Tata Motors Shares Jump Nearly 2% After Price Hike
The stock rose as much as 1.67% during the day to Rs 726.50 apiece on the NSE.
Shares of Tata Motors Ltd. rose nearly 2% on Monday after it announced that it will hike prices of its commercial vehicles by up to 3% from January.
The price hike will be applicable across the entire range of commercial vehicles. The price rise is likely to offset the residual impact of the past input costs, according to an exchange filing on Sunday.
Moreover, the Ministry of Road, Transportation and Highways issued a notification, directing all N2 and N3-category trucks produced from October 2025 need to have factory-fitted-air conditioned cabin for drivers. This will result in an increase in production costs.
Tata Motors's stock rose as much as 1.67% during the day to Rs 726.50 apiece on the NSE. It was trading 1.35% higher at Rs 724.20 apiece compared to a 0.16% advance in the benchmark Nifty 50 as of 10.17 a.m.
It has risen 86.57% on a year-to-date basis. The relative strength index was at 71.36, implying that the stock maybe overbought.
Twenty-eight out of the 35 analysts tracking Tata Motors have a 'buy' rating on the stock, three recommend 'hold' and four suggest 'sell', according to Bloomberg data. The average of 12-month analyst price targets implies a potential upside of 2.4%.
