The company posted strong quarterly growth, backed by rising demand across key segments and expanding exports. Brokerages remain optimistic as new launches, premiumisation, and a robust EV pipeline support long-term momentum. With ambitious revenue targets, the business is positioning for faster expansion through FY30.
India’s passenger cars and utility vehicles sector hit a record with sales of 4.3 million units in FY25, growing 2% year-on-year, as utility vehicles now make up 65% of the market. This expansion is fuelled by increasing demand, festive buying, GST rate cuts, and rising consumer preference for versatile and premium vehicles.
With a market capitalisation of Rs 4,58,078.72 crore, the shares of Mahindra & Mahindra Ltd were trading at Rs 3,683.70 per share, decreasing around 0.15 percent as compared to the previous closing price of Rs 3,689.35 apiece.
Brokerage Confidence
M&M delivered strong growth in Q2FY26 versus Q2FY25. Automotive revenue rose from Rs 21,755 crore to Rs 27,171 crore, driven by higher demand. Farm equipment increased to Rs 10,225 crore from Rs 8,194 crore. Financial services and industrial services also improved. Overall segment revenue jumped sharply from Rs 38,959 crore to Rs 47,444 crore, reflecting broad-based momentum across businesses.
CLSA remains positive on M&M, highlighting the company’s strong confidence in sustaining leadership in SUVs, tractors and LCVs. It expects market share gains as M&M introduces new models and also believes upcoming launches will further strengthen M&M’s competitive position.
Further, management aims for a stronger 15–40% organic revenue CAGR through FY26–FY30, supported by Oja tractors, global LCV pickups, and a refreshed UV lineup. These initiatives signal confidence in scaling international reach and strengthening core segments.
Moreover, M&M’s higher tractor growth outlook from 7% to 9% CAGR reflects stronger rural demand expectations. The company also sees its LCV revenue expanding 1.6 times by FY30. Alongside this, M&M remains committed to aggressively scaling its high-potential growth gems portfolio.
Strong Growth Outlook
Alongside, Morgan Stanley also remains positive on M&M, highlighting its ambitious plan to grow SUV and LCV revenues eightfold and triple farm segment earnings by FY30. It expects LCVs to gain from GST cuts, while rising premiumisation in UVs, reflected in a higher top-end variant mix, strengthens long-term profitability.
Additionally, Mahindra’s EV strategy is gaining momentum, Rajesh Jejurikar said that the company is fully prepared to scale. Breaking market expectations, he announced not one but two EV unveilings on November 26 and 27. This signals Mahindra’s intent to accelerate its electric transition and strengthen its competitive edge in the fast-growing EV market.
Conclusion
Overall, M&M appears well-positioned for sustained, multi-segment growth. Strong momentum in SUVs, tractors and LCVs, coupled with expanding exports, premiumisation and upcoming EV launches, reinforces its leadership strategy. Backed by aggressive revenue targets and supportive industry trends, the company is gearing up for a stronger market presence through FY30.
Written by Abhishek Singh
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