Tata Motors (TTM) versus Adient PLC (ADNT) Head-To-Head Contrast

Tata Motors (NYSE: TTM) and Adient PLC (NASDAQ:ADNT) are both mid-cap auto/tires/trucks companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, analyst recommendations, institutional ownership, risk, profitability, earnings and valuation.

Profitability

This table compares Tata Motors and Adient PLC’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Tata Motors 3.38% 19.45% 4.54%
Adient PLC 5.63% 21.65% 7.56%

Earnings and Valuation

This table compares Tata Motors and Adient PLC’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Tata Motors $40.35 billion 0.50 $3.99 billion $1.63 18.25
Adient PLC $16.21 billion 0.42 $976.00 million N/A N/A

Tata Motors has higher revenue and earnings than Adient PLC.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Tata Motors and Adient PLC, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Tata Motors 0 2 3 0 2.60
Adient PLC 1 7 5 0 2.31

Tata Motors currently has a consensus price target of $30.00, indicating a potential upside of 0.87%. Adient PLC has a consensus price target of $62.75, indicating a potential downside of 14.71%. Given Tata Motors’ stronger consensus rating and higher possible upside, equities analysts clearly believe Tata Motors is more favorable than Adient PLC.

Insider and Institutional Ownership

11.9% of Tata Motors shares are held by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

Tata Motors beats Adient PLC on 6 of the 10 factors compared between the two stocks.

About Tata Motors

Tata Motors Limited is an automobile company. The Company is engaged in manufacture of motor vehicles. The Company is engaged mainly in the business of automobile products consisting of all types of commercial and passenger vehicles, including financing of the vehicles sold by the Company. The Company’s segments include automotive operations and all other operations. The Company’s automotive segment operations include all activities relating to the development, design, manufacture, assembly and sale of vehicles, including vehicle financing, as well as sale of related parts and accessories. In the automotive segment, the Company manufactures and sells passenger cars, utility vehicles, light commercial vehicles, and medium and heavy commercial vehicles. The Company’s all other operations segment mainly includes information technology (IT) services, and machine tools and factory automation services. The Company operates in over 160 countries across the world.

About Adient PLC

Adient plc, formerly Adient Limited, is an automotive seating supplier. The Company designs, manufactures and markets a range of seating systems and components for passenger cars, commercial vehicles, and light trucks, including vans, pick-up trucks, and sport/crossover utility vehicles. The Company operates through two segments: Seating and Interiors. The Seating segment produces automotive seat metal structures, and mechanisms, foam, trim, fabric and complete seat systems. The Interiors segment produces instrument panels, floor consoles, door panels, overhead consoles, cockpit systems, decorative trim and other products. The Company also supplies various seating systems to the international motorsports industry through its RECARO brand of products. It operates approximately 230 manufacturing or assembly facilities, with operations in over 30 countries. Its technologies focus on offering automotive seating solutions in a range of areas, including frames, armrests and fabrics.

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