In its latest research report, Nirmal Bang, an equity research firm said that Mahindra & Mahindra can give good returns in the short term.
The report further stated that, if the counter is successful to breach Rs 910 levels, then it will hit a target of Rs 980.
The stock has strong support at Rs 845.
The shares of the company on Thursday (Oct 01) closed at Rs 891.25, up Rs 10.05, on the Bombay Stock Exchange (BSE). Current EPS and P/E of the stock stood at 37.55 & 23.74 respectively. The total volume of the shares traded stood at 299641. The share price has seen a 52-week high of Rs 942.70 and a low of Rs 235.50 on BSE.
Mahindra & Mahindra`s Farm Equipment Sector (FES) headed the tractor business during the last month (Sep 2009).
Overall tractor sales during Sep 2009 stood at 16,986 units as against 10,868 for the corresponding period of 2008.
Domestic sales during the month posted a record 59% growth at 16,359 units, as against 10,307 units for the same period of 2008.
Year to date (YTD) domestic sales of the company saw a 48% surge at 80,610 units, as compared to 54,543 units during the same period of the last year. The company's YTD sales (domestic as well as exports) posted a 42% growth at 83,865 units as against 58,893 units during the same period last year.
To swell its diesel engine business, Mahindra & Mahindra (M&M) is eyeing to consolidate its equity stake in Swaraj Engines.
M&M bought a 33.2 percent equity stake in Swaraj Engines and a 14 percent stake in Swaraj Mazda via its acquirement of Punjab Tractors during 2007.