Tata Motors, one of the leading companies of the Tata Group, witnessed a significant drop in its stock price recently, causing concerns in the financial market. On Wednesday, the company lost a staggering ₹21,881 crore in market value within just 6 hours of trading. This sharp decline not only affected Tata Motors but also dragged down major market indices like Sensex and Nifty.
A Nine-Day Decline Hits Tata Motors Hard
The fall in Tata Motors’ shares has been consistent over the past nine days. During this period, the stock has dropped by a total of 12.82%. On Wednesday, the stock plunged by 5.74% to close at ₹976 on the Bombay Stock Exchange (BSE). At one point during the day, it even hit a low of ₹972. The National Stock Exchange (NSE) also saw a similar slump, with the company’s shares closing at ₹976.40, a 5.73% decline.
Market Impact
The continuous fall in Tata Motors’ stock has wiped out ₹21,881 crore from its market capitalization, bringing it down to ₹3,59,227.59 crore. This significant decline had a ripple effect on the overall market as well. The BSE Sensex dropped by 398.13 points, settling at 81,523.16, while the NSE Nifty saw a decrease of 122.65 points, closing at 24,918.45. This made Tata Motors the biggest loser on both Sensex and Nifty.
Trading volumes surge
Despite the decline, the trading volumes of Tata Motors’ shares remained high. A total of 17.56 lakh shares were traded on the BSE, while 361.40 lakh shares were exchanged on the NSE. This indicates that many investors were selling their holdings, contributing to the sharp fall in stock prices.
Conclusion
Tata Motors has been struggling with falling share prices for over a week, and Wednesday’s sharp decline marked a major blow to its market value. Investors are watching closely to see if the stock will continue its downward trend or if there will be a recovery in the coming days.
FAQs
1. Why did Tata Motors’ shares fall?
Tata Motors’ shares have been on a consistent decline due to market volatility and concerns about the company’s performance. This led to a sharp drop in its market capitalization.
2. How much market value did Tata Motors lose?
Tata Motors lost ₹21,881 crore in market value within just 6 hours of trading on Wednesday.
3. How did the decline in Tata Motors’ shares affect the market?
The fall in Tata Motors’ stock dragged down major indices like the BSE Sensex and NSE Nifty, as it was the biggest loser on both platforms.
