Financial stock of Tata Group surges to record high, up 30% in two weeks

On the BSE, shares of Tata Investment Corporation Ltd. soared to a record high of ₹2,096.

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Tata Investment Corporation Ltd. shares rose by more than 6% intraday on the BSE during Tuesday’s trading session, reaching a new high of ₹2,096 per share. Given that it has increased by more than 30% in the last two weeks, the stock has been in an uptrend over the past several sessions.

Tata Investment Corporation Limited (TICL), a non-banking financial corporation (NBFC) supported by Tata Sons, is registered with the Reserve Bank of India (RBI). The organisation, formerly known as The Investment Corporation of India, specialises in long-term investments such equity shares and securities related to equities. Over a year, the Tata Group stock has increased by more than 62%.

The Company’s primary business is making long-term investments in equity shares, debt instruments, listed and unlisted securities, and equity-related securities of businesses across a variety of industries. Dividends, interest, and profit from the sale of investments make up the majority of the company’s revenue sources.

In 1994, TICL collaborated with TATA Sons Ltd. to promote TATA Asset Management Company Ltd. TATA Sons owns 68% of TATA AMC Ltd., while TICL owns 32%. One of the original fund management firms in the Indian private sector is Tata Asset Management (TAM). The company’s main function is serving as the Tata Mutual Funds’ investment manager.

Tata Investment Corporation reported a 66.5% increase in consolidated net profit at 89.7 crore for the first quarter ending June 2022, or Q1 FY23, which was driven by greater dividend income. In the same fiscal quarter, the company reported a consolidated profit after tax of 59.8 crore.

In the reviewed quarter, it generated Rs 102 crore in total operating revenue as opposed to Rs 62 crore in the same quarter last year. The company’s dividend income was Rs 74 crores, compared to Rs 41 crores during the same period last year.