Because of Tata Motors’ better than expected first quarter financial results, share prices of the company rose to 1,023.55 rupees, its highest in the last twenty years. On August 10 2010, Tata Motors, the largest automaker in
The company reported a profit of Rs.1,988.73 in the first quarter against a loss of Rs.328.78 crore at the same period last year. Thanks to domestic demand and a rise in the business of its Jaguar Land Rover brand.
The company reported a 64.2 percent rise in revenue to Rs. 27,055.57 crore against Rs. 16,472.97 crore at the same period last fiscal year.
In the domestic market, medium and heavy commercial vehicles drove the company’s growth. Commercial vehicle sales increased by 38.7 percent to 100,186 units.
On August 11, 2010, the Indian share market suffered due to weak world markets but Tata Motors did not show any signs slowing down. The 30-share Sensex Bombay Stock Exchange dropped 0.82 per or 149.80 points to 18,070.19 points with 24 its key shares declined.
However, shares of Tata Motors saved the day. Edelweiss raised Tata Motors shares to “buy” from “reduce.” Citi Investments Research raised the targest price on Tata Motor stock to Rs.1197 from Rs.947 per share. Bank of America-Merrill Lynch also raised their price object on Tata Motors.