Tata Motors Share Price Falls Over 4% in Just 2-Days: What’s Behind the Decline; Should You Buy?

Tata Motors' stock has dropped by approximately 4.30% in early trading today, continuing its negative trend despite significant buzz surrounding the company's participation in the Bharat Mobility Global Expo 2025.

Tata Motors Share Price Movement

The stock opened at Rs. 764.25 today, reaching an intraday high of Rs. 765.45 and a low of Rs. 737.00. Currently, Tata Motors shares are trading at Rs. 738.35, at the time of writing, with a decline of 2.94%. Over the past five trading sessions, the stock has seen a total drop of 4.33%. However, looking at the last 30 days, Tata Motors shares have gained 2.13%.

Tata Motors at the Bharat Mobility Expo 2025

At the ongoing Bharat Mobility Expo 2025, various companies have unveiled their cutting-edge vehicles, and Tata Motors is leading the charge. According to an Economic Times report, the company showcased an impressive lineup of 50 next-generation vehicles. As per the reports, the display included a wide variety of commercial vehicles (CVs) powered by diverse fuel technologies, ranging from traditional diesel and biodiesel to CNG, LNG, ethanol, flex fuel, battery electric, and hydrogen internal combustion engines (H2 ICE).

Tata Motors Demerger

Last year In August (2024) Tata Motors announced plans to demerge its business into two distinct entities. This strategic decision will result in the creation of two separate companies. One will focus on the commercial vehicles segment, which includes trucks, buses, and vans, while the other will include the passenger vehicles division, which covers sedans, hatchbacks, SUVs, electric vehicles, and the iconic Jaguar Land Rover brand. According to the company's official website, the demerger will follow a 1:1 share entitlement ratio. This means that current Tata Motors shareholders will receive equal shares in both of the newly listed entities. The company has also stated in an exchange filing that the process is expected to conclude within the next 12 to 15 months.
This move has garnered a lot of attention from investors, as it is anticipated to have a major impact on the stock's performance, with the demerger driving a lot of market interest in the coming months.

Tata Motors Share Recommendation

As per Trendlyne data, the consensus recommendation from 30 analysts for Tata Motors Ltd. is BUY. Of the total, 12 analysts have suggested STRONG BUY, and 6 analysts have given a 'BUY' recommendation. However, EPS is expected to reduce by 28.3% in FY25. The 1-year average target price is at Rs 949.73, hinting at nearly 29% potential upside ahead.

Among the latest recommendations, Kotak Institutional Equities has suggested adding the stock for a target price of Rs 925 apiece. Also, global and domestic brokerages all like Tata Motors share price and have recommended BUY. The highest target price is Rs 1,278 on Tata Motors, which is set by global brokerage Macquarie. Another global brokerage, Morgan Stanley, has recommended an equivalent rating for the auto giant and sets a Rs 920 target price. Nomura has suggested a BUY rating on Tata Motors with a target price of Rs 990. Emkay Global predicts a target of Rs 950 with a BUY recommendation.

Disclaimer: The write-up is just for information purposes, and is not a recommendation to buy, sell or hold. We have not done fundamental or technical analysis and have no opinion on article mentioned. Neither, the author nor Greynium Information Technologies should be held liable for any losses. Please consult a professional advisor.