Tata Motors CV vs Tata Motors PV: Tata Motors, one of India’s most reliable auto companies, is in focus after the company issued its growth projections for both its passenger vehicle and commercial vehicle businesses following its analyst meeting.
Last year, Tata Motors announced a demerger plan to split its operations into two listed entities: Tata Motors Passenger Vehicles (TMPV) and Tata Motors Commercial Vehicles (TMPCV).
Following the projections shared by both the businesses, global brokerage firms including Goldman Sachs, Motilal Oswal and Morgan Stanley have issued stock recommendations on the counter, along with price targets indicating an upside potential of up to 45 per cent for one of the auto stocks.
Here’s what brokerages have to say on Tata Motors’ two entities:
| Brokerage | Rating | Tata Motors PV Target Price | Upside/Downside% |
| Motilal Oswal | Sell | 312 | Downside: 11.5% |
| Morgan Stanley | Equal Weight | 367 | Upside: 4.1% |
| Goldman Sachs | Neutral | 355 | Upside: 0.7% |
| Nuvama | Buy | 470 | Upside: 33.4% |
| Emkay | Add | 390 | Upside: 10.7% |
Motilal Oswal Retains SELL
Target Price: Rs 312 | Downside of around 11.5 per cent
Motilal Oswal retained its Sell rating, highlighting TMPV’s ambitious plan to achieve a 15 per cent volume CAGR and raise market share to 20 per cent by FY31 through new launches, capacity expansion, and cost optimisation.
However, it remains concerned about margin pressure from rising input costs and multiple headwinds at JLR, which could weigh on consolidated performance despite strong India growth prospects.
Morgan Stanley Sees Marginal Upside
Target Price: Rs 367 | Upside of 4.1 per cent from current price level
Morgan Stanley maintained an Equal Weight rating, noting TMPV’s target of 25 per cent annual revenue growth through FY29, EV margin improvement, and market share expansion to 20 per cent by FY31.
The brokerage sees the company’s roadmap as broadly achievable and expects strong cash generation and a net debt-free position by FY29, though valuation remains balanced at current levels.
Goldman Sachs Believes Prices Hold Around CMP
Target Price: Rs 355 | Upside of just 1 per cent
Goldman Sachs reiterated its Neutral stance, acknowledging TMPV’s plans for robust revenue growth, higher margins, and six new model launches over FY26-31.
However, it flagged increasing EV competition, potential product cannibalisation, and margin risks from upcoming CAFÉ 3 emission norms. The brokerage believes execution challenges could offset some of the growth opportunities ahead.
Target Price: Rs 470 | Upside of over 33 per cent
Nuvama retained its Buy rating, citing TMPV’s aggressive 15 per cent volume CAGR target, market share gains to 20 per cent, and EBITDA margin expansion to 10 per cent by FY31.
The brokerage is encouraged by the company’s broad product pipeline, EV and CNG strategy, and significant network expansion, which together could drive strong earnings and cash-flow growth over the next five years.
Emkay Sees Over 10% Upside
Target Price: Rs 390 | Upside of 10.7 per cent
Emkay maintained its Add rating, highlighting TMPV’s plans to expand capacity to 1.3 million units, launch six new nameplates, and significantly increase sales and service reach.
The brokerage believes structural cost reductions and scale benefits will help offset the expiry of PLI incentives, supporting margin expansion and stronger profitability through FY31.
| Brokerage | Rating | Tata Motors CV Target Price | Upside/Downside% |
| Motilal Oswal | Neutral | Rs 416 | Upside: 0.3% |
| Nuvama | Buy | Rs 480 | Upside: 16% |
| Emkay | Buy | Rs 600 | Upside: 45% |
Motilal Oswal Maintains Neutral Call
Target Price: Rs 416 | Marginal Upside of 0.3 per cent
Motilal Oswal maintained its Neutral rating on Tata Motors CV, highlighting management’s focus on profitable market share gains rather than aggressive volume expansion.
The brokerage views the Iveco acquisition as a key step toward global scale and future value creation. However, a cautious domestic CV demand outlook and near-term margin pressures due to geopolitical uncertainties keep it measured on the stock.
Nuvama Suggests BUY for TMCV
Target Price: Rs 480 | Upside of around 16 per cent
Nuvama retained its Buy rating, encouraged by management’s guidance for high single-digit volume growth, double-digit EBITDA margins, and strong free cash flow generation.
The brokerage sees the pending Iveco acquisition as a major catalyst, while market share expansion across trucks, buses, and small commercial vehicles could support sustainable earnings growth and higher returns on capital.
Emkay Sees Upside Up to 45%
Target Price: Rs 600 | Upside around 44.7 per cent
Emkay maintained its Buy rating, citing healthy freight demand, rising freight movement, and Tata Motors CV’s strong positioning in next-generation commercial vehicle technologies.
The brokerage expects the company to sustain double-digit EBITDA margins despite commodity cost pressures. It also sees significant strategic value from the Iveco integration and improving demand trends across European CV markets.
TMPV Share Price Vs TMCV Share Price
As of 11:15 am, Tata Motors Commercial Vehicles (TMCV) was trading at Rs 415.05, up Rs 14.75 or 3.68 per cent. (Tata Motors CV Share Price)
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money-related decisions.)
