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Tata Motors Ltd. Stock Valuation

NSE:TATAMOTORS | AUTOMOBILES - 4 WHEELERS

Share Price vs Book Value

10-year trend comparing market price with book value per share

FY 2016 - FY 2025

Tata Motors Ltd. Share Price vs Book Value — What It Means

Book Value Per Share (BVPS) represents the net asset value per share from the balance sheet — what shareholders would theoretically receive per share on liquidation. When Tata Motors Ltd.'s share price trades above book value (P/B > 1), the market is pricing in growth, earnings power, or intangible assets beyond what the balance sheet shows. A P/B below 1 may signal undervaluation or fundamental concerns. Compare the gap between share price and BVPS over time to assess whether the stock is trading at a premium or discount.

Market Metrics

Key market metrics for Tata Motors Ltd. (TATAMOTORS) listed on NSE. For automobiles - 4 wheelers sector companies, these metrics provide a snapshot of Tata Motors Ltd.'s market valuation and enterprise value, essential for comparing against intrinsic value estimates.

Share Price
₹405.85
Oct 23, 2025
Market Cap
₹1,434.27B
3.53B shares
Enterprise Value
₹1,650.92B
Market Cap + Net Debt

Stock Valuation Models for Tata Motors Ltd. (TATAMOTORS)

We analyze Tata Motors Ltd. using multiple valuation models appropriate for AUTOMOBILES - 4 WHEELERS companies. For AUTOMOBILES - 4 WHEELERS companies, we use P/E Ratio Analysis, Discounted Cash Flow (DCF), and EPS Growth Valuation to determine fair value estimates for Tata Motors Ltd. stock.

Current PE Ratio & Historical PE Ratio - Tata Motors Ltd.

10-year Price-to-Earnings ratio trend

Apr 2016 - Oct 2025

P/E Ratio Analysis

Potentially Undervalued

Current P/E Ratio

5.15

Oct 23, 2025

5-Year Median P/E

11.91

5-Year Historical Median

Difference

-6.76

56.8%

Analysis: Tata Motors Ltd.'s current P/E ratio is 56.8% below its 5-year median, suggesting the stock may be undervalued relative to its historical earnings performance.

What Does Tata Motors Ltd.'s PE Ratio Tell Investors?

The P/E ratio measures how much investors pay for each rupee of earnings (Share Price / EPS). A higher PE suggests the market expects strong future growth, while a lower PE may indicate undervaluation or slower growth prospects. Compare Tata Motors Ltd.'s current PE against its historical median and AUTOMOBILES - 4 WHEELERS peers to gauge whether the stock is trading at a premium or discount relative to its earnings.

Data from audited consolidated filings. For educational purposes only — not investment advice. Last update: FY 2025