Tata Motors gained as much as 2.76 per cent after a slew of rating upgrades. Shares were up 1.5 per cent at Rs 524, approaching record high of 531.65 hit on August 28.
Morgan Stanley has upgrades the stock to "overweight" from "equal-weight" citing Tata Motor's "attractive" relative valuations and optimism about margins and volumes.
Jefferies also raised its rating on the stock to "buy" from "hold" while Standard and Poor's raises its outlook to "positive" from "stable." The credit agency has cited stronger performance of Tata unit Jaguar Land Rover.
Tata Motors announced on Tuesday that it won an order for over 2,700 buses.