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Today's prices ask more of Tata Motors than of Eicher Motors.
At current prices, buyers of Eicher Motors are assuming about 22% growth against 19% in its own record; for Tata Motors it is 15% against 8%. That shows which share needs more to go right — not which is cheaper. How far each trades from its estimated fair value is in the full valuations.
- Valuation method: both on discounted cash flow.
- Size: Eicher Motors is worth about 1.3 times Tata Motors on the stock market.
- Record: Tata Motors' filed history in the data used here is too short to compare year by year, so only Eicher Motors' record is summarised: revenue went from FY2018 to FY2026 at about 12% a year.
- What to watch: royal enfield volumes at Eicher Motors; truck cycle at Tata Motors.
| Eicher Motors | Tata Motors | |
|---|---|---|
| Price | ₹7,650 | ₹434 |
| Market cap | ₹2.10L Cr | ₹1.60L Cr |
| P/E | 35.1 | 25.3 |
| P/B | 8.37 | 12.55 |
| Fair value 🔒 sign in | ₹0,000 | ₹0,000 |
| Upside 🔒 sign in | +00% | +00% |
| Valued on | Discounted cash flow | Discounted cash flow |
01Two businesses
Royal Enfield, and trucks with Volvo
Eicher Motors owns Royal Enfield, the motorcycle brand behind the Classic, Bullet, Hunter, Meteor and Himalayan, which dominates India's mid-size (250–750cc) segment and sells a growing number of bikes abroad, including its 650cc twins.
India's largest commercial-vehicle maker
The listed company now called Tata Motors is the commercial-vehicle business demerged in 2025 from the old Tata Motors. It is India's largest maker of trucks and buses, from small cargo vehicles such as the Ace to heavy trucks, and sells across South Asia, the Middle East and Africa.
02The records side by side
Tata Motors' filed history in the data used here is too short to compare year by year, so only Eicher Motors' record is summarised: revenue went from FY2018 to FY2026 at about 12% a year.
Full ten-year tables and charts are on each company's page: Eicher Motors · Tata Motors.
03What each price assumes
Work backwards from each share price and you can see what buyers are taking for granted — the rate each company must sustain to justify what it costs, against what its own record supports.
04What decides each one's value
- Royal Enfield volumesGrowth in the 350cc segment and exports sets the pace.
- Pricing powerRoyal Enfield's brand lets it raise prices with less impact on demand.
- Truck cycleFreight demand, infrastructure spending and interest rates drive sales.
- Market shareHolding its lead against Ashok Leyland, Eicher and Mahindra.
05What could go wrong
- Competition in mid-size bikesRivals have launched models aimed directly at Royal Enfield's buyers.
- Export marketsOverseas demand and currencies can be volatile.
- Cyclical downturnsTruck sales can fall sharply.
- Acquisition riskA large overseas deal brings debt and integration challenges.
06Which is better value?
Sign in free to see which trades further below its worth
- ✓Both fair values per share — each on the method that fits the business
- ✓Every step of both workings — growth, margins and cost of capital, with sources
- ✓Bull, base and bear cases — for each company
- ✓Downloadable reports — the full write-up for each, yours to keep
08Questions people ask
Is Eicher Motors or Tata Motors better value?
That turns on how far each share trades from its estimated fair value. Both figures, with every step of the working, are in the full valuations, free to view once you sign in. On the public numbers, Eicher Motors trades at 35.1 times earnings and 8.37 times book value, and Tata Motors at 25.3 times earnings and 12.55 times book value — but multiples alone mislead when two businesses work differently, which is why each is valued on the method that fits it.
What is the difference between Eicher Motors and Tata Motors?
Eicher Motors owns Royal Enfield, the motorcycle brand behind the Classic, Bullet, Hunter, Meteor and Himalayan, which dominates India's mid-size (250–750cc) segment and sells a growing number of bikes abroad, including its 650cc twins. The listed company now called Tata Motors is the commercial-vehicle business demerged in 2025 from the old Tata Motors.
Are Eicher Motors and Tata Motors valued the same way?
Yes — both on discounted cash flow, so their workings compare like for like.
What does today's price assume for Eicher Motors and Tata Motors?
Worked backwards from the share price, Eicher Motors needs about 22% growth and Tata Motors about 15% growth, against 19% and 8% in their own records.