Kotak Institutional Equities has upgraded Mahindra & Mahindra (M&M) to a “Buy” rating from “Add,” adjusting its target price downward to ₹3,150 from ₹3,300. This revised target suggests an 11% potential upside from the current market price (CMP) of ₹2,826.45.
The brokerage expects the tractor industry to experience a recovery in the second half of the fiscal year, which could benefit M&M, a key player in this sector. Despite a slowdown in the domestic passenger vehicle segment, Kotak believes M&M is well-positioned to navigate these challenges. However, demand in the light commercial vehicle (LCV) segment remains muted.
M&M continues to execute effectively across its three primary segments, showing improvements in return ratios, further solidifying its position. The company remains a top pick for Kotak, reflecting confidence in its growth potential and resilience amid sectoral fluctuations.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Please consult a financial advisor for guidance on investment decisions
