Tata Motors Ltd: Intrinsic Value & Share Price Analysis

Fair Value

₹493.13Undervalued by 22.67%vs CMP ₹402.00

P/E (6.8) × ROE (28.1%) × BV (₹316.00) × DY (1.49%)

₹968.21Undervalued by 140.85%vs CMP ₹402.00

MoS: +58.5% (Strong)Confidence: 54/100 (Moderate)Models: 6 Under, 2 Over

Model	Category	Value	Weight	Signal
PE-ROE	Earnings	₹1,220.55	26%	Under (+203.6%)
Graham Number	Earnings	₹639.06	16%	Under (+59%)
Earnings Power	Earnings	₹360.66	13%	Over (-10.3%)
DCF	Cash Flow	₹1,238.27	13%	Under (+208%)
Net Asset Value	Assets	₹315.53	8%	Over (-21.5%)
EV/EBITDA	Enterprise	₹1,937.49	10%	Under (+382%)
Earnings Yield	Earnings	₹574.40	8%	Under (+42.9%)
Revenue Multiple	Revenue	₹1,194.52	6%	Under (+197.1%)
Consensus (8 models)		₹968.21	100%	Undervalued

Key Drivers: EPS CAGR 147.5% lifts DCF — verify sustainability. | Wide model spread (₹316–₹1,937) — high uncertainty.

PE-ROE · Graham · EPV · DCF · NAV · EV/EBITDA · DDM · Earnings Yield · ROCE Capital · Revenue Multiple | CoE: 12% · Terminal: 4% · EPS CAGR: 147.5%

*Investments are subject to market risks

Analysis summary

Data coverage: Price-data record updated 22 October 2025, 3:44 am +05:30. Annual results through Mar 2025; quarterly results through Jun 2025; cash flow through Mar 2025. Each section can have a different reporting period. The share price is not live.

Valuation in context

Operating performance

Revenue for Mar 2025 was ₹439,695.00 Cr, versus ₹434,016.00 Cr in Mar 2024 (1.3% year on year). Net profit for Mar 2025 was ₹28,149.00 Cr, versus ₹31,807.00 Cr in Mar 2024 (-11.5% year on year). These are the latest annual periods stored on this page; check the quarterly table separately for more recent developments.

Cash generation

For the same Mar 2025 period, operating cash flow was ₹63,102.00 Cr against net profit of ₹28,149.00 Cr. Cash flow covered 2.24 times reported profit. Cash generation supports the reported profit for this period; check whether this continues over several years.

Balance-sheet check

Reported borrowings were ₹71,540.00 Cr in Mar 2025. Read this alongside cash, interest costs and repayment obligations; reserves are an accounting balance and are not the same as available cash.

How to use the valuation and peer comparisons

The Intrinsic Value panel combines the available model estimates using the displayed weights. Earnings, cash-flow, dividend and asset-based methods can give very different answers. The displayed 12% cost of equity and 4% terminal growth assumptions apply where relevant; historical EPS growth is not a promise of future growth. Use the individual values and their spread to judge sensitivity.

The peer group follows the stored industry classification and may include different business models. Compare reporting periods, leverage and recurring earnings before interpreting a valuation gap. For banks and other financial businesses, capital adequacy and asset quality can be more informative than industrial-company cash-flow ratios.

Sources: Company data source. Check the company filings linked by the source for the reporting basis and exceptional items.

Automatically generated interpretation of the stored financial data, not a separately researched analyst opinion. Missing data is not evidence of poor performance. New filings become available here after the existing data refresh process captures them.

