Tata Motors DVR heading towards 200-210
# The stock has completed a 7 months consolidation and is appearing to be breaking out.
# The volume profile suggest that more than 90% of the volume has happened below the current price of around 164 in last 4 years.
# This suggest that majority of sellers are out and the rise from current level towards the target might be swift.
# A fibonacci retracement of the complete fall from sep 2016 level to march 2020 bottom, suggest a target of 200-210
# Tata Motors main shares has already crossed 50% retracement.
# fundamentally the valuation is very favorable for the dvr shares as it is exactly equivalent to main shares with just reduced voting right.
# With promoter change risk out now and the possibility of value unlocks from EV business along with increasing mkt share in PV business, the discount to main shares will gradually reduce.
# ICICI prudential MF has taken its holding to 15% in DVR which is a confirmation of what we are thinking here.
# The volume profile suggest that more than 90% of the volume has happened below the current price of around 164 in last 4 years.
# This suggest that majority of sellers are out and the rise from current level towards the target might be swift.
# A fibonacci retracement of the complete fall from sep 2016 level to march 2020 bottom, suggest a target of 200-210
# Tata Motors main shares has already crossed 50% retracement.
# fundamentally the valuation is very favorable for the dvr shares as it is exactly equivalent to main shares with just reduced voting right.
# With promoter change risk out now and the possibility of value unlocks from EV business along with increasing mkt share in PV business, the discount to main shares will gradually reduce.
# ICICI prudential MF has taken its holding to 15% in DVR which is a confirmation of what we are thinking here.
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