Tata Motors PV Shares Fall 6% After Q1 Profit Plunges 79%; Brokerage Sees 11% Downside

Tata Motors PV shares fell by more than 6% today after the automotive giant reported around an 80% YoY decline in Q1 profit, even as revenue rose 9% YoY to Rs. 95,799 crore

TMPV stock is among the top losers among Tata group stocks on Friday, falling sharply intraday, as the group had been seeing a weak trend after Tata Sons chairman N Chandrasekaran's resignation earlier in the week

The stock traded today in a range of Rs. 337.79 to Rs. 329 and is currently 54.96% down from its 52-week level.

Tata Motors Passenger Vehicles Q1 FY27 Financials

In its June quarter, Tata Motors Passenger Vehicles' net profit plunged 78.54% YoY to Rs. 859 crore, down sharply from Rs. 4,003 crore in Q1 FY26.

However, revenue rose 9.3% YoY to Rs. 95,800 crore precisely Rs. 95,799 crore, up from Rs. 87,677 crore. EBITDA margin fell 130 bps YoY to 7.4%, while EBIT margin declined 90 bps to 2.4%,

The PBT before exceptional items came in at Rs. 1,600 crore for this quarter, with PAT reported at Rs. 900 crore.

India PV Sales Volume Surge

Tata Motors recorded a surge in its sales in this quarter, where it sold 82,574 cars and SUVs, up 46% YoY from 124,809 units in Q1 FY26, across domestic and international markets, including Tata Passenger Electric Mobility volumes.

The EV volumes, on the other hand, more than doubled with 112% YoY growth

As per the data from the Vahan Portal, the Retail registrations rose nearly 40% YoY, almost double the industry's growth rate.

JLR segment Report

JLR wholesale volumes were 79,300 units (excluding the China JV), down 9.2% YoY and down 16.8% versus Q4 FY26. The Retail sales came in at 80,000 units, down 15.3% YoY.

Tata Motors Share Price Target

Motilal Oswal, in its Recent Report, assigned a SELL rating to the stock with a target price of Rs.310 apiece, implying a downside of 11%.

In its report, the brokerage mentioned, "On account of the better-than-expected JLR performance in 1Q, we raise our FY27 EPS estimate by 12%. However, given the multiple headwinds ahead, we refrain from changing our FY28 estimates materially at this stage. While the India business has been gaining market share, margins remain under pressure given the adverse mix and rising input costs. Given the significant challenges at JLR and the continued geopolitical uncertainty, we reiterate our Sell rating on the stock with SoTP-based TP of INR310 per share (based on FY28E). "

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