Investment Snapshot

Tata Motors Ltd scores 67/100 (Average)

Based on 5 dimensions: health, institutional flow, earnings quality, momentum, and peer comparison

Stock Health72/100 · Strong

ROCE 20.0% GoodROE 28.1% ExcellentDebt/equity Not availableInterest Coverage Not availableProfitable 3/5 available years Reported history

Smart Money45/100 · Moderate

FII holding down -3.37% (6mo) SellingDII holding up 0.85% MF buyingPromoter holding at 42.6% Stable

Earnings Quality100/100 · Strong

CFO/NP ratio: 2.66x Cash-backed earningsOPM expanding (9% → 13%) ImprovingWorking capital: -62 days (improving) Efficient

Quarterly Momentum30/100 · Weak

Revenue (4Q): -1% YoY FlatProfit (4Q): -45% YoY DecliningOPM: 10.0% (down 4.0% YoY) Margin pressure

Industry Rank65/100 · Strong

P/E 6.8 vs industry 34.1 Lower P/EROCE 20.0% vs industry 24.3% Average3Y sales CAGR: 16% Moderate

Weights: Health 30% · Earnings Quality 25% · Momentum 20% · Industry Rank 15% · Smart Money 10%. Scores use stored reporting periods and are screening indicators, not investment recommendations. Missing health ratios are excluded. Broad industry groups and financial-sector accounting can limit comparability.

Share Price and Basic Stock Data

Last Updated: October 22, 2025, 3:44 am

Market Cap	1,47,974 Cr.
Current Price	402
Intrinsic Value	₹968.21
High / Low	538/324
Stock P/E	6.84
Book Value	316
Dividend Yield	1.49 %
ROCE	20.0 %
ROE	28.1 %
Face Value	2.00
PEG Ratio	0.05

Understand these figures: how to read the P/E ratio, ROE versus earnings per share, and calculate intrinsic value.

Stock P/E, Current Price, and Intrinsic Value Over Time

Stock P/E Current Price Intrinsic Value

View Share Price Target for Tata Motors Ltd

Competitors

Stock Name ⇩	Market Cap ⇩	Current Price ⇩	High / Low ⇩	Stock P/E ⇩	Book Value ⇩	Dividend Yield ⇩	ROCE ⇩	ROE ⇩	Face Value ⇩
Tata Motors Ltd	1,47,974 Cr.	402	538/324	6.84	316	1.49 %	20.0 %	28.1 %	2.00
Ashok Leyland Ltd	96,184 Cr.	164	215/133	25.8	24.2	2.14 %	13.6 %	27.4 %	1.00
Force Motors Ltd	23,029 Cr.	17,478	26,486/14,911	21.0	3,183	0.23 %	36.1 %	29.2 %	10.0
Olectra Greentech Ltd	9,928 Cr.	1,210	1,714/867	56.0	150	0.05 %	21.0 %	15.6 %	4.00
SML Mahindra Ltd (SML ISUZU Ltd)	9,526 Cr.	6,583	6,654/2,700	60.9	359	0.36 %	30.9 %	35.4 %	10.0
Industry Average	57,328.20 Cr	5,167.40		34.11	806.44	0.85%	24.32%	27.14%	5.40

All Competitor Stocks of Tata Motors Ltd

Quarterly Result

Metric	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024	Sep 2024	Dec 2024	Mar 2025	Jun 2025
Sales	71,935	79,611	88,489	105,932	102,236	105,129	110,577	119,033	107,102	101,450	112,608	119,503	104,407
Expenses	69,522	74,039	77,668	92,818	89,019	91,362	95,159	102,348	91,854	89,291	100,185	102,685	94,183
Operating Profit	2,413	5,572	10,820	13,114	13,217	13,767	15,418	16,685	15,248	12,159	12,423	16,818	10,224
OPM %	3%	7%	12%	12%	13%	13%	14%	14%	14%	12%	11%	14%	10%
Other Income	2,381	1,351	1,130	1,453	895	1,557	1,604	1,412	6,553	1,647	1,700	1,057	1,595
Interest	2,421	2,487	2,676	2,642	2,615	2,652	2,485	1,645	1,471	2,034	1,119	1,076	938
Depreciation	5,841	5,897	6,072	7,050	6,633	6,637	6,850	7,143	6,565	6,005	5,399	5,295	5,320
Profit before tax	-3,468	-1,461	3,203	4,875	4,864	6,035	7,687	9,309	13,765	5,767	7,605	11,504	5,561
Tax %	44%	-31%	8%	-13%	32%	36%	7%	-88%	23%	40%	28%	26%	28%
Net Profit	-4,951	-898	3,043	5,496	3,301	3,832	7,145	17,528	10,587	3,450	5,485	8,556	4,003
EPS in Rs	-15.08	-2.84	8.91	16.28	9.64	11.33	21.14	52.37	31.63	9.08	14.69	23.01	10.66

