Tata motors shares surged more than 6 per cent at its intraday high of Rs 322 after its luxury car partition, Jaguar Land Rover (JLR) reported a 61 per cent surge in US sales last month.
JLR sold 6,850 units in the US market in September. Sales of the Land Rover conveyance,rose 89 per cent year-on-year to 5,855 units, while those of Jaguar fell 13 per cent to 995 units. JLR had posted a 12 per cent rise in US sales in August.
JLR chief executive Ralf Speth had last month said that the luxury carmaker expects sales to increase this year compared to 2014, with Britain, Europe and the United States compensating for a sharp decline in the Chinese market.
China was Jaguar Land Rover’s fastest increasingly market last year but sales in the country, the world’s largest car market, have been hit due to an economic slowdown, stock market slump and currency devaluation.
Tata Motors posted a 2 per cent decline in sales of passenger and commercial vehicles (including exports) at 45,215 units last month. It had sold 46,154 units in September 2014. Passenger vehicle sales were at 11,774 units as against 11,931 units in the compatible period a year ago.
Tata Motors shares have underperformed over the past three months falling over 25 per cent amid concerns over China sales. In proportion, the Nifty fell 5 per cent during the period.
As of 10:21 a.m., shares in Tata Motors were trading over 6 per cent higher at Rs 315.90 apiece on the BSE,good performing the broader Sensex that was up 1.5 per cent.