Tata Capital Share Price LIVE: Stock Falls Over 1% After Listing — Should You Buy the Tata Group NBFC?

Tata Capital Share Price Today: Shares of Tata Capital Ltd — the non-banking financial arm of the Tata Group — had a subdued market debut on Monday, closing just over 1% above the issue price of ₹326.

The stock opened at ₹330 on both the NSE and BSE and ended the listing day at ₹331.10 on NSE (up 1.56%) and ₹330.40 on BSE (up 0.12%).

Muted Listing, Active Volumes

During intraday trading, Tata Capital touched a high of ₹333 and a low of ₹326.15 on the BSE.

The company’s market capitalisation stood at a robust ₹1.40 lakh crore.

Trading activity was brisk, with 99.83 lakh shares changing hands on the BSE and over 11.76 crore shares traded on the NSE.

Tata Capital’s ₹15,512 crore IPO was fully subscribed 1.95 times, making it the largest public issue of 2025. The IPO’s price band was fixed between ₹310–₹326 per share.

Analyst Views: Add or Wait?

Emkay Global Initiates Coverage with ‘Add’ Rating

Brokerage firm Emkay Global initiated coverage on Tata Capital with an ‘Add’ rating and a target price of ₹360, implying a 10% upside.

“We expect Tata Capital to deliver ~24% AUM CAGR over FY25–28, supported by operating leverage and improving credit costs due to a turnaround in vehicle finance. EPS CAGR is projected at ~30% for the same period,” the brokerage said.

However, Emkay noted that return ratios will remain moderate, with RoA/RoE likely to reach ~2.2% and 15.4% by FY28, limiting major re-rating potential.

Key risks include a delay in credit cost reduction and macroeconomic headwinds affecting growth and asset quality.

JM Financial: Strong Fundamentals, Moderate Returns

JM Financial maintained a positive but cautious outlook on Tata Capital.

“At the IPO upper band of ₹326, the stock trades at ~2.7x FY27E P/BV. Based on its AUM growth and RoE profile, Tata Capital should trade between CIFC (3.7x) and HDB (2.5x) valuation multiples,” it said.

The firm assigned a 2.9x FY27E BVPS target multiple, implying a 10–12% valuation premium over HDB Financial.

Downside risks include economic slowdown, higher credit costs, and regulatory uncertainties.

Investment Thesis: Why Analysts Remain Cautious

According to JM Financial, Tata Capital’s strengths lie in its:

Strong Tata Group parentage and brand trust

Diversified portfolio mix across lending segments

Cross-selling opportunities and nationwide presence

Solid operational efficiency and governance

However, the merger with TMFL (Tata Motors Finance Ltd) remains a mixed bag, and asset quality metrics are moderate compared to peers.

Should You Buy, Hold, or Wait?

Prashanth Tapse, Senior VP at Mehta Equities, advised long-term investors to hold Tata Capital shares.

“Given its strong fundamentals and brand backing, investors who got allotments should hold for the long term. Those who missed the IPO can adopt a ‘wait and watch’ approach — consider buying on any meaningful dip,” he said.

IPO Snapshot

IPO Size: ₹15,512 crore

Subscription: 1.95x overall

QIBs: 3.42x | Non-Institutional Investors: 1.98x | Retail: 1.10x

Fresh Issue: 21 crore shares

Offer for Sale: 26.58 crore shares

Purpose: Strengthen Tier-1 capital base for future lending growth

Listing Mandate: In line with RBI’s requirement for upper-layer NBFCs to list within 3 years

This was Tata Group’s second public listing in recent years, following the Tata Technologies IPO in 2023.

Tata Capital’s listing may not have dazzled the markets, but analysts believe steady compounding and strong parentage make it a solid long-term play for patient investors.

Short-term traders, however, may prefer to wait for a dip before entering.