Last Updated: August 20, 2025, 10:55 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: October 15, 2025, 5:22 am

Metric	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	Mar 2025	TTM
Sales	232,834	263,159	273,046	269,693	291,550	301,938	261,068	249,795	278,454	345,967	434,016	439,695	437,968
Expenses	197,980	223,920	234,650	240,104	260,093	277,274	243,081	217,507	253,734	314,151	376,192	384,479	386,344
Operating Profit	34,853	39,239	38,395	29,589	31,458	24,664	17,987	32,287	24,720	31,816	57,824	55,216	51,624
OPM %	15%	15%	14%	11%	11%	8%	7%	13%	9%	9%	13%	13%	12%
Other Income	-157	714	-2,670	1,869	5,933	-26,686	102	-11,118	2,424	6,664	4,792	11,774	5,999
Interest	4,749	4,861	4,889	4,238	4,682	5,759	7,243	8,097	9,312	10,225	7,594	5,083	5,167
Depreciation	11,078	13,389	16,711	17,905	21,554	23,591	21,425	23,547	24,836	24,860	27,239	23,256	22,019
Profit before tax	18,869	21,703	14,126	9,315	11,155	-31,371	-10,580	-10,474	-7,003	3,394	27,783	38,651	30,437
Tax %	25%	35%	21%	35%	39%	-8%	4%	24%	60%	21%	-14%	27%
Net Profit	14,050	14,073	11,678	7,557	9,091	-28,724	-11,975	-13,395	-11,309	2,690	31,807	28,149	21,494
EPS in Rs	48.46	48.44	40.11	25.82	31.13	-99.84	-39.08	-40.51	-34.45	7.27	94.47	75.60	57.44
Dividend Payout %	5%	0%	1%	0%	0%	0%	0%	0%	0%	32%	7%	8%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year	2014-2015	2015-2016	2016-2017	2017-2018	2018-2019	2019-2020	2020-2021	2021-2022	2022-2023	2023-2024	2024-2025
YoY Net Profit Growth (%)	0.16%	-17.02%	-35.29%	20.30%	-415.96%	58.31%	-11.86%	15.57%	123.79%	1082.42%	-11.50%
Change in YoY Net Profit Growth (%)	0.00%	-17.18%	-18.27%	55.59%	-436.26%	474.27%	-70.17%	27.43%	108.21%	958.63%	-1093.92%

Tata Motors Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2014-2015 to 2024-2025.

