USA, China, the UK, South Korea, etc. The company offers a plethora of product ranges that comprise trucks, passenger cars, commercial passenger vehicles, utility vehicles, defence vehicles, and luxury cars. 

With a varied range of products and better performance, the company has never failed to lure investors into investing in its stock. As of 15 January 2022, Tata Motors share price is being sold for ₹ 503. 

Therefore, if you bought the shares of this company in 2020, which ranged from ₹ 75 to ₹ 270, and you sell them today, you will earn tremendous profits.

History of the Tata Motors (Timeline)

Tata Motors has a very rich history right from the year 1945, Tata Motors has shown tremendous growth over the years. Let’s take a glance at the journey of Tata Motors in brief. 

1945- The company was founded in the year 1945.

1954- Formed a joint venture with Daimler-Benz of Germany and entered the commercial vehicle segment

1991- The company entered the passenger vehicle segment by launching Tata Sierra

1992- Launch of Tata Estate, a station waggon design

1994- Launch of Tata Sumo, a 5-door SUV

1998- Tata Safari was launched in the year 1998

1998- Launch of Tata Indica, a fully indigenous Indian passenger car styled by I.D.E.A, Italy

2004- Acquired Daewoo Commercial Vehicles Company, a South Korea-based truck manufacturing unit, now known as Tata Daewoo.

27 Sept 2004- Tata Motor’s Chairman, Ratan Tata listed Tata Motors at the New York Stock Exchange

2005- The company earned a controlling stake of 21% in Hispano Carrocera, the Spanish bus and coach manufacturer. 

2006- The company built a joint venture with Marcopolo, a Brazil-based company and created Tata Marcopolo to develop entirely built buses and coaches. 

2008- Bought Jaguar Land Rover, the English car maker and the manufacturer of Land Rover and Jaguar from Ford Motor Company. 

2009- The company’s Lucknow plant received the Rajiv Gandhi National Quality Award for the “Best of All”.

2010- The company bought a stake of a whopping 80% in Trilix, the Italian design and engineering company, for €1.85 million. 

2012- Made an announcement to invest around ₹6 billion to develop Futuristic Infantry Combat Vehicles in alliance with DRDO.

2013- Announced to sell the world’s first vehicle operating on compressed air and dubbed “Mini CAT”.

2014- Introduced “T1 Prima Truck Racing Championship, the first Truck Racing championship in India. 

Nov 2015- In the year 2015, Lionel Messi was announced as the global brand ambassador to endorse and promote PV (passenger vehicles) globally. 

Dec 2016- Akshay Kumar became the brand ambassador for its CV (commercial vehicle) range. 

2017- Signed an MoU (memorandum of understanding) with Volkswagen to manufacture vehicles for the domestic market in India. 

2018- Sold its defence and aerospace business to Tata Advanced Systems, another Tata Group Entity, to unlock its full potential. 

2019- Collaborated with Nirma University, Ahmedabad to render a B.Tech degree programme for employees working at its Sanand plant. 

2020- Spin-off its PV arms as a different unit within the organisation. 

2021- The shareholders of Tata Motors approved hiving off its PV business into a different entity. 

August 2021- Announced the launch of its mini SUV Punch in the ongoing festive season. 

Management of Tata Motors

Whenever we hear Tata, we mainly picture the image of Sir Ratan Tata as its owner. He is, but there are many other people who are the core team members. The name of the management and their designation are described below in the table:

Location of Tata Motors Company      

Although the branches of Tata Motors are at several locations around the globe, the company is headquartered in Mumbai. The addresses for the same are given below:

Domestic Business

Tata Motors Ltd

4th Floor, Ahura Centre

82 Mahakali Caves Road

MIDC, Andheri East

Mumbai – 400093

Contact: 022 – 62407101

Tata Motors International Business

A Block, Shivsagar      Estate,

Dr Annie Besant Road,

Worli, Mumbai – 400018

Contact: +91(22) 67577200

Company Performance of Tata Motors

According to recent reports, TATA Motors sold 3.99 million units of the vehicle in the year 2019. As a result, the company ended up making India the 4th largest auto market in the world, surpassing Germany. 

In the last four years, domestic automobile production has witnessed a growth of CAGR (Compound Annual Growth Rate) 2.36%, with 26.36 million vehicles being manufactured and a 1.29% CAGR sales growth.

If we evaluate the entire auto industry, two-wheelers monopolise the sector by 80.8% followed by passenger vehicles (PV) at 12.9%. Small and medium-sized cars hold maximum sales in the PV category. 

In September 2020, PV sales in India witnessed a YoY growth of 26.45%, as the studies suggest. On the other hand, automobile export has exported 4.77 million vehicles during FY16-20 and has grown with a CAGR of 6.94%. 

However, the EV (electric vehicles) sales in India noticed a growth of 20% in FY20 with sales of 1.56 lakh units. The EV sector in India expects to be of Rs. 50,000 crore by 2025. 

There are several factors that favour the Indian Automobile industry, some of them being great R&D centres, cheap skilled labour, and low-cost steel production. The industry is anticipated to reach Rs. 16.16 to 18.18 trillion by 2026.

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Tata Motors Stock Prices in 2020 & 2021

Tata Motors share prices have seen a substantial increase and the lowest dip in the years 2020 and 2021. But the good thing is that the company is performing consistently well. 

For a deep insight into the Tata Motors stock performance for the last two years, have a look at the table below where we have mentioned the weekly prices of the stock. 

Tata Motors Listings and Indices 

Take a look at the below-depicted table to know about the company’s listing details:

Listing Details

Listing on Stock Exchanges

Tata Motors is listed on three major stock exchanges across the world, namely Bombay Stock Exchange Ltd., National Stock Exchange of India Ltd., and the New York Stock Exchange. 

Indices

The company constitutes a part of the following indices: 

Should You Invest in Tata Motors? 

Before you make up your mind, you must first consider your investment goals. Determine whether you have a short-term goal or a long-term goal. 

If you are aiming for a long-term investment goal, then investing in Tata Motors could be a wise decision. 

The question is- how?

As you see in the stock price chart of Tata Motors in the above section, you will witness      that the share price, in the beginning, was ₹ 185. Nevertheless, the stock hit an all-time high of ₹ 536.70  in 2021 and is still hovering between ₹ 470 to 530, which is really impressive. And to everyone’s surprise, it also went as low as ₹75.

According to financial experts, the stock price of Tata Motors is anticipated to rise in the future. But this doesn’t imply that it will probably happen in a month or two. Therefore, if you seek short-term investment, investing in this stock may not be a wise decision. However, if you have long-term investment plans, you can look forward to investing in this stock.

FAQ’s about Tata Motors Share Price