The Tata Group is a multinational conglomerate and one of India’s largest and oldest industrial groups, with interests spanning various sectors including steel, automotive, information technology, telecommunications, chemicals, hospitality, and many others. It is known for its emphasis on ethical business practices, corporate social responsibility, and a strong commitment to community development.
One of the effective methods for assessing whether a stock is undervalued or overvalued is by analysing key metrics such as the Price-to-Earnings (P/E) ratio with the industry P/E average.
Listed below are some of the Tata Group stocks whose P/E is less than their Industry P/E that you can add to your watchlist.
Tata Consultancy Services
Tata Consultancy Services Limited is an IT services, consulting, and business solutions organization, it offers a wide range of consulting-led, cognitive-powered, integrated portfolios of business, technology, and engineering services and solutions.
With a market capitalization of Rs. 15,59,052 Crores, the shares of Tata Consultancy Services Limited closed at Rs. 4,309.05 per equity share, up 0.41 percent from its previous day’s close price of Rs. 4,291.25.
Tata Consultancy Services Limited has a P/E ratio of 32.51, compared to the industry’s P/E ratio of 39.16, indicating that the stock is trading at a lower price compared to the average P/E ratio of firms in the industry.
Its revenue from operations grew by 5.44 percent from Rs. 59,381 Crores in Q1FY24 to Rs. 62,613 Crores in Q1FY25, accompanied by profits of Rs. 11,120 Crores to Rs. 12,105 Crores.
Tata Motors
Tata Motors Limited is a leading automobile manufacturer offering a wide and diverse portfolio of cars, sports utility vehicles, buses, trucks, and defence vehicles across its global presence.
With a market capitalization of Rs. 3,65,290 Crores, the shares of Tata Motors Limited closed at Rs. 992.40 per equity share, down 0.08 percent from its previous day’s close price of Rs. 993.20.
Tata Motors Limited has a P/E ratio of 10.44, compared to the industry’s P/E ratio of 53.17, indicating that the stock is trading at a lower price compared to the average of P/E ratio of firms in the industry.
Its revenue from operations grew by 5.68 percent from Rs. 1,02,236 Crores in Q1FY24 to Rs. 1,08,048 Crores in Q1FY25, accompanied by profits of Rs. 3,301 Crores to Rs. 5,692 Crores.
TRF
TRF Limited is engaged in offering manufacturing services, technical services, project management, and life cycle and allied services. It undertakes turnkey projects of material handling for the infrastructure sector and is engaged in the production of such material handling equipment along with providing services relating to design and engineering, supervision.
With a market capitalization of Rs. 558 Crores, the shares of TRF Limited closed at Rs. 499 per equity share, down 1.73 percent from its previous day’s close price of Rs. 507.80.
TRF Limited has a P/E ratio of 15.39, compared to the industry’s P/E ratio of 39.14, indicating that the stock is trading at a lower price compared to the average of P/E ratio of firms in the industry.
Its revenue from operations grew by 12.21 percent from Rs. 33.5 Crores in Q1FY24 to Rs. 37.59 Crores in Q1FY25, accompanied by profits of Rs. 8.76 Crores to Rs. 4.99 Crores.
Written by: Bharath K.S
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