Tata Motors Stock Plunges 36% in a Year: Can the Upcoming Rs 500 Crore Fundraise Spark a Turnaround?
Tata Motors’ share price continued its downward trend, falling 3.6% on April 30 to an intra-day low of ₹642.65 on the NSE. The stock has now lost over 3% in just the last five sessions, making it one of the top five losers on the Nifty 50. Year-to-date, Tata Motors is down 14%, and over the past year, it has shed a steep 36% of its value.
One of the major reasons for the stock’s fall is the recent global trade turbulence. Jaguar Land Rover (JLR), Tata Motors’ key subsidiary, has temporarily paused its US shipments amid fears surrounding new auto tariffs imposed by the Trump administration. Although President Trump signed relief measures to cushion the blow, the temporary halt has weighed on investor sentiment.
🔍 Fundraising Plan in Spotlight
Tata Motors has announced that its board will meet on May 13, 2025, to consider raising up to ₹500 crore via private placement of securities. The announcement comes ahead of the company’s Q4 FY25 results and an upcoming investor call scheduled for the same day at 6:30 p.m. IST, where senior management will discuss operational performance and outlook.
📉 Q4 Sales Dip Ahead of Earnings
While the official Q4 FY25 financial results are yet to be announced, Tata Motors has already reported a 5% YoY decline in domestic sales, falling to 2.46 lakh units from 2.60 lakh units in Q4 FY24. Passenger vehicle sales dropped 9% YoY to 1.47 lakh units, while commercial vehicle sales declined 3% to 1.05 lakh units.
📊 Q3 FY25 Snapshot
In the previous quarter (Q3 FY25), Tata Motors posted a net profit of ₹5,451 crore, down 22% YoY, despite a 3% rise in revenue to ₹1.13 lakh crore. The company’s consolidated EBITDA stood at ₹15,500 crore. Notably, JLR continued to perform steadily, generating £7.5 billion in revenue—a 1.5% YoY increase.
With the stock under pressure and macro uncertainties looming, investors are closely watching the company’s next moves—including the ₹500 crore fundraising strategy and upcoming earnings—for signs of revival.
