Tata shares are likely to be in the spotlight during Thursday’s trading session i.e 10th October 2024 after the passing of Ratan Tata, Chairman emeritus of Tata Sons and a prominent Industrialist who significantly contributed to the growth of one of India’s largest and most influential conglomerates.
The Veteran industrialist Sir Ratan Naval Tata died on Wednesday 9th October 2024 night at the age of 86 at South Bombay’s Breach Candy Hospital. In a media statement, N Chandrasekaran, chairman of Tata Sons, extended his condolences to Ratan Tata, emphasizing that his contributions have profoundly impacted the very foundation of India. “It is with a profound sense of loss that we bid farewell to Mr. Ratan Naval Tata, a truly uncommon leader whose immeasurable contributions have shaped not only the Tata Group but also the very fabric of our nation,” Chandrasekaran said. Source – https://www.livemint.com/market/stock-market-news/ratan-tata-passes-away-tata-group-stocks-to-remain-in-focus-on-october-11-11728502381996.html
Performance of TATA Shares
Tata Group shares have witnessed notable growth in 2024, with a collective market capitalization rising by 15.4 percent since June, fueled by strong results from major companies such as Tata Consultancy Services and Tata Motors.
Leading analysts highlight that Tata Shares provide diversification across multiple sectors, reliable dividend payouts, and opportunities for capital appreciation, making them a strong option for long-term wealth creation.
Following the demise of Ratan Tata, investors are expected to keep a close eye on the Tata Group’s succession plan, as it will play a crucial role in determining the company’s future performance in the Indian stock market.
Highlights of TATA Shares Performance after Ratan Tata’s Death
- Tata Motors drops by almost 2 percent.
- Tata Chemicals rose up to 4 percent.
- Indian Hotels Company increased by 4 percent.
Among the top 15 Tata group Companies listed by market capitalization, 13 stocks were in positive territory, while the other two, Tata Motors (down 1.6 percent at Rs 924.35) and Trent (down 0.10 percent at Rs 8,211.45), were trading lower on the BSE (Bombay Stock Exchange).
Tata Chemicals, Indian Hotels Company, Tejas Networks, Voltas, Tata Elxsi, and Tata Consultancy Services (TCS) saw increases between 1 percent and 4 percent. In contrast, the BSE Sensex rose by 0.27 percent to reach 81,690.
History of TATA Group
- Foundation: The Tata Group was established in 1868 by Jamsetji Tata as a trading enterprise, driven by the vision of advancing industrialization in India.
- Pioneering Projects: Jamsetji Tata set the foundation for several vital industries in India, such as Steel, Hydroelectric power, and Hospitality. His aspiration to create a steel plant was fulfilled posthumously with the founding of Tata Steel in 1907.
- Growth and Expansion: Over time, the Tata Group expanded into various sectors, including manufacturing, services, and consumer goods, becoming a symbol of India’s industrial progress and modernization.
Presence of TATA Group in Various Industries
1. Steel and Mining Industries
- Tata Steel is among the world’s leading steel manufacturers, recognized for its innovative approaches and commitment to sustainability efforts.
2. Automobile Industry
- Tata Motors is a key participant in the automotive sector, manufacturing a diverse array of vehicles, including cars and commercial trucks. The company is also recognized for its electric vehicle offerings.
3. Information Technology
- Tata Consultancy Services (TCS) is a prominent global IT services and consulting firm, known for its innovative solutions and comprehensive range of services.
4. Consumer Good
- Tata Consumer Products includes brands such as Tata Tea and Tata Salt, specializing in food and beverage items.
5. Hospitality
- Indian Hotels Company manages the Taj Hotels chain, renowned for its luxury accommodations and hospitality services worldwide.
6. Chemicals
- Tata Chemicals is involved in manufacturing a range of chemicals, such as soda ash and fertilizers.
7. Power and Energy
- Tata Power is one of India’s largest integrated power companies, emphasizing renewable energy and sustainable practices.
8. Aerospace and Defense
- The group has invested heavily in the aerospace and defense industries, building expertise in aircraft manufacturing and technology.
TCS Q2 Financial Year 25 Earnings
Tata Consultancy Services (TCS) is set to release its earnings for the quarter ending September 30, 2024. The company has informed the market about this development through an exchange filing.
Additionally, a meeting of the Board of Directors of Tata Communications Limited is scheduled for Thursday, October 17, 2024, to consider, approve, and review the unaudited standalone and consolidated financial results, along with the limited review reports from statutory auditors for the quarter and half-year ended September 30, 2024, as stated in the filing.
On October 9, TCS shares closed 0.13% higher at ₹4,258 per share on the National Stock Exchange (NSE), just a day before the Q2 FY25 earnings announcement.
Latest Listing of TATA Group
Tata Technologies, a company under the Tata Group and one of the most highly anticipated IPOs of 2023 made a remarkable entrance on the Indian stock market.
For context, Tata Technologies’ IPO, which was launched in November 2023, marked the Tata Group’s first IPO in more than 19 years. It also recorded the third-highest closing gains on its listing day in the history of the Indian capital market.
The company debuted on both stock exchanges on November 30, opening at ₹1,200 and closing at ₹1,328 on the NSE, reflecting an impressive 140% premium over the IPO price. The IPO included an offer-for-sale (OFS) of 6.08 crore shares from promoters Tata Motors, as well as investors Alpha TC Holdings and Tata Capital Growth Fund 1. It garnered significant interest from retail and institutional investors, receiving a total of over 73.38 lakh applications. The public offering was oversubscribed by 69.43 times.
Final Thoughts
The passing of Ratan Tata signifies the conclusion of a pivotal era for both the Tata Group and the broader Indian business landscape. Although the initial response may lead to some market volatility, the company’s robust foundation and clear strategic direction indicate a bright future ahead. Investors should stay alert and draw upon Ratan Tata’s enduring legacy as a guiding principle while adapting to the changing market dynamics. This approach will help them navigate the challenges and opportunities that lie ahead, ensuring the continued success of the Tata Group.
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