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Mahindra & Mahindra Share Price: Shares of Mahindra & Mahindra rose 4 percent to a new high of Rs 2,152 on April 30. This rise in the company's shares came after the launch of its new compact SUV “XUV3XO”. M&M has launched this compact SUV “XUV3XO” with an aggressive starting price of Rs 7.49 lakh, which will compete with the likes of Maruti Suzuki Breeze, Tata Nexon and Hyundai Venue in the market. The company claims that the mileage of this SUV is more than 20 kilometers per liter.
After the launch, the company said in a statement that its aim is to be among the top-2 companies in the compact SUV segment within 3 years. “We are currently number five in all these segments and we are expecting to be number two or number one,” said Rajesh Jejurikar, executive director and CEO, auto and farm equipment sector at M&M.
Investec analysts have maintained their 'buy' rating on M&M's stock and given it a target price of Rs 2,000. The company's shares are expected to rise by more than 2 percent from this current level. The brokerage believes that the launch of 'XUV3XO' will help the company expand its presence in the compact SUV segment and strengthen its overall SUV franchise.
“The company's earnings are also expected to be strong due to the successful product launch, making M&Ms our top pick,” Investec analysts said.
Let us tell you that XUV 3XO has been introduced in both petrol and diesel options. Its transmission options will include a 6-speed AMT. M&M will open online and offline orders for this model from May 15 and deliveries will begin from May 26.
The model will be manufactured at the company's Nashik plant, where its earlier version (earlier called XUV300) was manufactured. M&M shares have gained 23 per cent so far this year, while Nifty has gained only 4 per cent during this period.