Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
It is not possible to calculate the future cash flow value for
Tata Motors. This is due to cash flow or dividend data being
unavailable. The share price is
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
is considered below, and whether this is a fair price.
Price based on past earnings
Tata Motors's earnings available for a low price, and how does
this compare to other companies in the same industry?
Tata Motors's earnings are expected to grow significantly at over 20% yearly.
Tata Motors's revenue is expected to grow by 7.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Tata Motors's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
TENURE AS CEO
Mr. Guenter Butschek has been the Chief Executive Officer and Managing Director at Tata Motors Limited since February 15, 2016. Mr. Butschek leads all operations of Tata Motors in India and in international markets including South Korea, Thailand, Indonesia and South Africa. He has broad functional and general management skills and wide international experience. Mr. Butschek served as the Chief Operating Officer of Airbus S.A.S. from June 2012 to January 1, 2015. He served as Executive Vice President of Operations of Airbus S.A.S since February 1, 2011. Mr. Butschek served as the President and Chief Executive Officer of NedCar, a subsidiary of Mitsubishi Motors Corporation until June 2005. He worked at Daimler AG for more than 25 years in international automotive management, leading functions like production, industrialization and procurement and served as its President and Chief Executive Officer of Beijing Benz Automotive Co. Ltd. Mr. Butschek serves as the Chairman of the Board of Airbus Operations GmbH. He has been an Additional Director at Tata Motors Limited since February 15, 2016. He has been the Chairman of the Supervisory Board at Premium AEROTEC GmbH since April 1, 2011. Mr. Butschek serves as the Chairman of the Supervisory Board at PFW Aerospace UK Ltd. He is a Director at Tata Cummins Private Ltd., Tata Daewoo Commercial Vehicle Co. Ltd., Tata Motors European Technical Center Plc and TMF Holdings Ltd. Mr. Butschek is Director of Tata Technologies Limited since August 2018 and was its Additional Director since March 30, 2018 until August 2018. He graduated in Economics from the Baden-Wuerttemberg Cooperative State University. He is a graduate in Business Administration with a Diploma from the University of Cooperative Education, Stuttgart.
Guenter's compensation has been consistent with company performance over the past year.
Guenter's remuneration is higher than average for companies of similar size in India.
Management Team Tenure
Average tenure and age of the
management team in years:
The average tenure for the Tata Motors management team is less than 2 years, this suggests a new team.
CEO, MD & Additional Director
Group Chief Financial Officer
COO & Executive Director
Company Secretary & Compliance Officer
G. P. Kumar
President & Chief Human Resources Officer
Chief Technology Officer
Head of Treasury & Investor Relations
Deputy General Manager of Corporate Communications
Head of Marketing - PVBU
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The tenure for the Tata Motors board of directors is about average.
Those Who Purchased Tata Motors Shares Three Years Ago Have A 64% Loss To Show For It
Given that Tata Motors only made minimal earnings in the last twelve months, we'll focus on revenue to gauge its business development. … Many high growth companies focus on growing revenue before profits, but if revenue is the focus, it really needs to grow. … Over three years, Tata Motors grew revenue at 4.2% per year.
Why Tata Motors Limited’s (NSE:TATAMTRDVR) Return On Capital Employed Looks Uninspiring
Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Second, we'll look at its ROCE compared to similar companies. … What is Return On Capital Employed (ROCE)?
Is Tata Motors Limited (NSE:TATAMTRDVR) Potentially Undervalued?
Tata Motors Limited (NSE:TATAMTRDVR), which is in the auto business, and is based in India,. … With many analysts covering the mid-cap stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price? … Let’s take a look at Tata Motors’s outlook and value based on the most recent financial data to see if the opportunity still exists
Should You Buy Tata Motors Limited (NSE:TATAMTRDVR)?
saw significant share price volatility over the past couple of months on the NSEI, rising to the highs of ₹186.35 and falling to the lows of ₹134.5. … A question to answer is whether Tata Motors's current trading price of ₹139.2 reflective of the actual value of the? … Let’s take a look at Tata Motors’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change
Does Tata Motors Limited (NSE:TATAMTRDVR)'s Capital Return Make The Cut?
and looking to gauge the potential return on investment in Tata Motors Limited (NSE:TATAMTRDVR). … As a result, your investment is being put to work to fund operations and if you want to earn an attractive return on your investment, the business needs to be making an adequate amount of money from the funds you provide … You need to pay attention to this because your return on investment is linked to dividends and internal investments to improve the business, which can only occur if the company is expected to produce adequate earnings with the capital that has been provided.
Does Tata Motors Limited's (NSE:TATAMTRDVR) PE Ratio Signal A Selling Opportunity?
TATAMTRDVR is priced at a multiple of 14.95x based on its prior year’s earnings,. … which is -118.2801956827526 lower than 17.83x average multiple of the Auto. … However, a static multiple such as PE is never conclusive on its own.
Is Tata Motors Limited's (NSE:TATAMTRDVR) PE Ratio A Signal To Buy For Investors?
I am writing today to help inform people who are new to the stock market. … and want to begin learning the link between Tata Motors Limited (NSE:TATAMTRDVR)’s fundamentals and stock market performance. … Tata Motors Limited (NSE:TATAMTRDVR) is currently trading at a trailing P/E of 14.9x, which is lower than the industry average of 17.7x.
Does Tata Motors Limited's (NSE:TATAMTRDVR) Past Performance Indicate A Stronger Future?
Today I will examine Tata Motors Limited's (NSE:TATAMTRDVR) latest earnings update (31 March 2018) and compare these figures against its performance over the past couple of years, in addition to how the rest of TATAMTRDVR's industry performed. … Did TATAMTRDVR beat its long-term earnings growth trend and its industry. … TATAMTRDVR's trailing twelve-month earnings (from 31 March 2018) of ₹89.89b has
Tata Motors Limited designs, manufactures, and sells a range of automotive vehicles. It operates through Automotive Operations and All Other Operations segments. The company offers cars, sports vehicles, trucks, buses, and defence vehicles, as well as related spare parts and accessories. It also manufactures engines for industrial and marine applications; aggregates, such as axles and transmissions for commercial vehicles; and factory automation equipment. In addition, the company provides information technology services, machine tools, and factory automation services; and vehicle financing services. It offers its products under the Tata, Daewoo, Fiat, Jaguar, and Land Rover brands. Tata Motors Limited operates in India, China, the United Kingdom, the United States, rest of Europe, and internationally. The company was formerly known as Tata Engineering and Locomotive Company Limited and changed its name to Tata Motors Limited in July 2003. Tata Motors Limited was founded in 1945 and is headquartered in Mumbai, India.
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