ACCE price target published on 22 Oct 2026, 16:00 CEST.
Price used: ₹265 at the close on 23 Oct 2026, 12:00 CEST.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
ACCE score
43
out of 100
1-year return
-34.8%
Dividend yield
1.11%
Tata Motors Passenger Vehicles Limited in four questions
Plain answers, details below
Free accounts get 5 full stock pages a month, including the four answers.
Overview
ACCE thesis
Tata Motors Passenger Vehicles makes the Nexon, Punch, Harrier and Safari, along with the Tiago and Tigor in India's entry and compact segments, and its EV line (Nexon.ev, Punch.ev, Curvv) is the largest electric passenger vehicle franchise in the country. The moat is distribution and scale: a nationwide dealer and service footprint and a cost base built around a domestic market where it competes with Maruti Suzuki, Mahindra and Hyundai rather than against imports. Revenue fell 8.2% on the latest reported period, and operating margin of 2.7% against a 46.5% gross margin shows how much of the cost base sits in marketing, warranty and fixed overhead, so earnings are highly sensitive to volume and mix. The stock trades at a forward P/E of 5.7, which is cheap enough to warrant a look at whether the EV ramp and a recovery in domestic SUV demand can lift operating leverage. The thin margin is the main reason to be cautious, and the case rests on whether volumes return before the cost base has to be cut.
⚠ Investor warnings · 3 flagsAI-assisted·How I use AI
high
Earnings collapse year on year
Earnings are down 80.3% YoY while revenue fell 8.2%. The Q2 2026 EPS missed by 56.7%, so the earnings base is shrinking, not just slowing.
moderate
Thin operating margin
Operating margin is 2.7% against a 46.5% gross margin, so overheads absorb nearly all gross profit. Net margin of 22.8% looks inflated relative to operations and may reflect non-operating items.
moderate
Revenue declining year on year
Revenue is down 8.2% YoY even though the five-year CAGR is 72.2%. The recent trend has turned negative after a long expansion.
AI research notes
AI-assisted·How I use AIWritten Oct 22, 2026 · figures from 2026-10-22 · prices to Oct 23, 2026
Why it could do well
Analysts' mean price target of INR 353.64 sits 31.0% above the current share price of ₹264.60.
The stock trades at a forward P/E of 5.7x, which is low by most standards for a listed carmaker.
Net margin of 22.8% shows the business still keeps a healthy share of each rupee of sales as profit.
Why it could disappoint
Revenue fell 8.2% year over year in the latest filings, a clear reversal after strong multi-year growth.
Latest quarterly earnings per share came in at 2.15 against 4.96 expected, a miss of 56.7%.
Debt to equity of 0.70 means borrowings are meaningful relative to shareholder funds, limiting room to absorb a downturn.
Each chip shows the exact figure and where it comes from. A claim without a source is not published.
Walk me through this stock
Plain-English pros, cons, and what to watch. Pro feature.
PRO
Ask ACCE
Valuation
INVESTOR
Where TMPV.NS's valuation models land
Price
₹264.60
Create a free account: 5 full stock pages a month, no card.
See what each model says, the assumptions behind it, the bad, normal and good cases, and why the fair value changed.
Quality
INVESTOR
Quality and conviction INVESTOR FEATURE
The full quality picture: a reason under every score, how the scores moved, and the conviction breakdown.
+A plain reason under every score
+Conviction breakdown and growth / value / quality / momentum scores
+Score history: how each score moved over time
Analysts
Wall Street consensus
No analyst coverage yet.
Analyst intelligence INVESTOR FEATURE
The full analyst picture: the price-target distribution against the current price, forward consensus estimates, and how ACCE's own models compare.
+Price-target low / average / high vs the current price, with implied upside
+Forward revenue and EPS consensus by fiscal year
+ACCE fair-value models lined up against the Street
Smart Money
PRO
In one line
Trades are only made public after a delay. We show the delay so you know how old the news is.