|Bid||8.93 x 1100|
|Ask||8.94 x 3000|
|Day's Range||8.91 - 9.02|
|52 Week Range||7.38 - 17.14|
|Beta (3Y Monthly)||0.91|
|PE Ratio (TTM)||4.61|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||14.00|
(Bloomberg) -- Terms of Trade is a daily newsletter that untangles a world embroiled in trade wars. Sign up here. The Indian conglomerate that owns Jaguar Land Rover said it is open to finding partners for the automaker but isn’t planning on selling the embattled unit.“We’re not going to sell,” said Natarajan Chandrasekaran, chairman of Tata Sons Ltd., the holding company in an expansive business empire that includes Tata Motors Ltd. “Auto is a core business for us. From revenue terms, auto is our largest company.”Tata Motors bought the maker of the Jaguar XE sedan and Land Rover Discovery sport utility vehicle from Ford Motor Co. in 2008. After turning it into a cash cow with booming sales in countries like Russia and China, JLR waned to such an extent that it’s had to launch a 2.5 billion-pound ($3.2 billion) savings program and slash thousands of jobs worldwide.Losses at Tata’s automotive business have mounted with a slump in India’s car market, as well as trouble overseas, including an economic slowdown in China, where auto sales are sliding, and uncertainty over Brexit. JLR is closing its U.K. factories for a week in November to guard against disruption to supply chains from a possible no-deal Brexit.Chandrasekaran said China sales have “collapsed” with a 50% drop last year, though 2019 is showing some improvement. Some problems were self-inflicted, including vehicle quality and dealer issues, he said, noting that the auto industry is “going through difficult times.”“Getting the right portfolio, which one we invest in for electric vehicles, and how do we cut cost” are issues that need to be resolved, he said.In an interview with Bloomberg Television earlier Tuesday, Chandrasekaran said dealing with tariffs is the “new normal” for the global auto industry and that negotiations around Britain’s exit from the European Union have taken too long. “Sometimes it’s better to have clarity than a desirable result,” he said. “Nations are getting more protective.”The troubles of JLR are bogging down the Tata group as a whole, with Tata Motors writing down its investment in the British brands earlier this year by $3.9 billion. The salt-to-software conglomerate is among India’s most indebted, and the slump in the auto market is hitting both Tata Motors and Tata Steel, the nation’s biggest maker of the alloy.Analysts at Sanford C. Bernstein last month described JLR as “severely challenged” and said Tata Motors should look at BMW AG as a buyer because the German company is “awash with cash.” Tata has previously denied reports it is looking at strategic options for JLR, including a possible stake sale.While the company would “always look for partnerships,” it doesn’t want deals where “we just sell a stake and we have no say,” Chandrasekaran said Tuesday in New York. “We are not financial investors, Tata Group, we run companies. I’m not a Blackstone, I’m not a KKR.”JLR’s capital expenditure has outpaced operating cash flow over the past two years, but Chandrasekaran said his target is to reverse that trend by 2021. “Once we do that, then people will believe what I’m saying: I’m not running away.”\--With assistance from Scarlet Fu, Caroline Hyde and Sam Nagarajan.To contact the reporters on this story: Craig Trudell in New York at firstname.lastname@example.org;Gabrielle Coppola in New York at email@example.com;Anurag Kotoky in New Delhi at firstname.lastname@example.orgTo contact the editors responsible for this story: Craig Trudell at email@example.com, ;Young-Sam Cho at firstname.lastname@example.org, Will Davies, Chester DawsonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
NEW DELHI/BENGALURU, Oct 11 (Reuters) - India's passenger vehicle sales slumped 23.7% in September, the eleventh straight month of declines, prompting an industry body to flag more job cuts if sales failed to pick up soon. Passenger vehicle sales dropped to 223,317 units in September, the Society of Indian Automobile Manufacturers (SIAM) data showed, while passenger car sales dived 33.4% to 131,281 units. SIAM's data comes as the domestic automobile industry faces a crippling slowdown in demand that has led to production cuts and thousands of job losses.
Britain’s biggest carmaker, Jaguar Land Rover, will halt production at its British factories for a week in November, its boss said on Thursday, joining BMW and Toyota in plans to help mitigate any immediate disruption from a no-deal Brexit. The industry, Britain's biggest exporter of goods, has been vocal about its concerns that a disorderly departure from the European Union could disrupt the flow of components and vehicles, ruining production processes and damaging the viability of factories. Prime Minister Boris Johnson has vowed to take Britain out of the EU, with or without an exit deal, on Oct. 31.
