Tata Motors is the top loser on the BSE since morning, going down 20% to hit a new 52-week low at Rs.141.90. Tata Motors DVR is the second top loser, hitting a new low at Rs.72.55.
Brokerage houses literally went on a rampage selling the stock after it posted a shocking record loss of Rs.26,993 crore v/s profit of Rs.1077 crore (YoY), mainly on account of a non-cash write off worth Rs 27,838 crore for JLR de-stocking and warranty cost. This can be attributed to slowing sales in China, technology disruptions and rising cost of debt.
JLR reported a loss for the third straight quarter as net sales declined by 1% to GBP 6.2 billion, as volumes fell 11%. The demand outlook has worsened in recent quarters in China & India. Its finance costs increased by Rs.321 crore to Rs.1,568 crore.