InvestorQ : Why did the stock of Tata Motors fall on 19 May?
Arusha Ray made post

Why did the stock of Tata Motors fall on 19 May?

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1 month ago
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Tata Motors stock price fell by 6% on 19 May after the huge Rs.14,994 crore exceptional write-off made traders quite jittery. The write-off was towards asset impairment of JLR assets and part of their Re-Imagine program. Operationally numbers were quite attractive. It reported strong operating performance in JLR subsidiary and the domestic passenger car and CV business of Tata Motors.

Despite the net loss in Mar-21 quarter narrowing, markets were concerned that the write-off actually came as a bolt from the blue and they fear more such write-offs in future. Tata Motors could gain from the macro recovery, volume-margin boost as well as higher free cash flows.

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