In the morning on June 18, shares of Mahindra and Mahindra (M&M) surged 3% to Rs 3,008, setting a new 52-week high. This came after global brokerage Nomura increased the target price, citing many growth levers.
With a 'buy' call on the counter, analysts increased their target price to Rs 3,374, up 15.1% from the previous NSE close. Nomura had previously set a target of Rs 2,818.
"Anticipate M&M to persist in providing market-beating expansion throughout all categories," the brokerage stated in a recent analysis of the business. Moreover, Nomura notes that the company's agriculture division, which did poorly in FY24, had "high potential."
Mahindra & Mahindra sold 71,000 tractors in the fourth quarter of its fiscal year, a 20 percent decrease from the previous year. Additionally, the firm lost 130 basis points of market share from the same time last year to 39.4%.
The "premium lane" might be driven by the electric car market, according to Nomura analysts, who are also positive on the sector. The automobile major's export business could also see more development potential.
This occurs after Bloomberg statistics revealed that on June 14, the market capitalization of the SUV manufacturers momentarily surpassed that of Tata Motors, making them the second most valuable car firm in India.
Mahindra & Mahindra sold 71,000 tractors in the fourth quarter of its fiscal year, a 20 percent decrease from the previous year. Additionally, the firm lost 130 basis points of market share from the same time last year to 39.4%.
The "premium lane" might be driven by the electric car market, according to Nomura analysts, who are also positive on the sector. The automobile major's export business could also see more development potential.
This occurs after Bloomberg statistics revealed that on June 14, the market capitalization of the SUV manufacturers momentarily surpassed that of Tata Motors, making them the second most valuable car firm in India.
The automaker, Thar, announced intentions to launch a total of 23 vehicles by 2030, including six new SUVs, at its investor day presentation. By the end of the decade, M&M also intends to launch seven Born Electric vehicles.
The company's shares were trading at Rs 2986.9 at about 10:38 am, up 2.05 percent from the previous close on the NSE. Since the beginning of the year, M&M shares have increased by a staggering 70%, making it the best-performing company on the Nifty.