The competition in the self-driving technology market just heated up again. Hyundai Motor Company (HMC) has formed a joint venture with Aptiv.
Britain's opposition Labour Party will lay out on Tuesday a multi-billion pound package to boost development of electric cars and battery technology, promising to create tens of thousands of jobs and safeguard the automotive industry. Labour is hoping to win power from Prime Minister Boris Johnson's Conservative Party at an expected early election, capitalising on the political unrest caused by the country's divisive exit from the European Union. The socialist-led Labour Party is using its annual conference in the English resort of Brighton to lay out plans to transform the British economy, promoting higher government spending and a large public investment programme.
Surprise tax cuts in India fueled the domestic stock markets as well as India stocks and India ETFs trading in the U.S. HDFC Bank stock popped.
Indian automaker Tata Motors will launch an electric vehicle (EV) early next year based on a new powertrain technology it has developed to grow its portfolio of clean energy cars, the company's chief executive said on Thursday. The government's incentive scheme supporting electric transport and a recent cut in taxes on electric cars is making it more affordable to build EVs, Guenter Butschek, CEO, Tata Motors, told reporters in Mumbai. "It is a completely different conversation (on EVs) now.
Ineos, the petrochemicals firm run by pro-Brexit billionaire Jim Ratcliffe, Britain's third-richest person, will build a new 4x4 vehicle in the UK, a boost to an industry hit by closure announcements this year. As part of a 600-million pound ($747 million) project, the company will make the Grenadier off-roader at a factory in Bridgend in Wales, next to where Ford is due to shut its engine site, creating up to 500 jobs for a vehicle due in 2021. A decision by Jaguar Land Rover (JLR) to stop making its classic Defender 4x4 in 2016 after 68 years, ahead of a replacement launched earlier this month, prompted the petrochemicals giant to announce plans for its own vehicle.
India's goods and services tax (GST) panel is unlikely to approve lowering the tax for the auto and allied components sector this week, as a study has warned of major revenue losses, two government officials said. A government study, attached to the agenda of a Sept. 20 GST panel meeting, has said the total annual revenue loss could be as much as 500 billion rupees ($6.95 billion), if the panel decided to lower tax rates for the auto sector to 18% from 28%. Meanwhile, state officials in Kerala, Punjab and West Bengal say they are also opposed to any cut in tax rates in the autos sector, or even consumer goods, because of lacklustre tax collections this fiscal year.
Jaguar Land Rover has partnered with BlackBerry to develop autonomous vehicles. BlackBerry will assist Jaguar in various areas via AI and machine learning.
Luxury carmaker Jaguar Land Rover (JLR) plans to launch 30 new or revamped vehicles in China in the next two years, it said on Wednesday, seeking to build on a recent recovery in sales in the world's biggest auto market. JLR, owned by India's Tata Motors, said the models would include imported ones as well as products built by Chery Jaguar Land Rover, its local joint venture with Wuhu-based carmaker Chery Auto. The plan follows a 17% rise in JLR's sales in China in August and a 40% jump in July, after a more than 20% decline last year.
Domestic stock markets and the rupee had plunged on Tuesday after data last week showed the economy grew at its weakest pace in over six years. Foreign investors pulled out 20.16 billion rupees ($281.99 million) from capital markets on Tuesday, according to NSE data. Trade sentiment globally remained subdued after data showed the U.S. manufacturing sector contracted in August for the first time since 2016 amid worries about a weakening global economy and rising trade tensions between China and the United States.
