Lucror Analytics

Lucror Analytics is a leading credit and ESG research specialist and a provider of technology solutions for differentiated fixed income strategies. Our roots are in bottom-up fundamental credit analysis with a specialization in high yield corporate credits from Europe, Asia and Latin America. We are one of few research specialists integrating ESG considerations with fundamental credit research through a dedicated ESG platform. Our ESG assessment covers five key criteria: Disclosure, E,S, & G Pillars, Controversies, ESG Impact on Credit and ESG Momentum.

Recognizing the importance and value-add of Factor Investing in fixed income, Lucror developed the Smart Quant Navigator (SQN), an intuitive platform that helps clients devise and implement factor-based strategies ranging from pure quant to active fundamental, with integrated ESG.

Our company has been at the forefront of developments in the fixed income markets, identifying opportunities and consistently delivering new products and value-adding solutions to clients. Lucror has close relationships with the largest and most reputable asset managers, family offices, hedge funds, investment and wealth managers globally.

High Yield Experts

Senior Credit Analyst, Lucror Analytics

Trung Nguyen

Senior Credit Analyst

Credit

Tata Motors’ Q3/18-19 results were weak as expected, given the poor operating data reported earlier. The situation in key market China may be structural in nature (oversupply, in turn leading to intense competition and low margins). The operating environment in the rest of the world also remains challenging, with uncertainty in the UK and Europe over diesel vehicles and Brexit, as well as a cyclically weaker market in the US. One surprising item was the large GBP 3.1 bn impairment to the company's capitalised assets, which seems to have spooked many investors. We commented previously that Tata Motors had capitalised too much in the past. While the impairment is non-cash, it signals a bleak future for the company's development programme. We expect Jaguar Land Rover (JLR) to continue facing pressure until FYE 2019-20, owing to: [1] a global downturn in the luxury segment; [2] its sales strategy in China, which does not seem to be working well; and [3] uncertainty over Brexit. While India is doing relatively better, the strong sales growth seen in early FY 2018-19 has stopped. In addition, the India business would not be able to offset JLR’s issues, as the latter accounts for the majority of Tata Motors' EBITDA.

   Tata Motors’ Q3/18-19 results were weak as expected, given the poor operating data reported earlier. The situation in key market China may be structural in nature (oversupply, in turn leading to intense competition and low margins). The operating environment in the rest of the world also remains challenging, with uncertainty in the UK and Europe over diesel vehicles and Brexit, as well as a cyclically weaker market in the US.    One surprising item was the large GBP 3.1 bn impairment to the company's capitalised assets, which seems to have spooked many investors. We commented previously that Tata Motors had capitalised too much in the past. While the impairment is non-cash, it signals a bleak future for the company's development programme.    We expect Jaguar Land Rover (JLR) to continue facing pressure until FYE 2019-20, owing to: [1] a global downturn in the luxury segment; [2] its sales strategy in China, which does not seem to be working well; and [3] uncertainty over Brexit. While India is doing relatively better, the strong sales growth seen in early FY 2018-19 has stopped. In addition, the India business would not be able to offset JLR’s issues, as the latter accounts for the majority of Tata Motors' EBITDA. 

Tata Motors - Earnings Flash - Q3 FY 2018-19 Results - Lucror Analytics

Tata Motors Passenger Vehicles

Tata Motors - Earnings Flash - Q3 FY 2018-19 Results - Lucror Analytics