Tata Motors, Tata Motors PV gain 3%; rally up to 15% in 1 month; here's why

With the company's product launches & interventions commencing deliveries in Q4 and a strong slate of upcoming launches, Tata Motors PV is well poised to accelerate its growth trajectory in FY27.

Tata Motors, Tata Motors PV share price today

Share prices of Tata group's automobile companies, Tata Motors (formerly known as TML Commercial Vehicles)  and Tata Motors Passenger Vehicles (PV), gained 3 per cent each on the National Stock Exchange (NSE) on Thursday aided by heavy volumes. 

Tata Motors PV share price hit over three-month high of ₹392.20 in the intraday trade, surging 3 per cent on the NSE. The stock had hit a 52-week high of ₹459.67 (adjusted to demerger) on June 11, 2025. In the past one month, it has rallied 15 per cent. The average trading volume on the counter jumped 1.5 times with a combined 7.35 million shares changing hands on the NSE and BSE so far in trade. 

 

Tata Motors share price, meanwhile, also added 3 per cent to hit a high of ₹495 on the NSE in the intraday deal. In the past one month, the stock price of the commercial vehicle (CV) company has soared 11 per cent. In comparison, the Nifty 50 and Nifty Auto indices were up 1.4 per cent and 7.7 per cent, respectively. The stock had hit a record high of ₹500 on February 12, 2026.

What has been driving Tata Group's auto stocks in the past one month?

The management of both the Tata Group automobiles companies have shared upbeat outlook for the fourth quarter (January to March) of the financial year 2026 (Q4FY26). 

Though the overall global demand continues to remain challenging, the management of Tata Motors PV said the company will step up brand-led actions at Jaguar Land Rover (JLR) to drive up demand for its products and execute enterprise missions programme aimed at enhancing savings and cash flows. 

Domestic business continues to witness robust demand, and the company will accelerate growth through exciting launches and innovations. Overall, the management expects a sharp improvement in Q4FY26, led by normalisation of JLR volumes, Tata Motors PV said. 

That apart, the management remains confident about the PV industry's growth in light of positive demand momentum seen post GST 2.0. "With the company's product launches and interventions commencing deliveries in Q4 and a strong slate of upcoming launches, Tata Motors PV is well poised to accelerate its growth trajectory in FY27," the management said. 

Notably, Tata Motors PV's domestic business has had a busy launch calendar over the last couple of months, starting with the launch of Tata Sierra. Punch, which is the leader in the subcompact SUV segment, received a phenomenal response in January, as per the company. 

Meanwhile, Tata Motors Ltd said Q3FY26 witnessed sustained sales momentum driven by GST 2.0 and improvement in overall sentiment.  

"The sustained push for infrastructure by government and expansion in end-use sectors expected to strengthen demand in Q4FY26 across most commercial vehicle segments," it said. 

The CV-arm's management indicated that double-digit volume growth will sustain for a few quarters aided by replacement demand, small operators, tipper truck segment and low base benefit. New launches, Ace Gold and Ace Pro, are helping the company to regain peak volumes.

Auto sector outlook

In Q3FY26, tailwinds from GST reforms resulted in continued healthy performance for the auto industry. OEM auto industry saw domestic volumes growing 18 per cent Y-o-Y while exports surged 25 per cent on robust global demand. Robust volume recovery in the CV segment was the real surprise, according to analysts at ICICI Securities. 

Rural demand stayed resilient while urban demand bounced back post GST and income tax rate cuts. Going forward, companies indicated continued strong demand across segments and are seeing GST cut as a structural tailwind rather than a short-term boost. Companies guided for very caliberated or miniscule price hikes in response to key commodity price increase and will resort to operating leverage gains encashing upon demand momentum, the brokerage firm said. 

"The domestic automobile sector is expected to maintain steady growth momentum through FY26, supported by policy measures to strengthen domestic manufacturing, improving affordability following GST rationalisation, recovery in consumption and sustained rural income levels after a normal monsoon," according to Icra. 

The rating agency expects passenger vehicle wholesale volumes to grow 5–7 per cent in FY26, supported by sustained demand momentum, GST cuts and continued new model launches. 

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