INSUBCONTINENT EXCLUSIVE:
Leading global brokerages put their seal of approval on Mahindra Mahindra again, citing strong growth outlook for tractors, passenger
vehicles and light commercial vehicles this financial year.
Jefferies upgraded MM's target price to Rs 975, from Rs 860 earlier
“Mahindra Mahindra is among our preferred rural pick and FY19 growth outlook remains positive across tractors, LCVs and PVs,” the
The automaker reported strong financial results on Tuesday for the fourth quarter to March 2018
Its net profit jumped 50 per cent to Rs 1,155 crore for January-March
Analysts in an ETNow poll predicted a profit of Rs 1,055 crore
The company had reported Rs 770 crore profit in the year-ago quarter
The figure included numbers for MM and MVML.
"The board has recommended a post-bonus dividend of Rs 7.50 (150 per cent) per share of face
value Rs 5 and will be paid to those shareholders whose names stand registered in the books of the company as on the book closure date," the
company said in a statement.
CLSA reiterated ‘Buy’ on MM and also upped target price to Rs 1,075 from the previous Rs 960
“MM delivered strong Q4 results led by a better-than-expected margin
The rural outlook improved on normal monsoon and big MSP hike expectations and new MPV launch in FY19 to boost SUV segment volume
We expect strong 18 per cent EPS CAGR over the next two years and valuations are looking attractive,” CLSA reasoned.
Morgan Stanley
maintained ‘Overweight’ with a target price of Rs 1,063
“At MM and MVML level, numbers were in line with expectations
The key positive was the automotive EBIT margin,” the brokerage house said.
The stock was trading up 2.34 per cent at Rs 889.15 on
