BUZZ-India's cheapest auto stock may gain from China's measures

** China's move to cut interest rates, reserve requirements may boost sales of unit Jaguar Land Rover

** Tata Motors (BSE: TATAMODVRLR.BO - news) is the cheapest auto stock in India trading at 12 month forward PE of 6.5 x vs 24.1x of rivals - Eikon data

** Following a near 20 pct plunge in stock prices in three days PBOC cuts lending rate by 25 bps and RRR by 50 bps

** Additionally, there has been a 300 basis points reserve requirement cut for financial and auto leasing companies

** Tata Motors ADR rose 4.5 pct in U.S (Other OTC: UBGXF - news) .

** Stock worst hit by the slowdown in China; positive news may lead to short squeeze

** Tata Motors rose 6.7 pct on Monday but still down 32.9 pct YTD

(RM (LSE: RM.L - news) : abhishek.vishnoi.thomsonreuters.com@reuters.net)