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Tata Motors Passenger Vehicles Limited (TMPV) Fair Value & Analysis

Consumer Cyclical · IN · Market cap ₹1.2T

TM Tata Motors Passenger Vehicles Limited TMPV · NSE
Price₹345.35
Fair Value₹237.85
Upside-31.1%
Quality37/100
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Expensive Growth
Highly profitable · 24.3% net margin
Low debt · negative free cash flow
0.90% dividend yield
Trails peers (4/11)
Narrow moat 44/100
Evidence: Medium Range ₹131.96 – ₹310.19 Share as image

Fair value as of: Jul 18, 2026

From 12 valuation models · updated 20 days ago

Fair value updated Jul 18, 2026, revised from ₹3,686 to ₹237.85 (−93.5%) since Jun 24, 2026. Share price +0.9% over the past month.

Below-average quality, and screening another 31% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (₹310.19). The favourable scenario is already priced in.
  • Weak quality (37/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • A fairly wide model range (₹131.96 to ₹310.19) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

₹1,142 ₹269.81 Fair Value ₹237.85 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 18, 2026.

How to read this chart

60‑month range ₹269.81 – ₹1,142 · fair‑value band ₹131.96 – ₹310.19 · the ₹345.35 price screens above the ₹237.85 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 18, 2026.

Full chart & analysis →

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Analysis

Tata Motors Passenger Vehicles Limited (TMPV) currently trades at ₹345.35, while our model-based Fair Value estimate is ₹237.85, implying the stock looks roughly 31.1% overvalued today. We read business quality at 37/100 (below-average quality), in the Consumer Cyclical sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).

Over the trailing twelve months, Tata Motors Passenger Vehicles Limited generated revenue of ₹3.4T at a net margin of 24.6%. Revenue declined 11.8% year over year. It earns a return on equity of -1.1%. Net debt stands at ₹562B. Fundamentals as of Jul 18, 2026

Our scenario range runs from ₹131.96 (bear case) to ₹310.19 (bull case); at ₹345.35, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 54% below its 52-week high and 17% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at 25% fair-value upside, at -31%, TMPV screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Residual Income ₹163.66 ₹379.61 ₹19,369 76
Gordon GGM ₹3.71 ₹8.11 ₹13.64 70
Growth-Adj P/E ₹166.50 ₹237.85 ₹309.21 68
All 12 models by family
DCF Models
Owner Earnings ₹146.27 ₹257.63 ₹449.87 31
Earnings-Based
Graham-Dodd ₹98.18 ₹391.88 ₹532.63 54
Lynch FV ₹97.32 ₹139.03 ₹180.75 50
PEG = 1.0 ₹97.32 ₹139.03 ₹180.75 46
Dividend Discount
Gordon GGM ₹3.71 ₹8.11 ₹13.64 70
DDM Multi-Stage ₹3.71 ₹6.64 ₹8.45 61
Multiples
P/E Multiple ₹216.56 ₹288.75 ₹360.94 63
P/S Multiple ₹109.54 ₹146.05 ₹182.56 58
P/B Multiple ₹44.19 ₹58.92 ₹73.64 55
Asset-Based
NCAV (Graham) ₹9.82 ₹13.16 ₹19.64 50
Economic Profit
Residual Income ₹163.66 ₹379.61 ₹19,369 76
Growth Earnings
Growth-Adj P/E ₹166.50 ₹237.85 ₹309.21 68

Widest divergence: Economic Profit (₹379.61) versus Dividend Discount (₹6.64). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) ₹3.4T
Revenue growth (YoY) -11.8%
Net margin 24.6%
Return on equity -1.1%
Free cash flow −₹232B FY2026
Operating margin 8.4%
More key figures
EPS (TTM) ₹-4.42
Dividend yield 0.9%
EPS growth (YoY) -32.9%
Net debt ₹562B FY2026

Figures from reported company fundamentals · as of Jul 18, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 37/100

Of which business quality 45 · Market factors (momentum, volatility) 24

Profitability 84
Margins and returns on capital today
Quality Growth 22
Are margins and returns improving?
Cashflow 6
Earnings quality: real cash, not paper profit
Fin. Strength 31
Balance sheet, leverage, solvency risk
Investment 43
Disciplined investing over empire-building
Low Volatility 38
Calm price path (market factor)
Momentum 26
Price trend over the last 3–12 months (market factor)
52W Momentum 6
Distance to the 52-week high (market factor)
Net Issuance 88
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Tata Motors Passenger Vehicles Limited designs, develops, manufactures, and sells various automotive vehicles. The company offers passenger cars; sports utility vehicles; and electric vehicles, as well as related spare parts and accessories.

