Nirmal Bang, one of the leading equity research-cum-broking house, is of the view that investors can buy Tata Motors Ltd with a target price of Rs 295 in 1-5 trading sessions.

The company is presently trading around Rs 268-272 level.

According to experts at Nirmal Bang, the stock may face some resistance around Rs 280 levels, but after that it can even have more upward movement.

The scrip has very strong support at Rs 262.

Shares of the company, on Thursday (May 07), closed at Rs 272.10 on the Bombay Stock Exchange (BSE). The share price has seen a 52-week high of Rs 743.99 and a low of Rs 122 on BSE. Current EPS and P/E of the stock stood at 18.40 & 14.34 respectively.

Tata Motors has decided to allot land to its 55-odd vendors at Sanand in Gujarat, the company has asked its vendors to set up plants by October with the intention that it can launch the Nano efficiently from the Sanand facility by January next year.

The Modi administration has allocated some 1,100 acres at Sanand to Tata Motors right next to the National Highway 8, which links Kandla, Mundra and Dholera ports.

The majority of vendors are now making discussions with banking and financial institutions for funds needed for the establishment of their units.

It is discovered that Tata Motors needs to generate volumes at the earliest as it can now make only 50,000 Nanos at its Pantnagar plant.

Overall investment in the Sanand vendor park is estimated at Rs 20 billion that will generate employment for approximately 4,000 people.

Tata Motors, on May 05, announced that it has received a total of 203,000 bookings for the Nano, which was much lower than market anticipations.

Dealers as well as sources supervising the bookings had anticipated that the numbers could hit more than 800,000.

The company has got nearly Rs 25 billion through fully-paid bookings for Nano.