" A pick up in the rural economy is likely and should benefit M&M. It is expected that the company would see strong growth going forward," says a report by SMC Global Securities.
Moneycontrol News
SMC Global Securities
Mahindra & Mahindra Ltd (M&M), through its subsidiaries, engage in the manufacture, distribution, and sale of passenger cars, tractors, multi-utility vehicles, light commercial vehicles, and three wheelers.
The company’s volume growth is on an uptrend led by strong demand in the tractor and a cyclical recovery in light commercial vehicles. A pick up in the rural economy is likely and should benefit M&M. It is expected that the company would see strong growth going forward.
The price target of Rs 1005 is based on one-year average P/E of 25.56x and FY19 (E) earnings of Rs 39.31.