Tata Group Shares Extend Surge; Tata Chem, Rallis India, TTML, and Tata Tech surge by up to 15%.
- Among the Group stocks, Tata Chemicals, Tata Consumer Products, Tata Investment Corporation, and Tata Steel reached their individual record highs during intra-day trading.
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In Thursday’s trading session, shares of Tata Group companies surged with impressive gains. Notably, Tata Chemicals, Rallis India, Tata Power Company, Nelco, Tata Teleservices (Maharashtra), and Tata Investment Corporation experienced significant rallies ranging between 5% and 13% on the BSE, backed by heavy trading volumes.
Other notable performers included Tata Elxsi, Tata Steel, Trent, Voltas, Tata Motors, and Tata Consultancy Services, which saw increases ranging from 1% to 4%. Meanwhile, the S&P BSE Sensex recorded a modest uptick of 0.06% at 74,131 by 12:22 pm.
Intra-day trading saw several Tata Group stocks, including Tata Chemicals, Tata Consumer Products, Tata Investment Corporation, and Tata Steel, achieving their respective record highs, marking a notable achievement within the group’s portfolio.
Tata Investment shares have surged by over 15% to reach a 52-week high on back of Tata Tech IPO Buzz.
On Friday, Tata Investment Corporation’s shares experienced a notable surge, rising by 565.10 points or 14.46 percent from the previous day’s close, settling at Rs 4,474. According to BSE analytics, the company’s shares have shown impressive returns, with a gain of 37.17 percent in the last month, a substantial increase of 103.39 percent over the past six months, and an 89.66 percent return over the previous year.
Several market analysts are optimistic about the potential increase in Tata Investment Corporation’s share prices, attributed to the anticipated Tata Technologies IPO. This initial public offering includes an offer for sale (OFS) of up to 60.9 million shares.
Tata Investment Corporation, a non-banking financial company (NBFC) promoted by Tata Sons, holds registration with the Reserve Bank of India as an investment company. The corporation specializes in investing in both listed and unlisted equity shares, debt instruments of companies across various industries, and mutual funds.
As per a report by Business Standard, the surge in optimism is attributed to the anticipation that the listing of Tata Sons will unlock value and streamline the complex group holding structure. The Reserve Bank of India (RBI) designated Tata Sons as an upper-layer non-banking financial company (NBFC) last year, mandating the company to list itself on the exchanges by September 2025.
Tata Investment Corp shares have been consistently locked in the upper circuit for the sixth consecutive day, rising by 5 percent to reach Rs 9,744.40, marking a new high on the BSE. Over the past month alone, the stock has surged by 74 percent, while in the calendar year 2024 thus far, it has soared by an impressive 128 percent.
The company, along with its subsidiary, an NBFC registered with the RBI as an Investment Company, primarily focuses on investing in listed and unlisted equity shares, debt instruments, and mutual funds across various industries.
As of December 31, 2023, Tata Sons Private Limited, alongside other promoter shareholders, held a 73.4 percent stake in Tata Investment Corp. According to the company’s management, India remains a promising market, with optimism that Indian equity indices may yield double-digit returns in FY24. The company’s portfolio comprises a blend of listed Tata and diversified non-Tata equities, unlisted equities, and fixed income securities.
Tata Chemicals Limited continues its upward trend consistently.
Among individual stocks, Tata Chemicals (TCL) reached a new peak of Rs 1,349.70, surging by 15 percent on the BSE during today’s intra-day trading. The average trading volumes for the stock soared over 8-fold today, with a total of 32.5 million equity shares exchanged on the NSE and BSE.
In anticipation, considering a market value of Rs 7 trillion for Tata Sons, Tata Chemicals’ 3 percent stake in Tata Sons would be valued at Rs 21,000 crore — almost 62 percent of its current market capitalization.
Over the past two days, the stock price of Tata Chemicals has surged by 27 percent. Within the last six trading days, it has witnessed a remarkable increase of 44 percent, notably after Fitch Ratings revised the outlook on TCL’s long-term foreign-currency Issuer Default Rating (IDR) to ‘Stable’ from ‘Positive’ and affirmed the rating at ‘BB+’.
