Tata Motors Down by 5.93% at ₹615.15: Here is the Impact of CLSA Downgrade!

Tata Motors Limited, a passenger and commercial vehicle manufacturer, is now removed from the brokerage firm CLSA’s high-conviction outperform list. Currently, on 4th April (12:30 PM), the Tata Motors share is down by 5.93% and trading at ₹615.15. 

The latest dip comes amidst news of CLSA’s downgrade of share ratings and cut in price targets. In the previous session on 3rd April 2025, investors' reactions were attributed to the effect of reciprocal tariffs for car imports in the United States. But today is the second consecutive day when Tata Motors share has opened below its previous closing price. 

CLSA mentioned in its note that the imposition of 25% import tariffs by US President Donald Trump and discontinuation of Jaguar Models would result in a 14% YoY decline in the JLR volumes. As a result, the EBIT margins of Tata Motors Limited will likely to be down 7% in the FY26- 27.

Moreover, CLSA has also reduced JLR’s (Jaguar Land Rover) target enterprise value-to-EBITDA multiple from 2.5 times to 2 times. Near-term growth challenges may bring this decline in JLR’s financial performance. 

Tata Motors' share opened with a dip of 1.81% on 3rd April against its closing price of ₹672.20 on 2nd April 2025. And today, the share is opened 0.84% down from its previous closing price. It remains to be seen how the stock holds up by the closing time!

Tata Motors Share Ratings

Out of 30 Analysts having coverage on Tata Motors Limited, 17 of them gave “Buy” ratings, but 6 of them have a “hold,” and 2 suggested to “sell” the share. 

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