Tata Motors share price declined by 2 percent on Thursday amid selling pressure in automobile stocks. Tata Motors opened the session at Rs 670 and touched an intraday high at Rs 671.85 before dropping to lows at Rs 649.60. The stock closed near day's low at Rs 654.70. Over last one month, Tata Motors has declined 4.5 percent but the stock also touched 52-week low at Rs 606, a level from which it has bounced back. TopNews Team has reviewed technical levels for Tata Motors. With a 52-week high of Rs 1,179.00 and a low of Rs 606.30, the stock has witnessed a considerable price correction, presenting both risks and opportunities for investors.

Tata Motors: Stock Performance Overview

Tata Motors' stock performance has been a rollercoaster ride over the past year, fluctuating between Rs 1,179.00 (52-week high) and Rs 606.30 (52-week low). The company’s market capitalization stands at Rs 2.41 lakh crore, positioning it as one of the most valuable auto manufacturers in India.

Current Market Price (CMP): Rs 670.65
Price-to-Earnings (P/E) Ratio: 5.74
Dividend Yield: 0.46%
The P/E ratio of 5.74 suggests that Tata Motors is trading at a relatively lower valuation compared to industry peers, making it attractive for value investors.

Recent Analyst Recommendations

Analysts have expressed mixed views on Tata Motors, citing both long-term growth potential and near-term market volatility.

Kotak Securities: Recommends a BUY rating with a target price of Rs 750, citing strong passenger vehicle sales and growing electric vehicle (EV) demand.
ICICI Securities: Maintains a NEUTRAL stance, noting global macroeconomic headwinds but strong domestic performance.
While short-term uncertainties remain, Tata Motors' expanding EV lineup and cost optimization strategies provide a solid foundation for long-term growth.

Technical Analysis: Candlestick Patterns

On the daily charts, Tata Motors has formed a Hammer candlestick pattern, suggesting potential bullish reversal from current levels.

Support Levels: Rs 650, Rs 620
Resistance Levels: Rs 700, Rs 750
The stock’s recent price action near support zones indicates strong buying interest, making it a potential candidate for an upward breakout.

Fibonacci Levels for Tata Motors

Using Fibonacci retracement levels, key support and resistance zones are identified:

These levels suggest possible reversal points where traders may look for entry and exit opportunities.

Support and Resistance Analysis

A deeper look into support and resistance levels reveals the following:

Immediate Support: Rs 650
Strong Support Zone: Rs 620
Immediate Resistance: Rs 700
Key Resistance Level: Rs 750
A breakout above Rs 700 could push the stock toward Rs 750, while failure to hold Rs 650 could lead to further downside toward Rs 620.

Investment Strategy and Key Takeaways

Given its recent correction, technical setup, and competitive positioning, Tata Motors presents a moderate-risk, high-reward opportunity for investors.

Short-Term View: Bullish above Rs 700, with target price of Rs 750
Long-Term View: Strong fundamentals, ideal for long-term investors aiming for Rs 900+
However, investors should be mindful of global economic conditions, which could impact auto demand and profitability.