Growth

Compounded Sales Growth
10 Years:	5%
5 Years:	11%
3 Years:	16%
TTM:	-1%

Compounded Profit Growth
10 Years:	7%
5 Years:	37%
3 Years:	65%
TTM:	-37%

Stock Price CAGR
10 Years:	8%
5 Years:	36%
3 Years:	15%
1 Year:	-36%

Return on Equity
10 Years:	10%
5 Years:	17%
3 Years:	30%
Last Year:	28%

Last Updated: September 5, 2025, 4:00 am

Balance Sheet

Last Updated: June 16, 2025, 12:09 pm

Month	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	Mar 2025
Equity Capital	644	644	679	679	679	679	720	766	766	766	767	736
Reserves	64,960	55,618	78,273	57,383	94,749	59,500	62,359	54,481	43,795	44,556	84,151	115,408
Borrowings	60,642	73,610	69,360	78,604	88,950	106,175	124,788	142,131	146,449	134,113	107,264	71,540
Other Liabilities	92,180	107,442	114,872	135,914	142,813	139,349	132,313	144,193	138,051	155,239	177,339	189,289
Total Liabilities	218,426	237,315	263,184	272,580	327,192	305,703	320,179	341,570	329,061	334,674	369,521	376,973
Fixed Assets	69,092	88,479	107,232	95,944	121,414	111,234	127,107	138,708	138,855	132,080	121,285	115,697
CWIP	33,263	28,640	25,919	33,699	40,034	31,884	35,622	20,964	10,251	14,274	35,698	65,806
Investments	10,687	15,337	23,767	20,338	20,813	15,771	16,308	24,620	29,380	26,379	22,971	35,656
Other Assets	105,385	104,858	106,266	122,600	144,932	146,814	141,141	157,278	150,575	161,941	189,567	159,814
Total Assets	218,426	237,315	263,184	272,580	327,192	305,703	320,179	341,570	329,061	334,674	369,521	376,973

Reserves and Borrowings Chart

Cash Flow

Month	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	Mar 2025
Cash from Operating Activity +	36,151	35,531	37,900	30,199	23,857	18,891	26,633	29,001	14,283	35,388	67,915	63,102
Cash from Investing Activity +	-27,991	-36,232	-36,694	-39,571	-25,139	-20,878	-33,115	-25,672	-4,444	-15,417	-22,781	-49,982
Cash from Financing Activity +	-3,883	5,201	-3,795	6,205	2,012	8,830	3,390	9,904	-3,380	-26,243	-37,006	-18,786
Net Cash Flow	4,277	4,500	-2,589	-3,167	730	6,843	-3,092	13,232	6,459	-6,272	8,128	-5,666

Free Cash Flow

Free cash flow is not available in the stored cash-flow statement. Missing values are not treated as zero.

Financial Efficiency Indicators

Month	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	Mar 2025
Debtor Days	17	17	18	19	25	23	16	19	16	17	14	11
Inventory Days	69	67	73	77	83	73	82	83	71	66	64	63
Days Payable	146	131	138	138	151	133	145	175	141	128	126	131
Cash Conversion Cycle	-60	-47	-46	-41	-43	-38	-48	-74	-53	-45	-48	-56
Working Capital Days	-56	-62	-63	-69	-71	-78	-92	-112	-88	-63	-55	-62
ROCE %	22%	21%	15%	9%	9%	2%	-0%	6%	1%	6%	19%	20%

Financial Efficiency Indicators Chart

Share Holding Pattern

Month	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024	Sep 2024	Dec 2024	Mar 2025	Jun 2025
Promoters	46.40%	46.39%	46.39%	46.39%	46.38%	46.37%	46.36%	46.36%	42.58%	42.58%	42.58%	42.57%
FIIs	14.13%	13.89%	15.34%	17.72%	18.40%	18.62%	19.20%	18.18%	20.54%	18.66%	17.84%	17.17%
DIIs	14.75%	15.21%	17.69%	17.38%	17.37%	17.25%	16.01%	15.93%	16.08%	16.54%	16.88%	16.93%
Government	0.14%	0.14%	0.14%	0.14%	0.14%	0.14%	0.14%	0.14%	0.29%	0.31%	0.31%	0.31%
Public	24.58%	24.36%	20.41%	18.38%	17.70%	17.60%	18.31%	19.39%	20.49%	21.91%	22.39%	23.01%
No. of Shareholders	39,76,830	39,93,043	38,14,831	35,02,408	37,73,314	41,84,369	46,16,908	50,98,550	57,27,234	64,62,123	67,28,246	67,52,775

Shareholding Pattern Chart

No. of Shareholders

Tata Motors Ltd: Intrinsic Value & Share Price Analysis - Shareholder trend analysis

