31 Jan 2024 , 02:39 PM
Result date: February 2, 2024
Recommendation: Buy
Target price: ₹830
Tata Motors witnessed 3% year-on-year growth in standalone sales volumes during the December quarter. This metric declined 3% sequentially. JLR (Jaguar Land Rover)’s sales volume (excluding China joint venture) grew 27% over the year ago quarter and 4% sequentially. The company’s consolidated revenue could grow 23% on a year-on-year basis and 4% sequentially, amid higher net pricing in domestic markets and higher sales mix of “RR+RR Sport”.
Analysts at IIFL Capital Services believe consolidated EBITDA margin of Tata Motors could improve both relative to the year-ago quarter and sequentially. Lower input costs, operating leverage are key margin tailwinds while falling revenue share of CVs (sequentially) and rise in variable marketing spends at JLR are key margin headwinds.
The company’s consolidated Profit After Tax or PAT could surge 195% over the year-ago quarter and 37% sequentially, believe analysts at IIFL Capital Services.
Important management insights to watch out for:
₹ Million |
December 2023 estimates |
YoY change |
QoQ change |
Revenue |
1,091,974 |
23.4% |
3.9% |
EBITDA |
150,581 |
56.2% |
9.7% |
EBITDA margin |
13.8% |
289 bps |
74 bps |
Profit After Tax |
52,501 |
194.8% |
36.6% |
Source: IIFL Research
Related Tags
Invest wise with Expert advice
IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000
IIFL Capital Services Support WhatsApp Number
+91 9892691696
IIFL Securities Limited - Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213,IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248
ARN NO : 47791 (AMFI Registered Mutual Fund Distributor)
This Certificate Demonstrates That IIFL As An Organization Has Defined And Put In Place Best-Practice Information Security Processes.