Motilal Oswal Financial Services (MOSL) has maintained a Neutral rating on Tata Chemicals, while raising the target price to ₹970 from ₹950. The revised target implies a modest upside from the current market price of ₹946.55.
The brokerage highlighted that the company’s India and UK operations are driving its overall operating performance. Tata Chemicals has guided for an annual maintenance capex of ₹1,000 crore in FY26 to support its ongoing operations.
MOSL noted that the soda ash segment continues to face a soft demand-supply balance, compounded by tariff-related uncertainties in global trade. Overcapacity remains a key concern, especially with the presence of unviable global supply sources.
However, the brokerage pointed out that potential long-term maintenance shutdowns at a major Chinese plant could help rebalance global supply dynamics, providing support to market conditions in the medium to long term.
Disclaimer: This article is based on Motilal Oswal’s brokerage report and does not constitute investment advice. Please consult a certified financial advisor before making any investment decisions.
