Why Tata Motors Shares Hit Another 52-Week High Today

Tata Motors‘ share price hit another 52-week high on Monday as the company released its sales numbers for the quarter ended June.

What Happened: The Tata Group company’s total sales number for the quarter stood at 2.26 lakh vehicles, slightly below the 2.31 lakh units it sold during the same quarter last year. Domestic sales for the quarter also slumped around 2% at 2.22 lakh units compared to 2.25 lakh in the corresponding quarter previous year.

Talking about the month of June, the company’s total sales came in at 81,673 units, slightly lower than the 82,570 units it sold in the April-June period of 2022. However, the number was higher than street estimates of around 78,000 units.

The company’s commercial vehicle (CV) sales for the quarter stood at 85,795 units down 15% compared to 1 lakh units sold in the April-June period of 2022. Passenger vehicle sales, on the other hand, grew 8% to 1.40 lakh units from 1.30 lakh units. The automobile giant’s EV division sold 19,346 vehicles this quarter more than double the number it sold during the same period last year.

Exclusive: This Startup Can Convert Your Existing Petrol Or Diesel Scooter Into An EV

The company’s total exports for the quarter stood at 3,900 units, down from the 5,420 vehicles it exported in the corresponding quarter last year.

The slump in the company’s number has been due to the downturn in commercial vehicle (CV) sales. However, the company is hopeful for a turnaround in the coming months. “The promising monsoon and continuing infrastructure thrust by the Government auger well for the CV industry, even as it faces the headwinds of high-interest rates, fuel prices and inflation," said Girish Wagh, Executive Director, Tata Motors.

Price Action: Tata Motors’ share price was up 0.55% to trade at ₹598.85. The stock also hit a new 52-week high of ₹601.60.

Read Next: Which Are The Best Tax Saving Mutual Funds In India?