Bullish about Tata Motors: Prakash Diwan

Prakash Diwan, Head-Institutional Clients Group, Asit C. Mehta Investment Intermediates Ltd in a chat with ET Now gives his views on Tata Motors.



ET Now: What has spooked Tata Motors?

Prakash Diwan: It is Murphy’s Law, if you feel the going is good, one starts feeling that it will come to an end. Tata Motors had a dream run. In spite of other stocks falling, this stock was towering out of that mess.

Somewhere people expected the rise to take a pause and that dream run to come to an end. The April numbers acted as a trigger and people started reacting to it. Historically, April has always been a weak month on the sales for JLR. Tata Motors has possibly taken a pause, but it is not a reversal that we are expecting. So, it is an overreaction.

People will start anticipating better days ahead for Tata Motors and it could probably start offering much better value than what it did at 315-318.