Tata Motors Ltd., incorporated in the year 1945, is a Large Cap company (having a market cap of Rs 162363.05 Crore) operating in Auto sector.
Tata Motors Ltd. key Products/Revenue Segments include Motor Vehicles, Spare Parts & Others, Miscellaneous Goods, Other Operating Revenue and Sale of services for the year ending 31-Mar-2021.
Financials
For the quarter ended 30-06-2021, the company reported a Consolidated Total Income of Rs 66988.05 Crore, down -25.00 % from last quarter Total Income of Rs 89319.34 Crore and up 105.55 % from last year same quarter Total Income of Rs 32589.59 Crore. Company reported net profit after tax of Rs -4320.60 Crore in latest quarter.
Investment Rationale
The brokerage retains Buy with a Sep’22E TP of Rs 515 (Rs400 earlier), as it ascribes value to the India E-PV business at a pre-money valuation of Rs516bn, or Rs135/share. The TP breakdown is as follows: 1) India CV business valuation at 12x EV/EBITDA (in line with Ashok Leyland’s historical valuations of 12x), or Rs167/share; 2) India PV business (excluding EV) at 5x (notable discount to Maruti Suzuki’s historical valuations of 13x, factoring in reducing share of the ICE segment in the long term), or Rs22/share; 3) India E-PV business at a pre-money valuation of Rs516bn, or Rs135/share; 4) JLR/CJLR valuation of 2x/4x EV/EBITDA or Rs155/share; and 5) Other investments at Rs36/share
Promoter/FII Holdings
Promoters held 46.4 per cent stake in the company as of March 31, 2021, while FIIs held 13.8 per cent, DIIs 12.1 per cent and public and others 27.8 per cent.
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