Tata Motors CV shares rise 4% as July sales jump 37% YoY. Nomura expects Iveco to support earnings recovery; check target price

Shares of Tata Motors, which now houses the company's commercial vehicle business, jumped more than 4% to Rs 454 on the BSE on Monday after reporting a 37% year-on-year rise in total commercial vehicle sales to 39,641 units in July.

Domestic sales increased 28% to 33,876 units from 26,432 a year earlier, while international volumes more than doubled, rising 128% to 5,765 units.

Nomura highlighted that Tata Motors’ management lowered its LCV industry outlook to flat in 2026 while MHCV demand remained unchanged at 5% year-on-year (YoY). Bus demand is likely to be slightly lower in the EU and South America.


The company maintained its top position in the European bus market and second overall with more than 25% market share. It expects a gradual recovery in profitability in the second half of the calendar year 2026, impacted by weak LCV demand and macro uncertainties offset by cost efficiency programs, Nomura noted.

Also read | Tata Motors CV can cross 1 million vehicles after Iveco deal: N Chandrasekaran at AGM

The international brokerage believes that while weak LCV industry outlook remains a demand headwind, Iveco’s focus on cost efficiencies, low-cost sourcing advantages post TMCV integration, and new launches will support an earnings recovery over the next two years, which remains a key monitorable.

Nomura has a ‘Neutral’ call for the shares of Tata Motor CV, with a target price of Rs 402 apiece. This implies a downside potential of nearly 8% from the stock’s previous closing price of Rs 436.95 apiece on BSE.

Tata Motors CV share price

Tata Motors CV shares have gained more than 10% in a week and 5% in a month. The stock is overall up around 6% in 2026 so far.

The company currently has a market capitalisation of nearly Rs 1.67 lakh crore.

Also read | Tata Motors CV bets on global expansion, EVs and digital businesses for next phase of growth

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)