Mahindra & Mahindra shares in focus as This autumn outcomes beat estimates. Do you have to purchase, promote, or maintain?

Shares of Mahindra & Mahindra (M&M) are set to be in deal with Tuesday after the auto main posted stronger-than-expected March quarter outcomes and introduced a pointy hike in its annual dividend, drawing optimistic commentary from brokerages.

Mahindra & Mahindra on Monday reported a 22% year-on-year (YoY) bounce in standalone internet revenue to Rs 2,437 crore for the March quarter, whereas income climbed 24% YoY to Rs 31,609 crore — each surpassing Dalal Avenue estimates. Consolidated revenue after tax grew 20% YoY to Rs 3,295 crore through the quarter, with income from operations up 20% YoY at Rs 42,599 crore.

The automaker’s strong numbers had been backed by double-digit progress throughout segments. Complete car gross sales rose 18% YoY to 2,53,028 models, together with an 18% rise in utility car (UV) volumes to about 1.49 lakh models and a 23% enhance in tractor gross sales to 87,138 models. The corporate’s income market share in autos expanded 310 foundation factors (bps) to 23.5% in This autumn, whereas its farm section market share improved by 170 bps to 43.3% for FY25.

M&M’s board advisable a dividend of Rs 25.30 per share, marking a 20% enhance for FY26, with a report date set for July 4, 2025. Following the outcomes, the inventory climbed as a lot as 2% on Monday to Rs 2,997 on the BSE.

Rajesh Jejurikar, Govt Director & CEO (Auto and Farm Sector), mentioned, “We continued our excellent efficiency in This autumn FY25, recording a big 310 bps YoY acquire in SUV income share and a 480 bps YoY acquire within the LCV (<3.5T) market share. In tractors, we achieved our highest-ever This autumn market share at 41.2%, up 180 bps YoY.”

Amarjyoti Barua, M&M’s CFO, added, “Our outcomes embody almost Rs 10,000 crore of money technology in FY25, enabling us to proceed creating shareholder worth by strategic investments.”

Brokerages bullish on outlook

Brokerages have largely maintained a bullish stance on the inventory, citing strong progress prospects throughout M&M’s core companies.Motilal Oswal retained its ‘Purchase’ score with a goal value of Rs 3,482, noting that the corporate “reported a better-than-expected working efficiency in Q4FY25. Consider M&M is nicely positioned to outperform throughout its core companies, led by a wholesome restoration in rural areas and new product launches throughout each the UV and tractor segments.”

The brokerage has raised earnings estimates by 4% and 6% for FY26 and FY27, forecasting a income and EBITDA CAGR of about 13% over FY25- 27.

Nuvama additionally stored its ‘Purchase’ name with an unchanged goal value of Rs 3,700.

Additionally learn | M&M This autumn Outcomes: Standalone PAT jumps 22% YoY to Rs 2,437 crore; dividend declared at Rs 25.30/share

“Progress prospects strong. Anticipate the auto section’s income CAGR to be 16% on wholesome demand for Thar, XUV 3XO and XEV.9e together with a pipeline of latest fashions,” Nuvama mentioned, projecting income and core earnings CAGR of 15% and 18%, respectively, over FY25-27, with return on invested capital sustained above 55%.

(Disclaimer: Suggestions, strategies, views and opinions given by the specialists are their very own. These don’t symbolize the views of the Financial Instances)