Shares of Tata Motors Passenger Vehicles (Tata Motors PV) traded higher on Wednesday, lifted by upbeat brokerage views on the newly launched Sierra SUV and strong momentum across auto stocks.
The stock gained nearly 2% in early trade, touching the day’s high of Rs 362.85, after several brokerages said the Sierra is well placed to boost Tata’s presence in the mid-size SUV market. By 12:45 pm, the shares were up 1.4% at Rs 357.4.
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Brokerages expect the Sierra launched earlier this week, to play a key role in Tata Motors PV’s return to the fast-growing SUV segment. Emkay Global said the company’s SUV market share could climb to 20–25%, from about 17% now. UBS, meanwhile, believes the Sierra, the upcoming Harrier EV, and improving demand after tax cuts will drive the company’s recovery in the category. Nomura and Investec also expect the model to support steady volume growth.
In a 25 November report, Nomura called the Sierra Tata’s “most feature-loaded SUV yet”. It expects strong upside for the PV business as production scales up and estimates FY26–28 volumes at 609,000 / 682,000 / 723,000 units. It also sees the Sierra’s monthly potential at around 10,000 units. The brokerage retained its ‘Neutral’ rating and Rs 395 target price.
Despite Wednesday’s gains, Tata Motors PV shares remain down 21.3% in 2025, sharply underperforming the Nifty Auto index, which has risen 19.9% so far this year.
Nifty Auto index climbs on policy boost hopes
The Nifty Auto index rose 1.03% to 27,659.55 in mid-session trade, with all components in the green. The sector rallied on media reports that the government may soon clear a Rs 7,300-crore incentive scheme for manufacturing rare-earth permanent magnets, a key input for electric vehicles and advanced auto components.
Among the top gainers:
Uno Minda surged 2.96% to Rs 1,323.3
Maruti Suzuki rose 1.72% to Rs 16,162
TVS Motor advanced 1.66% to Rs 3,505
Bosch gained 1.59% to Rs 36,340
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Bharat Forge and Samvardhana Motherson were also up over 1% earlier in the day.
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