Tata Motors Limited Fundamental Analysis (BSE: TATAMTRDVR.BO)
Tata Motors Limited Fundamental Analysis (BSE: TATAMTRDVR.BO)
Tata Motors Limited (BSE: TATAMTRDVR.BO) shows weak financial fundamentals with a PE ratio of 36.40, profit margin of 4.81%, and ROE of 36.44%. The company generates $1215.9B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 56.7/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze TATAMTRDVR.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakTATAMTRDVR.BO struggles to generate sufficient returns from assets.
Valuation Score
ModerateTATAMTRDVR.BO shows balanced valuation metrics.
Growth Score
ModerateTATAMTRDVR.BO shows steady but slowing expansion.
Financial Health Score
ModerateTATAMTRDVR.BO shows balanced financial health with some risks.
Profitability Score
ModerateTATAMTRDVR.BO maintains healthy but balanced margins.
Key Financial Metrics
Is TATAMTRDVR.BO Expensive or Cheap?
P/E Ratio
TATAMTRDVR.BO trades at 36.40 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, TATAMTRDVR.BO's PEG of 1.25 indicates fair valuation.
Price to Book
The market values Tata Motors Limited at 11.98 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 21.20 times EBITDA. This signals the market has high growth expectations.
How Well Does TATAMTRDVR.BO Make Money?
Net Profit Margin
For every $100 in sales, Tata Motors Limited keeps $4.81 as profit after all expenses.
Operating Margin
Core operations generate 9.32 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $36.44 in profit for every $100 of shareholder equity.
ROA
Tata Motors Limited generates $0.00 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Tata Motors Limited generates limited operating cash flow of $10.69B, signaling weaker underlying cash strength.
Free Cash Flow
Tata Motors Limited generates weak or negative free cash flow of $5.95B, restricting financial flexibility.
FCF Per Share
Each share generates $1.16 in free cash annually.
FCF Yield
TATAMTRDVR.BO converts 0.28% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
36.40
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.25
vs 25 benchmark
P/B Ratio
Price to book value ratio
11.98
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.75
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.36
vs 25 benchmark
ROA
Return on assets percentage
0.00
vs 25 benchmark
ROCE
Return on capital employed
0.00
vs 25 benchmark
How TATAMTRDVR.BO Stacks Against Its Sector Peers
| Metric | TATAMTRDVR.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 36.40 | 24.30 | Worse (Expensive) |
| ROE | 36.44% | 975.00% | Weak |
| Net Margin | 4.81% | -2427.00% (disorted) | Weak |
| Debt/Equity | 0.00 | 0.63 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 2.36 | Weak Liquidity |
| ROA | 0.00% | 347.00% | Weak |
TATAMTRDVR.BO outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Tata Motors Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary
EPS CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary
FCF CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary