Buy Mahindra and Mahindra - Sharekhan Research Report

Mahindra & Mahindra, the leading tractor and suv manufacturer in India, has been given a buy rating by Sharekhan for a possible target of Rs.865 in its SEP research Report. The broker is estimating FY2012 and FY2013 earnings per share (EPS) at Rs46.8 and Rs54.8 respectively.

At the current market price (as on 30th Sep 2011) of Rs. 802.5 the stock is available at around 14.5 PE multiple based on FY-2013 expected Earning Per share. 

Morgan Stanely downgrades M&M

Morgan Stanley has cut the target price of M&M to Rs 682 from Rs 803 because of sharp margin compression in the fourth quarter.

Last month, the largest Indian utility vehicles maker lagged estimates with a 6.3% rise in its quarterly net profit and warned higher raw material costs could hurt margins.

At the CMP of Rs. 659, the company commands a market cap of Rs. 40,500 crores.

52 week High / low for the stock is 826 / 550.