Tata Motors shares gain as festive season begins with 10,000 deliveries and over 25,000 inquiries

Shares of Tata Motors Ltd. gained on Tuesday, September 23, after the company said it witnessed a strong start to the festive season.

The automaker reported 10,000 deliveries and over 25,000 inquiries on the first day of Navratri, September 22.

The surge in festive demand also coincides with the new GST 2.0 regulations, which came into effect on September 22.

On September 5, Tata Motors had said it would pass on the entire benefit of the new GST reduction on its cars and SUVs to customers.

Like Tata Motors, Maruti Suzuki and Hyundai Motor India also witnessed a surge in festive demand on the first day of Navratri. The price cuts range from 65,000 to 1.55 lakh across segments.

Maruti Suzuki said It received around 80,000 inquiries and delivered nearly 30,000 passenger vehicles, calling it its strongest start to Navratri in 35 years.

Hyundai Motor said the recorded 11,000 dealer billings on the first day, which was its highest single-day performance in the last five years.

Both, Maruti Suzuki and Hyundai Motor said they would pass on the GST rate cut benefit to their customers. Maruti Suzuki also added temporary cuts, especially on entry-level cars, to attract two-wheeler owners. Other auto companies such as Mahindra and Mahindra, Renault, Toyota, too have reduced their rates in light of the new GST norms.

Shares of Tata Motors gained 1.7% to hit an intraday high of ₹707.8 apiece on Tuesday. The stock was up 0.8% at ₹706.1 apiece around 10.05 am. It has gained 2.2% in the past month but has declined 6.4% this year, so far.

Also Read: Maruti Suzuki, Hyundai Motor India shares rise up to 4% after strong start to post-GST cut sales on Navratri