Tata Stock Slumps As Brokerage Downgrades Rating From 'Buy'
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Tata Motors‘ share price was in the red for the second straight session on Thursday morning.

What Happened: CLSA downgraded the stock’s rating from “buy” to “outperform” but raised the target price to ₹1,074 from ₹1,061. The brokerage said that Jaguar Land Rover’s (JLR) volumes in the March quarter of FY24 are outpacing the third quarter.

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The global brokerage firm added that the company’s retail volumes jumped 14.5% in January. Volumes in the UK, EU, and China have surged by 43%, 12%, and 38% respectively year-over-year. The analysts also highlighted that discounts on Jaguar models are seeing an increase, while discounts on Land Rover vehicles have decreased as of January 2024.

JLR’s net debt levels have witnessed a significant decline of €675 million. With this trend, the company appears to be on track to achieve a net cash position by the end of FY25, the brokerage added.

Price Action: Tata Motors’ share price was down % to trade at ₹ as the markets opened on Thursday.

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