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M&M Share Price: Analysts expect auto stocks with zero 'sell' ratings to retest record highsIn an interaction with CNBC-TV18, M&M’s Executive Director and CEO of the Automotive and Farm Sector (AFS), Rajesh Jejurikar, said that Q4 was one of the best quarters for the tractor business and expects strong growth in both the tractor and SUV segments to continue in FY26.By Meghna Sen   May 6, 2025, 9:46:19 AM IST (Updated)3 Min ReadShares of Mahindra & Mahindra Ltd., the manufacturer of commercial vehicles, passenger vehicles and tractors, are trading with gains of up to 5% on Tuesday, May 6. The upmove in the stock price came after the company's March quarter results, which were a beat on analyst expectations on most parameters.

The company's consolidated revenue rose 24.5% to ₹31,353 crore, and bottomline surged 19.6% from last year to ₹2,437 crore. EBITDA jumped 39% from last year to ₹4,683 crore, while margin stood at 14.9% from 13.4% last year.

M&M remains one of the few stocks on the Street without a single 'Sell' rating. Of the 41 analysts that have coverage on the stock, 39 of them have a 'Buy' recommendation, while two say 'Hold'.

Global brokerage firm Jefferies has maintained its 'Buy' rating on M&M but has reduced the price target to ₹4,000 from ₹4,075 per share.

Jefferies mentioned that there is room for further re-rating, given M&M's strong growth outlook and improving business fundamentals. It continues to be one of the brokerage's preferred picks.

The brokerage highlighted that M&M has delivered its 12th consecutive quarter of double-digit EBITDA growth.

Jefferies expects a 12% volume CAGR and an 18% core EPS CAGR over FY25–28.

Kotak Institutional Equities has maintained a 'Buy' rating on M&M with a price target of ₹3,500, citing strong performance across all business segments and a robust FY26 outlook.

M&M’s EBITDA exceeded estimates, driven by higher sales and improved gross margins.

Kotak expects the company to continue outperforming industry growth, with the tractor segment likely to maintain its upward trend.

Emkay Global has maintained an 'Add' rating while revising up its price target by 11% to ₹3,000 from ₹2,700 earlier.

The brokerage wrote in its note that M&M expects its outperformance as against the underlying PV industry to continue, with full-year benefit of recent launches (Thar Roxx, XUV 3X0) and limited cannibalisation of recently introduced BEVs.

M&M outlined plans for more new launches in CY26 (1 ICE SUV, 2 BEVs); tractor industry outlook for FY26 stands at a high single digit. "We believe that while the announcement for a new ICE SUV is welcome, bulk of the growth in Autos ahead would be driven by BEVs (margin-decretive in the near-to-medium term), with FY25-27E EBIT CAGR at a modest 7%."

In an interaction with CNBC-TV18, M&M’s Executive Director and CEO of the Automotive and Farm Sector (AFS), Rajesh Jejurikar, said the company has gained market share in the tractor segment for two consecutive years.

He said that Q4 was one of the best quarters for the tractor business and expects strong growth in both the tractor and SUV segments to continue in FY26.

Jejurikar added that the primary goal in the tractor segment is to maintain the current market share. While there has been some stress in urban demand overall, he said M&M has not observed any such impact in its own portfolio.

Shares of Mahindra & Mahindra settled 3.34% higher post the results announcement at ₹3,024. The stock had risen over 21% in the past one month.Continue ReadingNote To ReadersDisclaimer: The views and investment tips expressed by investment experts on CNBCTV18.com are their own and not that of the website or its management. CNBCTV18.com advises users to check with certified experts before taking any investment decisions.First Published: May 6, 2025 8:26 AM ISTCheck out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!TagsearningsMahindra and MahindraMahindra and Mahindra share price