Tuesday, March 29, 2016

Automobile War : Tata Motors gunning for lost crown as Maruti gives up the gains


Midway through current financial year, Maruti Suzuki regulated to snatch the crown of the largest automobile company in the our country in terms of market capitalisation (m-cap) from Tata Motors.

Since then, it has been a big clash of the titans in the automobile industry, with the battle going to enter a new phase in the up-coming financial year.

Maruti Suzuki's market-cap stood near Rs 1,09,928.00 crs on 1st April, 2015, when Tata Motors' m-cap was a staggering Rs 1,92,518.07 crs, data compiled by experts.Click for Stock option tips

A year on, Maruti Suzuki is at the same level despite having lost close to Rs 31,000 crs in m-cap current year, while Tata Motors m-cap has fallen deeply to Rs 1,04,417.79 crs, a Rs 88,100 crs erosion in a matter of months.

"Tata Motors is a far better story at present level, with its commercial vehicle cycle playing out positively. We have got to just keep a tab on how the margins in China shape up.

Evidently, they are going very well in the US(United States) and even in the rest of the world," he contributed.