Will share price reach ₹1000 in 2025?

Tata Motors, a key part of the Tata Group and one of the most talked-about stocks on Dalal Street, is facing challenges in 2024. As per the YTD (Year-to-Date) performance till now, there has not been any significant growth in the company’s stock. Even in the last one year, Tata Motors stock has given returns of only 9%. The stock is currently trading at ₹790.60, about 33% lower than its 52-week high of ₹1,179.05 (this level was seen on July 30, 2024).

Now the question arising in the minds of investors is whether the share of Tata Motors can reach the level of ₹ 1000 in 2025.

Tata Motors’ future and share price target

VLA Ambala, a SEBI-registered research analyst and co-founder of Stock Market Today, analyzed the technical charts of Tata Motors, reported ET Now.

• RSI (Relative Strength Index) status:
  • Monthly Chart: 51
  • Weekly Chart: 35
  • Daily Chart: 40

These figures indicate caution in the short-term.

VLA Ambala advises investors:

“Avoid aggressive buying at this level. “Investors who want to buy should buy between ₹680 to ₹740 and their target can be ₹800 to ₹1170.”

Demerger and Stock Split of Tata Motors

Tata Motors has announced that it will demerger its business into two separate companies:

1. Commercial Vehicles
2. Passenger Vehicles

These two companies will be listed separately in the stock market.

• Demerger Ratio: 1:1
  • This means that each shareholder will get one share each in the two new companies for every share of Tata Motors.
  • With this, shareholders will continue to have equal stake in both the companies.

Time of demerger:

• The process is likely to be completed in the first quarter of the next financial year.

Potential benefits from demerger

1. Business Focus:
   • Both companies will be able to focus better on their respective segments.
2. Benefits for Shareholders:
   • Investors will get stake in two companies, which will diversify their investments.
3. Investors’ Confidence:
   • Investors remain enthusiastic considering the potential growth after the demerger.

Can Tata Motors share reach ₹1000 in 2025?

Tata Motors may have faced challenges in 2024, but investor confidence remains due to the demerger and future plans.

• According to technical indicators and experts, its share price is likely to improve in the next few months.
• Tata Motors shares are expected to reach ₹1000 in 2025.