Rakesh Jhunjhunwala | TaTa Motors not doing well in Stock Market
Rakesh Jhunjhunwala | TaTa Motors not doing well in Stock Market
Rakesh Jhunjhunwala, Investor and Trader is bullish on Tata Motors. Jhunjhunwala told CNBC-TV18, “I am extremely bullish on Tata Motors and I want to disclose that Tata Motors, Orchid, Lupin, Titan I am an interested party.” He further added, “I have an investment in Ashok Leyland, and that’s doing well.” Tata Motors trailing 12-month (TTM) EPS was at Rs 34.73 per share. (Jun, 2010). The stock’s price-to-earnings (P/E) ratio was 35.87. The latest book value of the company is Rs 245.56 per share. At current value, the price-to-book value of the company was 5.07. The dividend yield of the company was 1.2%.
Healthy growth in volumes at its Jaguar Land Rover (JLR) operations pulled up Tata Motor’s consolidated revenues by 36% to Rs 28,782 crore for the quarter ended September 30, 2010, against Rs 21,088.45 crore for the same period last year. The company beat Street expectations with a more-than-expected consolidated net profit of Rs 2,222.99 crore for the quarter ended September 30, 2010, against Rs 21.78 crore during the same period last year. The company also appointed Ralf Speth, CEO, JLR on its board.
JLR has witnessed a growth of 21% in its retail volumes in the September quarter to 56,420 units as against 46,793 units. The brands saw a significant growth in volumes on a year-on-year basis with markets like China at 72%, North America at 27%, Russia at 52% and Europe excluding Russia at 14%. UK saw a minimal growth of 3% and other markets, 2%. JLR’s profit after tax for the quarter ended September 30, 2010, stood at £2 38.1 million against a loss of £60.4 million during the same period last year. The brands saw a significant improvement in the EBITDA margins at 16.6% for the quarter under consideration as against 2.9% in the same period last year. This was on the back of better product mix, market expansion, exchange fluctuations and impact of cost control measures adopted by the company. However, C Ramakrishnan, chief financial officer, Tata Motors, said, “Exchange rates could impact the profitability of JLR going ahead while the engine supply constraints continue to impact production.”
Posted by on Nov 10 2010. Filed under Uncategorized. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry
