Tata Motor’s Stock Performance
Tata Motors’ share price opened lower at ₹686 per share on the NSE and dropped to an intraday low of ₹673.30 within an hour of market opening. By the end of Friday’s trading session, the stock had closed at ₹672.40, reflecting strong selling pressure.
Why Is Tata Motors Stock Under Pressure?
The decline comes amid reports that several top executives have resigned from Tata Motors ahead of its demerger, raising concerns about internal stability.
Demerger Details and Executive Exits
Tata Motors announced its demerger plan in March 2024, initiating a talent mapping exercise to allocate key executives to their respective businesses. The company appointed Egon Zehnder, Boston Consulting Group, and McKinsey to assist in restructuring.
However, some senior executives were reportedly unhappy with their new roles, leading to multiple high-profile exits, including:
- Biswaroop Mukherjee – Former Head of HR, Commercial Vehicles
- Anurag Mehrotra – Former VP, International Business & Strategy (Now MD at JSW MG Motor India)
- Vinay Pant – Former CMO, Passenger Vehicles
- Vinay Pathak – Former Head of Product Planning & Program Management, Commercial Vehicles
- Sampada Inamdar – Former Head of Training & Development
- Devendra Katiyar – Former Chief Safety Officer
- Ashish Tandon – Former Senior GM, Small Commercial Vehicles (Now Global Head of Customer Excellence at Euler Motors)
Some of these executives have joined rival companies, adding to investor concerns about leadership stability.
Tata Motors Share Price Outlook for 2025
Despite the short-term dip, analysts remain positive on Tata Motors’ long-term growth:
🔹 Sagar Shetty (StoxBox Research Analyst)
- Strengths: Strong market position (12% share), early mover in EVs, rising Range Rover demand, and Jaguar’s EV relaunch.
- Financial Health: Net cash position of ₹700 crore, strong free cash flow (FCF), and reduced debt obligations.
- Demerger Benefits: Increased operational efficiency, allowing each segment to focus on its core business.
- Outlook: Positive, expecting value unlocking for shareholders.
🔹 Anshul Jain (Lakshmishree Investment & Securities, Head of Research)
- Technical View: Tata Motors stock is near a strong support level at ₹659.
- Breakout Potential: A rise above ₹695 could trigger a bullish rally towards ₹750.
- Investor Strategy: Watch for volume confirmation and broader market sentiment before taking positions.
What’s Next?
While the demerger may cause short-term volatility, analysts believe it will ultimately enhance efficiency and unlock shareholder value. Investors should monitor key support and resistance levels as the stock navigates this transition.
Will Tata Motors bounce back, or will executive exits weigh it down further? Share your thoughts below!
