TATAMOTORS: 525-535 may be a big hurdle and sustaining below 485, the stock may not be suitable for "faint hearted"

China jitters, Brexit woes & cross currency headwinds may drag in the months ahead despite improving JLR sales and domestic business

Trading idea: Tata Motors

CMP: 503

Sell around 515-520 or on rise around 535-545;

TGT: 485- 470*- 445-435-415*-399-385-375-360*-340 (1-3/6M)

TSL> 525 OR >550

Note: Consecutive closing (3 days) above 550 for any reason, TM may further rally up to 575-585* & 600-615* in the near to long term (alternative bullish case scenario from the current trading level).

Anyone holding long positions in the counter and continue to do so, may also watch 485-470* zone closely as the nearest positional support zone for the scrip.

For TM: Consolidated

Adjusted/reported FY-16 EPS: 38.87

Projected FY-17 EPS: 45.25 (Consensus: 47.55)

Average PE: 12

Fair value may be around: 470 (FY-16/TTM)

Projected median value may be around: 545-570 (FY:17/FWD)

Analytical charts: