Tata Capital share price rose over 1% ahead of Q2 results today. Tata Capital shares debuted in the Indian stock market on October 13, 2025, opening at ₹330 per share, which was a modest premium over its IPO price of ₹326.
Since its listing, the stock’s performance has remained fairly steady, with prices oscillating within a narrow range between ₹319 and ₹336, according to analysts. Out of a total of 11 sessions for Tata Capital, the Tata Group stock has shown gains in six sessions and losses in five sessions.
Despite high expectations and Tata Group’s strong reputation, the Tata Capital share price has exhibited subdued performance, trading in a narrow band of ₹319 to ₹337 since listing and closing at ₹329 on October 27, 2025. This muted price action can be attributed primarily to the rich valuation at the time of listing, as the IPO was priced at an aggressive multiple compared to its listed NBFC and financial, believes Nitin Jain, Sr. Research Analyst at Bonanza.
Market participants had anticipated a stronger debut, but immediate profit booking by institutional investors and cautious sentiment post-listing limited immediate upside. Additionally, investors are closely watching Tata Capital’s ability to sustain its high growth rates and maintain asset quality amid rising competition in the financial services sector.
Ahead of Q2FY26 earnings, Tata Capital share price today opened at ₹328.15 apiece on the BSE, the stock touched an intraday high of ₹333.45 per share, and an intraday low of ₹327.50 per share.
Tata Capital IPO details
Tata Capital comprised of 47.58 crore shares in total, which included a new issuance of 21 crore equity shares and an Offer For Sale (OFS) of 26.58 crore shares.
As part of the OFS, Tata Sons planned to sell 23 crore shares, while the International Finance Corporation (IFC) to sell 3.58 crore shares.
At present, Tata Sons owns an 88.6% interest in Tata Capital, whereas IFC possesses a 1.8% stake.
The funds raised from the IPO will be utilised to enhance the company’s Tier-1 capital base, facilitating future capital needs, including lending activities.
Tata Capital, the primary financial services division of the Tata Group and entirely owned by Tata Sons Pvt Ltd, is classified by the RBI as an Upper Layer NBFC. It stands as the third-largest diversified NBFC in India and is among the rapidly growing competitors in its field, with total gross loans increasing at a compound annual growth rate (CAGR) of 37.3% from March 31, 2023, to March 31, 2025.
Tata Capital – Q1 Results
For the quarter that ended in June 2025 (Q1 FY26), Tata Capital reported a consolidated net profit of ₹1,040.93 crore, marking a 120% rise from ₹472.21 crore during the same quarter of FY25. Total income rose to ₹7,691.65 crore, up from ₹6,557.40 crore a year prior, indicating consistent growth across its lending operations.
What should investors do?
According to Nitin Jain, Sr. Research Analyst at Bonanza, Tata Group provide long-term comfort, but near-term stock performance may trend sideways until the company demonstrates earnings momentum and improved return ratios in upcoming quarters. Overall, while the listing garnered attention for scale and pedigree, the stock’s future re-rating hinges on delivering consistent financial performance and gaining market share in India’s competitive NBFC space.
Further, Kalp Jain, Research Analyst, INVasset PMS, added that while the brand strength, diversified loan-book across retail, SME and corporate segments, and backing of the Tata Group remain clear positives, the muted listing suggests that much of the growth narrative may already be discounted. The subdued start could imply a limited near-term upside unless the company demonstrates accelerated earnings growth or further margin expansion.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
