Archive · 5 Jan 2026
Tata Motors CV Business Sees Revival
Tata Motors is expecting a revival in the commercial vehicle (CV) business.
The Goods and Services Tax (GST) rate cut in September 2025 has made things better for small truck transporters, which should lead to more demand for new trucks.
This is good news for Tata Motors because they have a wide range of truck products and a strong brand.
Analysts think the company's stock is a good buy, with a target price of ₹513.
However, there are some risks, like global challenges and potential weakness in domestic truck demand.
GST rate cut in September 2025 improved small transporters' business economics.
Tata Motors expects a revival in new truck demand, particularly for small and medium-size trucks.
The company has a wide product portfolio and strong brand recall, which could help it regain market share.
Analysts assign an 'Add' rating to the stock with a target price of ₹513.
Downside risks include global challenges and potential weakness in domestic truck demand.
- Who
- Tata Motors Ltd
- What
- Business cycle revival for new truck demand due to GST rate cut
- When
- April 2024 to July 2025
- Where
- India
- Why
- GST cut improved small transporters' business economics
- CMP
- ₹426.50
- Target Price
- ₹513
- GST Cut
- September 2025
- Market Share Loss
- Less than 16t trucks
- EV/EBITDA Multiple
- 12.5x
- CV Business Value
- ₹489/share
- Subsidiaries Value
- ₹25/share
- Rating
- Add