Tata Motors riding on JLR's strong volume trend; stock rises 8%

Domestic volume trajectory and rising cash flows are the other triggers

Better-than-expected volumes in the September quarter at its British subsidiary Jaguar Land Rover (JLR) led to an 8 per cent surge in the stock price of Tata Motors. JLR reported volume growth of 50 per cent on a sequential basis, led by higher sales in China and the UK. This growth was led by improving demand and new launches, such as the Land Rover Defender. A large part of growth in Q2 came in September. 

Though volumes as compared to the year-ago levels were down 12 per cent, those were an improvement over the 42 per cent year-on-year decline in the