rakesh jhunjhunwala: Tata Motors surges as Big Bull & marquee investors meet top brass

MUMBAI: Shares of Tata Motors surged in trade on Monday as the company’s management began its five-day-long meetings with some of the biggest names from the investing world.

The company in an exchange filing said that it would be holding meetings with investors such as Rakesh Jhunjhunwala’s Rare Enterprises, Blackrock Investment, Abu Dhabi Investment Authority, Franklin Templeton Investments, JP Morgan Asset Management and others.

The meeting comes after the company poor earnings for the March quarter and the management may hold discussions around the company’s outlook on the Indian business and Jaguar Land Rover.

See also  Top 5 company fixed deposit schemes with AAA ratings

Tata Motors post its earnings said that it expects near-term challenges in both the businesses due to semi-conductor shortages and the ongoing second wave of the COVID-19 pandemic in India.

“We expect Q1 FY22 to be relatively weak due to this as well as rising commodity inflation and expect to improve gradually from the second quarter. The business has demonstrated strong resilience in the face of adversity and its fundamentals are strong,” the company had said.

The Indian business has been hit by the onset of the second wave with sales in May plummeting 38 per cent on a month-on-month basis. “Consequently, the first half of the year is expected to be relatively weak. Sequential improvement in overall performance is expected from the second quarter of FY22,” the company had said in its earnings statement.

For investors, though, the more talking points will center around the future of Jaguar Land Rover and its sharp pivot towards electric vehicles. The company in February had announced a major revamp of strategy under ‘Reimagine’ wherein the company will produce all Jaguars and Land Rovers as electric vehicles by 2025.

See also  GST Council Meet LIVE: Covid-19 relief material, black fungus drug exempted from tax; return filing simplified

The strategy’s aim is to catch up with industry leader Tesla, which is also entering India, and other incumbent automobile manufacturers such as Ford.

Investors are likely to seek more information from the company on the electric vehicle pivot, especially, as some analysts have raised concerns that the company may already be behind the curve on the e-vehicle segment.

See also  Top Republican warns Fed risks being ‘behind the curve’ on inflation

Source link


Why You Should Let Professionals Handle Recruitment Process For Your Company 2022

Recruitment agencies work in multiple markets. They have an extended reach that your small business alone can not have.

Virus disaster leaves deep scars on India’s economy

Breadcrumb Trail Links PMN Business Author of the article: Reuters Aftab Ahmed and...

Johnson accuses EU of infringing on ‘UK integrity’ over N Ireland

Boris Johnson has pledged to do “whatever it takes” to protect the integrity of the UK after his government accused Emmanuel Macron of...

Taiwan says it is discussing making COVID-19 vaccines for U.S. firms

Article content TAIPEI — Taiwan is in talks with U.S. companies about making their COVID-19 vaccines, following similar talks with European firms, Health...