M&M's growth engines roar to life, launches to drive market-share gains

The stock of Mahindra & Mahindra (M&M) has been touching successive all-time highs on the bourses and, over the past year, gained 81 per cent. While the S&P BSE Auto Index has not performed poorly, registering gains of 73 per cent, it still trails the company by 800 basis points (bps) during this period. There are multiple reasons why investors are beating a path to M&M’s counter. The success of launches, the focus on growth, the hopes of a recovery in tractor sales, and below-industry valuations are attracting investor interest. Among the recent triggers are launches and market-share gains.