Mahindra & Mahindra Shares Jump Nearly 5% After Q4 Results: What’s Behind the Buzz?

Mahindra & Mahindra (M&M), one of India’s biggest names in cars and tractors, had a good day on the stock market. Its share price shot up nearly 5% after the company announced its results for the fourth quarter of the financial year. So, what’s driving this sudden excitement? Let’s break it down in simple terms.

Solid Profits Despite a Few Bumps

M&M reported a strong profit of ₹2,437 crore for the January–March quarter — that’s a 22% jump compared to the same period last year. What’s even more impressive is that they pulled this off despite taking a one-time hit of ₹645 crore related to their international tractor business. Still, the numbers were better than what many experts had expected.

Cars Are Selling Like Hotcakes

One of the biggest reasons for M&M’s strong results is how well their cars and SUVs are doing. Models like the Thar and XUV700 continue to be in high demand. The company brought in ₹24,980 crore from its automotive division alone — a big 25% rise in revenue.

M&M said they have around 2.9 lakh car orders waiting to be delivered. That’s a lot! To keep up, they’re planning to boost their production capacity — from making 39,000 vehicles a month to 49,000 by early next year.

Tractors Still Holding Strong

While the car business is booming, M&M’s tractors are also doing quite well. The farm equipment division also earned ₹24,980 crore, growing 23% over last year. Farmers are still buying tractors, and that’s helping M&M stay ahead in the game, even though their overall market share dipped slightly.

The company is still the leader in India’s tractor space, with close to 39.4% of the market.

Big Plans for Electric Vehicles

Looking toward the future, M&M isn’t just sticking to what it knows — they’re going electric. The company announced that it will invest ₹12,000 crore in its EV business over the next three years. Their goal? Launch five new electric vehicles between 2025 and 2027.

With more people interested in cleaner and greener options, M&M’s EV push could be a smart long-term move. They’ve already created a new arm called Mahindra Electric Automobile Ltd (MEAL) to focus just on electric cars.

What Experts Are Saying

After these strong Q4 results, many financial experts and brokerages are feeling optimistic about M&M’s future. A few big firms have even raised their price targets for the stock.

For instance, Jefferies has upgraded M&M to a “buy” and raised its target price to ₹2,910. Another major firm, Motilal Oswal, now sees the stock going up to ₹2,720. Both cited strong performance in the SUV and farm sectors as key reasons.

Right now, M&M shares are trading at an all-time high of ₹2,554.75. Over the past year, the stock has gone up nearly 90%! That’s a huge gain and shows just how much faith investors have in the company.

What’s the Big Picture?

Even with a few hiccups in their global tractor operations, M&M’s core businesses — cars and farm equipment — are performing really well. Add to that their big electric vehicle plans, and it’s clear that the company has its eyes on the future.

So, while the stock had a big jump today, what really matters is how M&M keeps up this momentum in the coming quarters. Investors will be watching closely — but right now, things are looking pretty positive for this homegrown auto giant.