Tata Motors share price held above Rs 400 mark and witnessed buying sentiment during the Muhurat trading session. Currently, this heavyweight automobile stock has skyrocketed by nearly 20% from its 52-week low which is around Rs 335 levels. Tata Motors share price has been adjusted since its 1:1 demerger record date came into effect 8 days ago. The next stage in its demerger is the name change of Tata Motors to Tata Motors Passenger Vehicles for its PV unit later this week. However, the demerger plan included splitting up Tata Motors into two, one being PV unit and the other a separate listing of CV unit. The listing date of CV unit is expected to be anytime in November.
Tata Motors Share Price:
During the one-hour auspicious Muhurat trading on October 21st, Tata Motors share price stood at Rs 401.90 apiece on BSE, up by 0.6% with market cap of Rs 1,47,992.90 crore. Prior to this, Tata Motors share price saw nearly 2% upside during October 20th session.
At the current price level, Tata Motors share price is higher by nearly 20% from its 52-week low of Rs 335.30 apiece. However, the stock is less than Rs 167 away from hitting its 52-week high of Rs 567.11 apiece. Key triggers for the stock will be change of name of Tata Motors including the scrip code revision on BSE and NSE. This will be followed by the demerger listing date of TML Commercial Vehicles, which is the CV unit of Tata Motors.
Amidst the current performance, Tata Motors still holds strong return on equity of 28.12%, while its price-to-equity ratio is low at 17.18x on BSE as of October 22nd.
Tata Motors Name Change Update:
In its regulatory filing on Tuesday, the auto giant informed about the change of name and scrip code from Tata Motors Limited to Tata Motors Passenger Vehicles Limited. This is the PV unit under the demerger scheme.
It said, "Consequent upon change in its name, the trading symbol/ticker of the company on the stock exchanges shall be changed to reflect the new name. The trading symbol of the company on BSE and NSE will come into effect from October 24, 2025. The revised scrip ID/symbol on BSE and NSE will stand changed from TATAMOTORS to TMPV. All relevant historical data/information of the company shall be under the new scrip ID/Symbol, viz, TPMV."
Tata Motors Passenger Vehicles business include passenger cars, investment in the electric vehicles business and Jaguar Land Rover. The change of name to Tata Motors Passengers Vehicles from Tata Motors has been taken on records by the Ministry of Corporate Affairs on October 13th.
What Happens to Jaguar Land Rover (JLR)?
In its explainer, Nirmal Bang's blog highlighted that Jaguar Land Rover - the British luxury carmaker acquired by Tata Motors in 2008 - remains a key part of Tata's global business. Under the new structure, JLR will stay under the Passenger Vehicles (PV) entity. This gives the PV business a powerful combination:
-Tata Motors' fast-growing domestic passenger car segment
-Tata EV division (Tata.ev), leading India's electric car revolution
-Jaguar Land Rover, which is rebounding strongly with new EV launches and profitability
Together, this makes the PV entity a high-growth, tech-driven company with global exposure - a strong attraction for both domestic and foreign investors, as per the blog.
Tata Motors Demerger Allotment:
TML Commercial Vehicles has announced the allotment of 3,68,23,31,373 fully paid-equity shares of face value of Rs 2/- each to the equity shareholders of the Company in the ratio of 1:1 pursuant to the Scheme.
Also, TMLCV has declared cancellation and reduction of the entire pre-Scheme paid-up share capital of TMLCV comprising 5,00,000 (Five Lakh) fully paid-up equity shares of Rs 2/- each, which were entirely held by the Company.
TML Commercial is expected to list in 45 days since record date, hence, somewhere during November.
Tata Motors Share Price Target:
The global brokerage house Nomura has assigned its split target prices on both Tata Motors Passenger Vehicles and TML Commercial Vehicles. The split targets are almost even with Rs 367 target set on PV entity and Rs 365 target recommended for CV entity which is yet to be listed.
In case of CV entity, Nomura is predicting 10% growth in H2FY26 supported by GST reduction. Also, TML is set to acquire Iveco in April next year, and the $3.8 billion deal is expected to create value in growth. Due to the acquisition, Nomura expects a 5% revenue growth annually on a compounded basis and EBIT margin seen to 7.5% from 5.4% between 2024-2028.
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