Tata Motors shares jump 2% after Morgan Stanley sets Rs 853 target

Shares of Tata Motors rose 2.1% in intraday trade to their day’s high of Rs 632.25 on the BSE on Wednesday after global brokerage firm Morgan Stanley gave an Equal-Weight rating on the stock, setting a target price of Rs 853 per share.

The target price set by the brokerage firm indicates an upside potential of nearly 38% in the stock from Tuesday’s closing price.

The global brokerage firm highlighted strong US retail sales for Land Rover and a favorable product mix as key positives for the company’s performance.


According to Morgan Stanley, Land Rover’s retail sales in the US surged 79% year-over-year (YoY) to 11,900 units in February, driven by sustained demand for high-margin models.

The mix of these premium models stood at 76%, slightly lower than 78% in December 2024. However, Land Rover's incentives grew 69% YoY, a slowdown compared to 73% YoY growth in January 2025 and 150% in December 2024.

Meanwhile, Jaguar's US retail sales saw a modest 2% YoY growth, reaching 975 units. The US market remains a significant contributor to JLR's global sales, accounting for 23% of the company's total sales in FY24.

Another key factor to watch, according to Morgan Stanley, is the European Commission’s Industry Action Plan, scheduled for March 5. A potential shift toward more flexible CO2 regulations could be a positive catalyst for JLR, as it would provide greater leeway for the automaker to meet stringent emission norms.

Tata Motors' share price performance

Over the last 1 year, the shares of Tata Motors have declined by 38.24%. On a year-to-date (YTD) basis, a decline of 15.76% is seen. In the last six months, the price has dropped by 40.94%, while over the past three months, it has fallen by 20.36%. The one-month change stands at a decline of 12%.

Also read: Jim Walker saw the 2008 stock market crash coming. Here’s what he predicts now

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