What did LIC say?
“As on October 31, 2022, the shareholding in the company has gone above 5 per cent. Shares were acquired at an average cost of Rs 455.69 during the period December 3, 2021 to October 31, 2022,” the Life Insurance Board said. Meanwhile, regulatory rules require listed companies to inform the stock exchange when their stake in the company exceeds 5 percent.
Jhunjhunwala’s stake is more than 1%
Apart from LIC, late veteran investor Rakesh Jhunjhunwala has over 1 percent stake in Tata Motors. He owns 3,67,50,000 equity shares in Tata Group’s auto company. Rakesh Jhunjhunwala, known as the ‘Big Bull’ of the Indian stock market, passed away in August this year.
Shares of LIC closed at Rs 605.30 on BSE on Tuesday, up 0.22 per cent from the previous close. Tata Motors shares rose 2.16 percent to close at Rs 421.50. According to IIFL Securities, the shares of the company may go up to Rs 435 in the next one week. Tata Motors will announce its second quarter results for the financial year 2022-23 on November 9. The auto company’s stock has lost 13.70% in the past one year, while it has lost more than 15% so far this year, but has gained around 6% in a month.
Buy or sell, what to do?
Global brokerage Jefferies has advised Tata Motors on the buy side. The brokerage has set a target price of Rs 540 for the stock, which means it can give a return of 28% from the current price.