🚀 Mahindra & Mahindra – Follow Up View

🔍 Fundamentals Driving the Rally Q1 FY26 Results: PAT up 24% YoY to ₹4,083 Cr; Revenue up 23% YoY to ₹45,529 Cr. SUV Segment: Market share up 570 bps YoY; July sales surged 20%. Farm Equipment: Tractor sales up ~10% in June; exports also rising. EV Push: Exploring local rare-earth magnet production to cut China dependency. 💰 GST Impact SUVs taxed at 28% + cess, keeping vehicles costlier, but demand remains strong. Tractors largely exempt → supports affordability & rural demand. EVs taxed at only 5% GST → major positive for M&M’s upcoming electric SUV portfolio. CVs at 28%, but GST input credits aid supply chain efficiency. Net View: Neutral-to-Positive; any cess hike on SUVs is a risk. 📊 Technical & Analyst View Stock closed at ₹3,561 (+2.3%), trading inside a rising channel near all-time highs. Resistance: ₹3,600–3,650 | Support: ₹3,500 / ₹3,375. RSI at 67 – momentum strong, not yet overbought. Analyst Targets: Nomura ₹3,779, Nuvama ₹3,700, Motilal Oswal ₹3,482. 🎯 Outlook Short Term (1–2M): May test ₹3,600–3,650; dips to ₹3,500–3,520 attractive. Long Term (6–12M): Upside potential toward ₹3,700–3,800+, supported by SUV demand, EV strategy & rural recovery. ✅ Bottom Line M&M’s rally is backed by strong earnings, market leadership in SUVs & tractors, and EV tailwinds. With analyst targets 10–15% above CMP, the stock looks promising for both momentum traders and long-term investors.