You've probably noticed it. If you track the Tata Motors India stock price, the numbers on your screen look a lot different than they did a year ago. Honestly, if you just glance at the ticker without knowing the backstory, you might think the company hit a brick wall. But that’s not really the case.
Basically, we aren't looking at one "Tata Motors" anymore. On October 1, 2025, the company pulled off a massive demerger. It split into two separate entities. One handles the heavy stuff—the trucks and buses (Commercial Vehicles). The other takes the cars, the EVs, and the crown jewel, Jaguar Land Rover (Passenger Vehicles).
The Split Nobody Saw Coming (But Everyone Should Have)
When the split happened, shareholders got a 1:1 deal. If you held one share of the old Tata Motors, you suddenly owned one share of Tata Motors Passenger Vehicles (TMPV) and one share of the newly listed Tata Motors Commercial Vehicles (TMCV).
Because of this, the price you see for the passenger business—which kept the old "TATAMOTORS" ticker for a bit before shifting—is technically "adjusted." As of mid-January 2026, the passenger vehicle stock is hovering around ₹350 to ₹354. If you remember it being ₹1,000+, don't panic. You haven't lost 60% of your money. Half of that value just moved into the commercial vehicle side, which is currently trading near ₹438.
Why the Passenger Side is Feeling the Heat
It’s been a rough ride lately for the car division. Kinda stressful, actually. In late 2025, Jaguar Land Rover (JLR)—which accounts for a massive chunk of the revenue—got hit by a major cyber incident. It wasn't just a minor glitch. They had to stop production for weeks.
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The Q3 FY26 numbers reflect that pain. Wholesale volumes for JLR were down over 40% compared to the previous year. That’s a huge hole in the pocket. Plus, the US slapped a 25% tariff on imported parts and vehicles back in April 2025. When you’re trying to sell luxury SUVs in North America, a 25% tax hike is a literal nightmare.
- JLR Revenue (Q2 FY26): Down 24% to £4.9 billion.
- Net Profit: The passenger business actually posted a loss of roughly ₹17.50 per share in the last reported quarter.
- The "Jaguar" Factor: They are killing off old Jaguar models to make way for a total brand reboot. That means lower sales now for the hope of higher margins later.
The Electric Vehicle Monopoly? Not Anymore
For a long time, Tata was the only game in town for EVs in India. The Nexon.ev was the undisputed king. It recently crossed the 100,000 sales mark—a first for any Indian electric car. But the moat is shrinking.
Mahindra has finally shown up to the party with their XEV 9e and BE 6 SUVs. Even JSW MG Motor is snatching up market share with the Windsor EV. Tata’s EV market share, which used to be a staggering 70-80%, has dipped toward the 40-50% range.
But here is the thing: they aren't backing down. Shailesh Chandra, the MD of the passenger unit, recently confirmed that the Sierra.ev and the premium Avinya range are still on track for a 2026 launch. They are betting ₹18,000 crore on the idea that they can own the "luxury EV" space in India before Tesla or anyone else gets a real foothold.
The Commercial Side is the Quiet Winner
While everyone talks about EVs and Jaguars, the commercial vehicle side (TMCV) has been surprisingly steady. India’s infrastructure push is still going strong. Trucks are moving.
ICICI Direct recently initiated a "Buy" on the commercial entity with a target of ₹500. They expect an 18% revenue growth over the next two years. Why? Because while people might delay buying a new car if the economy feels "meh," logistics companies can't stop buying trucks if the roads are being built.
What the Analysts are Actually Saying
If you look at the consensus, it's a bit of a mixed bag.
- The Bulls: Look at the massive ₹1.15 lakh unit sales in Q3 and say the recovery is coming. They see the JLR cyber issues as a one-time "black swan" event.
- The Bears: Point to the fact that Tata Motors is currently underperforming the Nifty Auto index. They worry about the high valuation of the passenger business relative to its current losses.
Honestly, the tata motors india stock price is currently in a "wait and see" zone. The market is waiting to see if JLR can get back to an 8% EBIT margin and if the Indian EV sales will pick up speed again once the Sierra hits the showrooms.
Actionable Strategy for 2026
If you're holding or looking to buy, you've gotta stop treating this as one company.
- Check your Portfolio: Make sure you actually received your demerger shares. Some smaller broking apps had glitches during the 1:1 split.
- Watch the JLR Production: Keep an eye on the Gaydon and Solihull production updates. If JLR doesn't hit its 0-2% EBIT guidance for the full year, the passenger stock might test the ₹330 support level.
- The February Deadline: Both entities have board meetings coming up (Jan 29 for CV and Feb 5 for PV). These will be the first "clean" sets of post-demerger data. That is when the real volatility will hit.
Don't just chase the "Tata" name. The passenger business is a high-risk, high-reward tech and luxury play now. The commercial side is your steady, industrial dividend-style bet. Diversify between them based on how much stomach you have for Jaguar's global drama.
Next, you might want to look at the specific delivery timelines for the Avinya models, as those will be the primary catalyst for the next leg of the passenger stock's growth.