Tata Power Shares soar 9% hit High Record.
- Antique Broking has set a target of Rs 450 for the stock.
- With today’s rally, the power sector stock has surged by 30% in 2024.
- A total of 25.19 lakh shares of the firm were traded, amounting to a turnover of Rs 104.67 crore.
Shares of Tata Power reached a new all-time high during the afternoon session today, surging by 8.66% to Rs 429 compared to the previous day’s close of Rs 394.80 on BSE. With today’s rally, the power sector stock has witnessed a remarkable 30% increase in 2024. The market capitalization of Tata Power soared to Rs 1.35 lakh crore on BSE. A total of 25.19 lakh shares of the firm were traded, resulting in a turnover of Rs 104.67 crore. Tata Power’s stock has surged by 102% over the past year and experienced a remarkable increase of 61% in just six months.
Antique Broking has said about Tata Power Stock and today's rally in this stock
- Antique Broking has set a target of Rs 450 for the stock.
- The brokerage mentioned, “We have included the potential windfall gains from spot market sales from CGPL, assuming PPA negotiations fail through. We estimate this to be 30% of the total PPA, which is exposed to Punjab, Haryana, and Rajasthan.”
- Tata Power’s stock dropped to a 52-week low of Rs 182.45 on March 28, 2023.
- Tata Power’s stock has surged by 102% over the past year and skyrocketed by 61% in the last six months. A total of 25.19 lakh shares of the company were traded, resulting in a turnover of Rs 104.67 crore on BSE. The market capitalization of Tata Power increased to Rs 1.35 lakh crore.
- Tata Power reported a 2.28% increase in its third-quarter (Q3 FY24) consolidated net profit to Rs 1,076.12 crore compared to Rs 1,052.14 crore in the year-ago period.
Conclusion:
In conclusion, the surge in Tata Group shares, reaching up to 15% in March 2024, reflects a remarkable performance that has delighted investors. This upward trajectory signals confidence in the group’s prospects and underscores its resilience in the market. As investors continue to monitor developments, the sustained surge in Tata Group shares serves as a testament to the group’s strength and potential for growth in the months ahead.
Moreover, the steady rise in Tata Group shares highlights the market’s favorable outlook toward the conglomerate’s varied portfolio and strategic endeavors. Investors are attentively monitoring the group’s progress, foreseeing additional advancements and potential prospects. As Tata Group shares persist in their upward trend, investors maintain positivity regarding the group’s capacity to address market obstacles and leverage emerging trends. With this continuous surge, the Tata Group reaffirms its significance as a pivotal player in the global market, instilling assurance and excitement among investors and stakeholders alike.
Here Are Some FAQs:
The stock surged following updates regarding Tata Sons’ initial public offering (IPO), estimated to be valued between Rs 8 lakh crore and Rs 11 lakh crore, according to Zee Business Research. By the market’s close, Tata Chemicals’ shares traded 11.57% higher at Rs 1,314.9 each on the BSE.
Within Tata Group’s listed companies, Tata Motors and Tata Chemicals possess a 3% stake each in Tata Sons. Tata Power holds a 2% stake, while Indian Hotels maintains a 1% stake in the holding company.
Based on Zee Business research, Tata Chemicals’ quarterly net profit was projected to be Rs 265 crore, with revenue estimated at Rs 3,820 crore and EBITDA at Rs 750 crore.
Dorabji Tata Trust (28%) and Ratan Tata Trust (24%) own the majority of Tata Sons. As the buzz over the potential listing of Tata Sons, the holding company of the Rs 30 lakh crore conglomerate, grows louder, investors have already started betting on Tata Chemicals which could be the biggest beneficiary of the mega IPO.
Summary of TATAPOWER Share Price Forecast for 2025:
Given favorable market conditions, the mid-year price target for Tata Power Company Ltd is projected to potentially reach ₹526.92. By the conclusion of 2025, considering bullish market trends, the price target for Tata Power Company Ltd is expected to potentially reach ₹526.98.