Analysts Are Optimistic About This Under the Radar Car Company in 2020
We often highlight automaker news that includes the well-known manufacturers here in the states. But, every once in a while, we find news of a car company doing big things overseas. Recently we uncovered a little-known car company that analysts predict will be a dominant player in the Indian auto market. We wanted to learn more about what stocks the analysts suggest and introduce you to Tata Motors.
The best auto stocks to watch
U.S. News and World Reports features stock performance predictions, from analysts for various companies worldwide. The car companies that boast top stock values and earning potential make the top list of automotive companies to watch. It was in one of these analyst prediction reports, we learned about the impending growth and success of the India-based Tata Motors, Ltd (TTM).
Meet Tata Motors
You might not know about Tata Motors, but in India, many consider it THE car company. This automaker is a market leader and provides commercial vehicles and many of the top passenger vehicles. There are 9 million Tata models on Indian roadways today. Tata strives for perfection and is established in manufacturing, design, engineering, and R&D, with over 26 physical sites across Asia, Europe, and Africa.
Analysts are optimistic about the company’s performance
Based on the analyst predictions we found, Tata Motors is on an upward swing, both in stock value and growth potential. Part of the analysts’ optimism is due to the car company’s profitability plan called ‘Project Charge.’
This platform is intended to deliver £1 billion in cost and profit improvements, for 2020. This alone could have huge growth implications for stock values. Another indicator that Tata will do big things this year is its past and present record-setting brand growth.
Tata Motors offers popular models
This car company has one crown jewel in particular that analysts suggest might be the company’s prized possession. To help Tata grow beyond India, the $10 billion Jaguar Land Rover (JLR) is a two-brand segment that plays a significant role.
To offer an idea of just how well these brands have helped Tata catapult to success, the analysts cite numbers from the company’s last reporting period. The Range Rover Evoque sales were up a whopping 54%. The Jaguar Land Rover sales increased by 24% in China alone.
In addition to these popular flagship brands, Tata has a portfolio of top-selling vehicles. Currently, it offers 15 models, including four SUV/MUV models, seven hatchbacks, and four compact sedans. Much like the configurations available to Americans, consumers in India have healthy selections of sleek design, top-notch luxury, and state-of-the-art tech from which to choose.
Why the Indian car market needs to be on the U.S. radar
Consumers may want to keep a keen eye on the success and growth of car companies overseas. Some of the biggest companies consider launching select models in the U.S. as the ‘holy grail’ of consumer markets. India is a heavily populated country and region, and one of the largest in the world, with an estimated 1.37 billion, according to 2019 U.N. data.
When a car company introduces a portfolio of vehicles to a consumer audience that size, and with market-topping success, it’s an indication the automaker is a top contender. It can be easy for American car-buyers to lose sight of the overwhelming success of automakers beyond our backyard.
However, when the analysts name a car company in its top seven to watch for stock growth, it’s worth taking a look. You may not have heard of Tata Motors before today. But, if it continues to grow and perform as the analysts predict, there’s a good chance you might be hearing about them more, especially this year.