Tata Motors Commercial Vehicles Ltd. is one of the counters in focus on Thursday's day of trade after Investec initiated coverage on the Indian automaker, offering a rather bullish view.
In its latest note, Investec has initiated coverage on Tata Motors CV with a buy rating and a target price of Rs 535, citing a positive outlook for Medium & Heavy Commercial Vehicles (MHCV).
Investec believes Tata Motors CV is hitting its stride in an upcycle, with the margin trajectory likely to move up. This is mostly in line with commentary from other brokerages, which are equally optimistic about the commercial vehicle space in India.
A key positive for Tata Motors has been the IVECO acquisition, which has repositioned the company on the global stage. Investec sees 14% earnings per share CAGR over the FY26 to FY28 period, and its target price on the counter implies an upside of around 21% compared to the last closing price.
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