Negative on Tata Motors: Ambareesh Baliga, Way2Wealth Brokers Pvt. Ltd

Ambareesh Baliga, COO, Way2Wealth Brokers Pvt. Ltd., in a chat with ET Now, gives his views on Tata Motors



What do you make of the cuts that have come in to Tata Motors today sure margins disappointed but 6.5%-7% lower what did you do with this one now?

We have been negative on the auto space for a while especially Tata Motors and we have come out with a sell call at about Rs 1370. If I am not wrong this is about five months back sometime around December we had come out with that call and we still stick to that. In fact that was a time we had a target of about Rs 950 for the stock but we have up that to a certain extent I think this stock can come out with levels of about Rs 1025 at those levels one could consider looking at buying it but clearly I think the pain is going to be there for a while because the best is actually behind and as far as the results are concerned and going ahead we could see the numbers actually coming down especially over the next two quarters. So at that point of time clearly there would be a pressure but closer to Rs 1025 is a level where you can actually consider it as a investment but I do not rule out it going to levels of Rs 900-925.