Tata Motors CV stock lists at 28% premium; should you buy, sell or hold?

Tata Motors CV listing: Shares of Tata Motors' Commercial Vehicle (CV) arm listed at ₹335 on the NSE, up by 28 per cent from its earlier value of ₹260.75. Post listing, the stock price fell nearly 4 per cent to hit a low of ₹322.6.

 

At 11:00 AM, the stock was down 1.75 per cent from the listing price at ₹329.

 

On the BSE, the Tata Motors (TMCV) debuted at 330.25, a premium of 26 per cent from its earlier valuation of ₹261.9. Post listing, the stock touched a low of ₹321, down nearly 3 per cent from the listing price. At 11:00 AM, the stock was trading almost flat on the BSE. 

 

Following the approvals from exchanges, the National Stock Exchange and the BSE, Tata Motors had informed earlier this week that its CV business will list on Wednesday, November 12, 2025. The listing comes after its current listed company, Tata Motors Passenger Vehicles (TMPV), began trading, excluding the commercial vehicle business. The listed company now trades as Tata Motors Passenger Vehicles Ltd. 

 

Post-demerger, TMCVL will be India's largest commercial vehicle manufacturer with a presence across segments ranging from small cargo vehicles to M&HCVs as well. The demerged entity will also include the recently acquired Iveco Group NV, which is among the world's five largest commercial vehicle manufacturers.   ALSO READ | Tata Motors demerger: What lies ahead for PV and CV businesses post split

Tata Motors CV listing: Here's what the analysts suggest

Analysts suggest that Tata Motors’ commercial vehicle demerger positions the company for a stronger operational focus and long-term growth. 

 

Kranthi Bathini, equity strategist at WealthMills Securities, said Tata Motors’ strong brand and leadership in the commercial vehicle segment provide a solid foundation for long-term investors. He noted that the demerger will enhance management focus and efficiency, potentially boosting profitability over time. 

 

Bathini added that it could take a few years to realise the full benefits, but the standalone CV business is better positioned to compete with peers like Ashok Leyland and Eicher Motors. He recommended investors to “Hold” the stock for the long-term horizon.

 

Ravi Singh, chief research officer at Mastertrust, said the market debut of TMLCV was robust, opening at a 28 per cent premium over its implied value, as investors welcomed the standalone listing of India’s largest truck and bus-maker amid an optimistic cyclical recovery in the commercial vehicle industry. 

 

"After becoming a standalone TMLCV, Tata Motors’ CV business will be at the core of India’s growth story – facilitating the expansion of logistics, mining and infrastructure. Fleet replacement, combined with new demand supporting construction and logistics, will provide further impetus. The demerger separates and distinguishes Tata Motors’ fast-growing passenger vehicle and EV business units from the more stable and cash-generating CV business, and allows investors to value them individually on their own credibility," he added.

 

Echoing similar views, VK Vijayakumar, chief investment strategist at Geojit Investments, said the stock listed at a better-than-expected price and recommended investors to “Hold” the stock for the long term.  ALSO READ | TaMo CV lists today. How to trade commercial vehicle makers' stocks?

Tata Motors demerger

On March 4, 2024, Tata Motors announced a demerger into two listed entities: Commercial Vehicles (CV) and Passenger Vehicles (PV), including EVs and JLR, to allow each unit to pursue its own strategy and valuation. The Composite Scheme of Arrangement carved out the CV business into a new company, with the demerger taking legal effect on October 1, 2025 and October 14 as the record date for the new shares. Around 368 crore shares, with a face value of ₹2 each, will trade under ‘TMCVL’ in the ‘T’ Group of Securities, remaining in the trade-for-trade segment for the first 10 sessions to ensure orderly price discovery.