Tata Motors Shares Could Jump 20% on CV Recovery: InCred

• InCred Equities initiated 'Add' rating on Tata Motors' Commercial Vehicle (CV) business with a ₹513 target price, projecting a 20% rise.
• Despite recent profit-booking (shares down 3.45% to ₹427), InCred sees strong cyclical recovery in the CV segment.
• CV demand is improving, driven by small truck operators, GST reductions, and better freight costs.
• Lower GST on inputs and reduced vehicle prices are expected to boost affordability and cash flow for transporters.
• Recovery in CV demand is anticipated to continue until FY28, supported by softening interest rates and industrial growth.

Why It Matters: InCred projects Tata Motors shares to rise 20% due to strong cyclical recovery in its CV business.