Tata motors lost the pole position in the Grand prix of sales revenue to Maruti Suzuki for the first time in 5 years.
Market capitalization of Maruti Suzuki as on 17th July was 1,26,281 crores, while of tata motors it was 1,26,088 crore.
expert says that the reason behind this Is the slump in sale of landrover and Jaguar in China and that spooked up investors.
it’s share fell from 598.69 to 398.75 crores that is 33%.
On the other hand maruti Suzuki is the share that investors are buying and holding up because of upgrades in earnings and robust volume growth.
experts says that the favourable currency and product base for customers are also the reason for maruti’s growth.
it is to note that company share gained 13.34% even at the time when BSE auto index lost 7.37%.
Chinese market is creating a severe impact on performance of tata motors said an executive.
Chinese consumers are unpredictable as earlier they were spending but now they are diverting their funds to stock market and the recent losses by investors is a dark gloomy period for tata motors to boost up the sales in luxury car segment.
It is to note that tata motor share was listed in 1991 whereas maruti Suzuki one in 2003.
it is rightly said that “ time plays the biggest factor”