Shares of four-wheeler major Mahindra and Mahindra gained as much as 2 per cent to their day’s high of Rs 3,761 on the BSE on November 28 after international brokerage Nomura maintained its bullish stance on the company following the launch of its new 7-seater vehicle – XEV 9S.
With a Buy rating and a price target of Rs 4,335 per share, the brokerage implies an upside of 18.3 per cent from current market levels. Analysts at Nomura suggest that the new car is feature loaded and at ‘disruptive pricing’ of Rs 19.95 lakh.
Nomura said that Mahindra’s new XEV 9S has outperformed expectations with a well-judged mix of features and pricing, prompting the view that monthly volumes could exceed initial assumptions. The company is positioned for stronger-than-industry SUV growth over the next few years, supported by rising traction in its electric lineup. Building on this momentum, the stock is valued on a FY28F EV/EBITDA multiple that supports a target price of Rs 4,355, leaving current valuation with more room for upside.
“This SUV signals the start of a big electric era for Mahindra – one built on scale, on purpose, and on a deep understanding of how India moves. The attractive prices starting make a very high tech product accessible, with bookings opening in January 2026”, the management said in a press release.
Earlier this week, the company also launched the BE6 Formula E edition with certain additional features and cosmetic changes over the standard model.
In Q2, the company maintained its leadership in SUVs, with a revenue market share of 25.7 per cent, marking a 390 basis points (bps) increase year-on-year.
M&M reported a 28 per cent year-on-year (YoY) rise in its consolidated profit after tax to Rs 3,673 crore, versus Rs 2,867 crore in the same quarter last year. The automaker’s revenue from operations rose 21.7 per cent YoY. The revenue from operations was posted at Rs 45,885.40 crore, against Rs 37,689.04 crore in the second quarter of FY25.
Mahindra & Mahindra’s Auto segment reported total quarterly volumes of 2,62,000 units, which includes sales by LMM & MEAL, reflecting a 13 per cent year-on-year growth. Within this, UV volumes stood at 1,46,000.
M&M shares have risen 25 per cent in the last 6 months.