Tesla (NASDAQ:TSLA) and Volkswagen (OTCMKTS:VLKAF) would make a great couple. If the companies do get together, investors should buy TSLA stock.Source: Vitaliy Karimov / Shutterstock.com Like a bachelor or bachelorette who is intellectually brilliant but has little common sense or everyday skills, TSLA has had tremendous achievements but has struggled with more rote tasks. Elon Musk and his crew have developed electric cars that are technologically advanced, can run on one charge for a long time and appeal to many people. Using these attributes, TSLA, largely singlehandedly, made electric vehicles cool around the world.But when it comes to more mundane tasks, what some call "blocking and tackling," the company has been pretty dismal.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIn a column published back in January 2018, I pointed out that problem. I noted that TSLA was having problems producing enough vehicles to meet demand. I warned that TSLA could lose its first-mover advantage unless it solved the issue. The solution I recommended was partnering with a large auto producer, and I wrote that Ford (NYSE:F) would be an excellent partner for TSLA. I told investors to sell Tesla stock unless the company paired up with a large automaker.Fast forward to mid-2019. Of course, TSLA still hasn't made a partnership deal. And according to a June 2019 Fox Business article, "Tesla continues to struggle to scale production." Moreover, Tesla is also struggling to increase sales in the U.S. while expanding in China. Plus Fox Business's Joe Williams writes that poor reviews and manufacturing issues have "plagued" its new Model 3.If that wasn't enough, Elon Musk has also (just since January 2018) had problems communicating with shareholders, staying out of trouble with the Securities and Exchange Commission, deciding on a sales strategy, and, most importantly, maintaining profitability.Unfortunately for the long-time owners of Tesla stock, Wall Street has caught onto Tesla's problems. In 2019, when the stock market and most tech stocks have rallied, Tesla stock has tumbled over 35%. And since January 2018, TSLA stock has sunk a staggering 30%. It Won't Get Easier for TSLANo one should expect the road to get easier for TSLA or Tesla stock. As I pointed out last month, the federal tax credit that buyers of Tesla's vehicles receive fell by 50% to just $1,875 on July 1. The credit is on pace to be eliminated completely by 2020. That means TSLA is at a major disadvantage compared to EV makers whose vehicles still qualify for the full tax credit. * 7 Tech Industry Dividend Stocks for Growth and Income Not surprisingly Bernstein's Toni Sacconaghi warned that TSLA's competition in the luxury segment was intensifying. Specifically, according to Barron's, the analyst stated that the sales of Tesla's higher-end Model S and Model X are "deteriorating" due to competition from Jaguar and Audi. India's Tata Motors (NYSE:TTM) owns Jaguar, while Volkswagen owns Audi.Speaking of Volkswagen, on Aug. 22, a German business publication reported that the German automaker was interested in buying a stake in TSLA. Volkswagen denied the report.If the deal goes through, it would be great news for TSLA and the owners of Tesla stock. Although Volkswagen has its share of problems, including its emission scandal and a high rate of recalls, it's nonetheless the sort of huge, successful automaker that can fix most of Tesla's "blocking and tackling" issues.In 2018, the German automaker set a delivery record, driven partly by growth in the U.S. and Europe. Its new products have largely been successful and it has experience with many different types of autos, including its lower-end Volkswagen brand models and its high-end Audi models. Both Volkswagen and Audi models have been fairly popular in the U.S. Its joint ventures with China could help TSLA in that market. Would the Deal Make Sense?Most of all, Volkswagen's executives and technical experts can give Elon Musk advice about how to effectively increase Tesla's production as well as on how to sell and build automobiles. And the money that the highly indebted, unprofitable TSLA would get from Volkswagen wouldn't hurt either.For its part, Volkswagen can benefit from Tesla's wealth of experience in high tech and developing electric vehicles. It would be a great marriage, one that would likely propel both companies' businesses and stocks much higher.And since the deal would obviously benefit both companies, it could happen. Still, Volkswagen could balk at spending the money, and Elon Musk may not want to cede any of his control to outsiders.But if Volkswagen does take a stake in TSLA, I would buy Tesla stock. Until then, however, I would stay away.As of this writing, Larry Ramer did not own shares of any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Companies Using AI to Grow * The 10 Biggest Winners From Second-Quarter Earnings * 7 Marijuana Penny Stocks to Consider for Those Who Can Handle Risk The post Buy Tesla Stock if TSLA Hooks Up With Volkswagen appeared first on InvestorPlace.
Greg Migliore, editor-in-chief of Autoblog, believes it'd be a 'brilliant move' for Volkswagen to really look at buying Tesla and it will give it a 'critical edge'.
Indian automakers Tata Motors Ltd and Mahindra and Mahindra Ltd (M&M) said on Friday they would cut production at some plants in response to slowing demand that industry executives say has driven the sector into one of its worst downturns. Tata Motors, which had previously flagged a "challenging external environment", said it closed some blocks at its Pune plant in the western state of Maharashtra. Shares of Tata Motors and M&M fell between 1.8% and 2.4% before cutting losses in a broader Mumbai market that was 1.3% higher as of 0720 GMT.