Mutual Fund Holdings

Fund Name	No of Shares	AUM (%)	Amount Invested (Cr)	Previous Number of Shares	Previous Date	Percentage Change
SBI Large Cap Fund	38,000,000	3.18	1742.3	N/A	N/A	N/A
ICICI Prudential India Opportunities Fund	21,068,251	2.75	965.98	23,069,751	2026-02-23 01:21:59	-8.68%
SBI Large & Midcap Fund	20,000,000	2.45	917	N/A	N/A	N/A
ICICI Prudential Multi Asset Fund	17,533,843	1	803.93	18,242,174	2026-02-23 07:17:06	-3.88%
ICICI Prudential Value Fund	17,370,909	1.32	796.46	16,421,815	2025-12-15 02:19:27	5.78%
HDFC Large Cap Fund	17,156,512	1.99	786.63	N/A	N/A	N/A
SBI Contra Fund	12,394,339	1.17	568.28	N/A	N/A	N/A
Nippon India Large Cap Fund	12,321,495	1.13	564.94	15,316,820	2026-02-23 05:58:39	-19.56%
SBI Balanced Advantage Fund	10,567,226	1.21	484.51	8,484,500	2025-12-08 06:40:04	24.55%
Axis Large Cap Fund	9,608,301	1.36	440.54	N/A	N/A	N/A

ROCE Trend

EPS Trend

Key Financial Ratios

Month	Mar 25
FaceValue	2.00
Basic EPS (Rs.)	-1.75
Diluted EPS (Rs.)	-1.75
Cash EPS (Rs.)	-1.57
Book Value[Excl.RevalReserv]/Share (Rs.)	0.43
Book Value[Incl.RevalReserv]/Share (Rs.)	0.43
PBDIT / Share (Rs.)	-1.57
PBIT / Share (Rs.)	-1.57
PBT / Share (Rs.)	-1.57
Net Profit / Share (Rs.)	-1.57
Return on Networth / Equity (%)	-362.96
Return on Capital Employeed (%)	-362.96
Return On Assets (%)	-78.40
Current Ratio (X)	1.28
Quick Ratio (X)	1.28

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Frequently asked questions

What is the intrinsic value of Tata Motors Ltd and is it undervalued?

Tata Motors Ltd: the stored intrinsic value estimate is ₹968.21, compared with a stored share price of ₹402.00. The model value is 140.8% above that quote. The model classifies this as undervalued; it is an estimate dependent on the inputs and assumptions, not a price target or a buy/sell recommendation. The estimate uses the available valuation models and weights shown in the Intrinsic Value panel, including earnings, cash-flow and asset-based approaches where data permits. It is not a P/E-only calculation.

What share price and 52-week range are shown for Tata Motors Ltd?

The stored share price is ₹402.00. Price-data record updated: 22 October 2025, 3:44 am +05:30. This is not a live quote. The stored 52-week high / low is 538/324; this is a rolling range, not a financial-year range.

How have Tata Motors Ltd's revenue and profit changed?

Does Tata Motors Ltd's profit convert into cash?

What should I check in Tata Motors Ltd's balance sheet?

Reported borrowings were ₹71,540.00 Cr in Mar 2025. Read this alongside cash, interest costs and repayment obligations; reserves are an accounting balance and are not the same as available cash.

How should I compare Tata Motors Ltd's P/E with other stocks?

The stored P/E is 6.84. Compare companies with similar business models, growth, leverage and accounting periods. The industry group on this page is broad, and its average can be affected by outliers. A lower P/E alone does not establish undervaluation.

What could change Tata Motors Ltd's intrinsic value estimate?

Changes in sustainable earnings, cash generation, capital needs, debt and share count can change the estimate. The displayed model uses a 12% cost of equity and 4% terminal growth assumption where applicable. Higher discount rates or weaker growth generally reduce discounted values. Compare the individual model values and weights, and verify fresh filings before relying on the result.