Tata Motors Electric Vehicle revolution: What you need to know

Delhi : Tata Motors has outlined a bold aim to increase its market share for electric vehicles. Jaguar Land Rover, a division of Tata Motors, will invest 15 billion pounds in the EV market over the next five years.

Including the electric range rover later this year and a mid-sized all-electric SUV in the Range Rover series in 2025, JLR plans to introduce three electric vehicles over the following two years.

Tata Motors is optimistic about the future of JLR's profitability and balance sheet. According to JLR's guidance, the EBIT margin should be in the double digits by the 2026 fiscal year.

The business intends to accomplish the same through drastic expense cuts and improved product mix.

As the company moves closer to its financial objectives of achieving a net cash positive position by the financial year 2025 and double-digit EBIT by the financial year 2026, Chief Executive Officer Adrian Mardell reaffirmed the business' commitment to its Reimagine strategy in a statement to the international media at JLR's Gaydon centre. This strategy will reposition the company as an electric-first, modern luxury carmaker by 2030.

Keep in mind that as of December 2022, JLR will have a net debt of 3.8 billion pounds.

Brokers continue to be optimistic about Tata Motors and its prospects. The stock has given a buy rating by BofA Securities, with a 475 rupee price objective. With a price target of Rs 510, Macquarie has also kept its outperform rating on the company.

The price target for Morgan Stanley's overweight rating on Tata Motors' stock is Rs 513.

With a year-to-date rise of about 20 percent, Tata Motors' stock is one of the Nifty 50 index's top performers.