Tata Motors is up 60% in 2023. Does this stock have room to rise?

livemint.com:

most popular stocks in the market right now is Tata Motors. It’s not only up 60% since the start of the year, but also an incredible 150% since the rally began towards the end of March. And if you go back to the bottom of the covid crash, the stock has been a ten bagger.

Traders who wanted short term gains are very happy. Long term investors too are probably sitting on decent profits right now. But what happens next? Can the stock go higher? Let’s try to answer that.

There are a three main reasons for the bullish market sentiment surrounding this stock. All there reasons are good enough on their own to paint a positive picture. When considered together, it’s easy to see why both investors and traders are reluctant to sell the stock.

Let’s consider them one at a time… Tata Motors is the dominant force in the Indian electric vehicle (EV) market. This dominance will likely continue for at least a few more years, perhaps longer. And every potential car buyer in India is acutely aware of it.

The situation with the company is akin to a brand name being associated with a technology. Like how Xerox was associated with photocopying. In the case of Tata Motors, it’s EVs in the Indian auto market.

If you’re in the market for an EV, you will think of Tata Motors first, probably the Nexon. And many people won’t even think of another brand at all. This situation won’t change until the company faces serious competition from other EV makers.

That will eventually happen of course. But it’s not the case today. In fact, we believe it’s now safe to say that Tata Motors is slowly but surely changing how the world looks at India when it comes to technology.