"The global brokerage firm CLSA has downgraded Tata Motors’ shares from ‘buy’ to ‘outperform’ due to the recent significant increase in the stock price. Despite the downgrade, CLSA maintains a positive outlook on the automaker’s growth potential and has set a price target of Rs 1,061 for the stock, anticipating an approximately 11 percent upside.
Tata Motors’ shares have witnessed a remarkable surge of over 18 percent in the last month, reaching new highs during this period. This surge is attributed to expectations of robust growth and the company’s strong performance in the latest quarterly results.
CLSA specifically highlighted the impressive volume growth exhibited by Tata Motors’ luxury segment. Jaguar Land Rover recorded a 14.5 percent year-on-year growth in retail volumes in January. CLSA also pointed out that the volumes in the fourth quarter are tracking higher than those observed in the third quarter."