Full company description

Tata Motors Passenger Vehicles Limited designs, develops, manufactures, and sells various automotive vehicles. The company offers passenger cars; sports utility vehicles; and electric vehicles, as well as related spare parts and accessories. It also manufactures engines for industrial applications; and factory automation equipment, as well as provides information technology, insurance broking, and vehicle financing services. It operates in India, China, the United States, the United Kingdom, rest of Europe, and internationally. The company was formerly known as Tata Motors Limited and changed its name to Tata Motors Passenger Vehicles Limited in October 2025. Tata Motors Passenger Vehicles Limited was incorporated in 1945 and is headquartered in Mumbai, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Tata Motors Passenger Vehicles Limited reported revenue of ₹3.3T in FY2026 versus ₹2.8T in FY2022, a compound +4.6%/yr. Reported net income was ₹824B in FY2026.

Growth Quality 38/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2026)
₹3.3T
Latest YoY
−24.2%
Avg. growth/yr (3Y)
−1.2%
Avg. growth/yr (5Y)
+5.9%
Avg. growth/yr (24Y)
+17.0%
Revenue +4.6%/yr
FY22 ₹2.8T
FY23 ₹3.5T
FY24 ₹4.3T
FY25 ₹4.4T
FY26 ₹3.3T
Net income
FY22 −₹114B
FY23 ₹24.1B
FY24 ₹314B
FY25 ₹278B
FY26 ₹824B

TMPV screens 31% overvalued. Compare with Toyota Motor Corporation →

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Cite: Fair Value Calculator (2026). "Tata Motors Passenger Vehicles Limited Fair Value". https://www.fairvalue-calculator.com/stock/TMPV

Peer Group

Auto Manufacturers · 119 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 37 · Below median
Fair Value upside −31% · Below median
Return on assets 1% · Below median
Net margin (TTM) 24% · Top 25%
Operating margin (TTM) 6% · Above median
Revenue growth -12% · Bottom 25%
Dividend yield (TTM) 0.9% · Bottom 25%
Debt / equity 0.40× · Higher than median

Valuation Multiples vs Auto Manufacturers median · lower = cheaper

EV/EBITDA 1.7× · Cheaper than 75% of peers
PEG 0.27× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 26
FUTURE 0 · sector 32
PAST 0 · sector 17
HEALTH 80 · sector 94
DIVIDEND 18 · sector 46

VALUE 0: the price sits above our fair-value range.

Insider activity: 45/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Auto Manufacturers stocks, each showing price versus our Fair Value estimate (as of Jul 18, 2026).

Stock Price Fair Value vs Fair Value
Toyota Motor Corporation TM $179.76 $224.63 +25%
BYD Company 81211 HK$80.55 HK$50.85 -37%
Hyundai Motor Company 005380 425,000 KRW 616,918 KRW +45%
General Motors Company GM $77.72 $56.93 -27%
Bayerische Motoren Werke Aktiengesellschaft BMWM5N 1,909 MXN 2,944 MXN +54%
Ferrari N.V RACE $376.64 $228.05 -39%
Ford Motor Company F C$11.86 C$4.00 -66%
Mercedes-Benz Group BENZ C$20.44 C$35.15 +72%
Volkswagen AG VOW 2,149 CZK 7,191 CZK +235%
Maruti Suzuki India Limited MARUTI ₹13,803 ₹8,236 -40%

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Frequently asked questions

Is Tata Motors Passenger Vehicles Limited (TMPV) overvalued or undervalued?
As of Jul 18, 2026, our model estimates a fair value of ₹237.85 versus a price of ₹345.35, about −31% (overvalued).
What is the fair value of TMPV?
Our model-based fair value for Tata Motors Passenger Vehicles Limited is ₹237.85 (as of Jul 18, 2026), built from audited fundamentals. The current price is ₹345.35.
What is the quality score of TMPV?
Tata Motors Passenger Vehicles Limited has a Quality Score of 37/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Tata Motors Passenger Vehicles Limited (TMPV)?
Tata Motors Passenger Vehicles Limited reported trailing-twelve-month revenue of about ₹3.4T (latest available figure, as of Jul 18, 2026).
What is the net profit margin of TMPV?
The net profit margin of Tata Motors Passenger Vehicles Limited is about 24.6%, meaning it keeps roughly 24.6% of revenue as net income. Based on the latest reported figures.
Does Tata Motors Passenger Vehicles Limited pay a dividend?
Tata Motors Passenger Vehicles Limited currently shows a dividend yield of about 0.90% relative to its recent price (as of Jul 18, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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