You have come to the right place to know why Tata Technologies shares are trading in the green after announcing a 15% rise in its net profit in its third-quarter results for the period ending December 2023. It is the second happy news for investors within a few months after its spectacular listing on the exchanges at over 140% premium in November 2023. Also, with news of another Tata company, TEPML, to come out with an IPO in the next 12 to 18 months, Tata’s unlisted shares, including Tata Technologies, are on a role in the exchanges.
Continue reading this blog until the end to learn about Tata Technologies, its mammoth premium listing in the exchanges, its excellent 2023 third-quarter results, why its unlisted stocks are trading in the green, and whether it is time to invest in this hidden Tata gem to reap huge profits.
What are Tata Technologies?
In 1989, Tata Motors started Tata Technologies as its automotive design unit, which became an individual company in 1994. Tata Technologies is a designing company for EVs or electric vehicles and a product engineering company that provides many services like IT services, product lifecycle & development, and others. For the past three and half decades, it has acquired many companies worldwide to become the leader in automotive designing and product engineering services. Over 12,000 innovative engineers and employees work in Tata Technologies across many offices and 18 delivery centres in India, North America, Asia Pacific, and Europe. For many years, it was an unlisted share that offered great investing opportunities to its investors until it came with an IPO in November 2023.
How did investors benefit from Tata Technologies IPO listing in exchanges?
Tata Group, a global conglomerate for over 156 years, has many companies like TCS, Tata Motors, and Tata Steel. Though 28 companies of the Tata Group were listed in the exchanges and many in the Nifty indexes, Tata Technologies came out with an IPO only after over three decades. For the Tata Group, after the TCS IPO in 2004, nearly two decades ago, Tata Technologies was the 29th company to list in the exchanges. Investors in India and abroad treat Tata shares like gold and keep buying them and keeping them as long-term investments. Hence, there was a big opening for the Tata Technologies IPO in November 2023.
Tata Technologies’ IPO price was around Rs. 500, but on November 30, 2023, it got listed on the BSE and NSE at around Rs. 1,400. It gave a return of over 140% for the lucky investors who got shares from the IPO to reap huge profits.
What are Tata Technologies’ surprise 2023 Q3 results?
On January 25, 2024, Tata Technologies announced its maiden results after coming out with a spectacular IPO. The design and technology services company brought sweet news to investors who had already made huge profits by buying them from the IPO. The third quarter results ending for December 2023 show a rise of 14.7% in net profit QoQ or quarter to quarter to be Rs. 170 crores. In terms of US dollars, its total operating profit jumped 13.4 % to 154.8 million dollars. Experts confirm that the strong demand for EV programs from Tata Motors, JLR, etc., is raising Tata Technologies’ profits. Also, it won 5 huge deals worth over 50 million dollars, along with another 25 million dollars order in the pipeline.
Why is the Tata Technologies share trading in the green in the exchanges?
After a spectacular listing on the exchanges at Rs. 1,400 against the issue price of only Rs. 5,00, Tata Technologies saw a fall to hit an all-time low of Rs. 1,042 in December. But with the excellent results announced by the company at the end of January, along with a colossal order book and data, the Tata Technologies share is trading again in the green in the exchanges. Apart from the outstanding QoQ results, Tata Technologies has many reasons to trade in the green as it was part of the Tata Group that did not list a share on the exchanges after TCS for the past 20 years. Hence, people oversubscribed to Tata Technologies’ IPO, which gave its investors a 140% return on listing because of its vast valuation. However, with such a massive gap between the issue price and the listing price, a few investors booked huge profits. But others know about the value of the Tata Group shares and the high potential of Tata Technologies to buy them on dips to make huge profits later. And the recent third-quarter results fuelled the fire for Tata Technologies to trade in the green in the BSE and NSE exchanges.
Is it the right time to invest in Tata Technologies?
Any time is a good time to invest in Tata Group shares, as statistics confirm that investors have made huge profits for decades by buying them. Especially Tata Technologies started as a subsidiary of Tata Motors and became independent of spreading its autonomous vehicle designing, product management, and other services globally for around 35 years. The people trust the Tata Group because of its long history of providing high-quality products and services at competitive costs and investing in its shares for a long time. And with Tata Technologies trading near its year lows, it is an excellent share to invest in reaping high profits in the future. Buying Tata Technologies is the best investment decision with TPEML or Tata Electric Passenger Electric Mobility Ltd to launch an IPO in 12 to 18 months.
Final words:
The above facts will convince you to call the reputed and trusted share broker now to buy Tata Technologies for around Rs. 1,000 as it has come down from its high listing price and also shown fantastic QoQ results and with a strong order book to get high returns in the short and long term. Stockify offers unparalleled access to pre-IPO shares, empowering investors with exclusive opportunities. With expert curation, secure transactions, and a user-friendly interface, Stockify stands out as the premier platform for acquiring pre-IPO shares.
Frequently Asked Questions
Are Tata Technologies shares good to buy?
Tata Technologies stock price outlook: JM Financial reaffirms buy recommendation. With a target price of Rs 1,370, reflecting a 19.7% upside, TATATECH remains a robust contender in the automotive electrification space.
What is Tata Technologies’ share price target in 2025?
Projected Tata Technologies Share Price Targets:
2024: ₹1,450
2025: ₹1,813
2026: ₹2,268
2027: ₹2,832
What is Tata Technologies’ future prediction for 2030?
Tata Technologies Share Price Targets:
- 2026 Projection: Anticipated range between ₹2,031 and ₹2,500, averaging at ₹2,266.
- 2030 Outlook: Long-term target spans from ₹4,959 to ₹6,104, with an average of ₹5,531.
Are Tata Technology shares good in the long run?
The firm stands poised to capitalize on enduring growth trajectories, such as escalating demand for engineering services, the ascendance of digital technologies, and the expansion of the Indian economy.
