Tata Motors Ltd
LSE:0LDA
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EV/EBITDA
Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Valuation Scenarios
If EV/EBITDA returns to its 3-Year Average (5.8), the stock would be worth $36.75 (206% upside from current price).
| Scenario | EV/EBITDA Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 1.9 | $12 |
0%
|
| 3-Year Average | 5.8 | $36.75 |
+206%
|
| 5-Year Average | 6.2 | $39.5 |
+229%
|
| Industry Average | 14.5 | $91.89 |
+666%
|
| Country Average | 17.7 | $112.24 |
+835%
|
Forward EV/EBITDA
Today’s price vs future ebitda
| Today's Enterprise Value | EBITDA | Forward EV/EBITDA | ||
|---|---|---|---|---|
|
$955.4B
|
/ |
Jul 2025
₹506B
|
= |
|
|
$955.4B
|
/ |
Mar 2026
₹517.4B
|
= |
|
|
$955.4B
|
/ |
Mar 2027
₹599.7B
|
= |
|
|
$955.4B
|
/ |
Mar 2028
₹652.5B
|
= |
|
Forward EV/EBITDA shows whether today’s EV/EBITDA still looks high or low once future ebitda are taken into account.
Peer Comparison
| Market Cap | EV/EBITDA | P/E | ||||
|---|---|---|---|---|---|---|
| IN |
|
Tata Motors Ltd
LSE:0LDA
|
1.3T USD | 1.9 | 5 | |
| US |
|
Tesla Inc
NASDAQ:TSLA
|
1.5T USD | 123.9 | 368.9 | |
| JP |
|
Toyota Motor Corp
TSE:7203
|
40.7T JPY | 7.4 | 11 | |
| CN |
|
BYD Co Ltd
SZSE:002594
|
926.5B CNY | 28.4 | 28.5 | |
| KR |
|
Hyundai Motor Co
KRX:005380
|
142.1T KRW | 15.5 | 14.8 | |
| DE |
|
Mercedes Benz Group AG
MIL:MBG
|
75.3B EUR | 4.5 | 4.9 | |
| DE |
|
Daimler AG
XETRA:DAI
|
67.5B EUR | 4 | 3.7 | |
| US |
|
General Motors Co
NYSE:GM
|
71.4B USD | 8 | 22.2 | |
| IT |
|
Ferrari NV
MIL:RACE
|
59.7B EUR | 21.6 | 37 | |
| DE |
|
Bayerische Motoren Werke AG
XETRA:BMW
|
49.2B EUR | 5.5 | 6.7 | |
| DE |
|
Volkswagen AG
XETRA:VOW
|
45.5B EUR | 1.8 | 6.8 |
Market Distribution
| Min | 0.4 |
| 30th Percentile | 11.9 |
| Median | 17.7 |
| 70th Percentile | 27.8 |
| Max | 47 834.4 |
Other Multiples
Tata Motors Ltd
Glance View
In the bustling corridors of India's industrial tapestry, Tata Motors Ltd. stands as a significant cornerstone, tracing its legacy back to its inception in 1945. Emerging from the broader Tata Group, a behemoth that thrives across various sectors, Tata Motors initially ventured into the commercial vehicle market, etching its name as a pioneer in Indian automotive engineering. This journey is led by a strategic vision that combines innovation with adaptability—a vision that saw the company launch its first commercial truck in collaboration with Daimler-Benz in 1954. Over the years, the company expanded its portfolio, scaling the ranks to offer passenger vehicles, utility vehicles, and even defense vehicles, each crafted to cater to the dynamically evolving demands of both domestic and international markets. Today, Tata Motors generates revenue through the manufacturing and sale of a diverse range of vehicles, from compact cars to heavy trucks. Its business model is anchored in comprehensive operations that span design and engineering, backed by robust manufacturing capabilities. A key catalyst in its financial engine is the success of its subsidiary, Jaguar Land Rover, acquired in 2008, which added a premium sheen to its global footprint. By focusing on innovation, quality, and sustainability, Tata Motors has carved a niche, leveraging economies of scale and synergies across its diverse product lines. With extensive production facilities in India and abroad, coupled with an expansive distribution network, the company maintains a resilient presence in the automotive industry, constantly navigating challenges and opportunities in an ever-competitive landscape.