Mahindra & Mahindra: Bet EV to give Mahindra’s valuation an all-wheel drive
Summary
Earnings could add around 130-160 yen/share to the SUV business valuation, and its shares could reach a quarter of the company’s total fair value as the SUV business valuation increases. The SUV business is on a good footing after a gap of nearly eight years, with positive growth factors leading to continued improvement in the fair value of the SUV business.
ET Intelligence Group: Mahindra & Mahindra’s SUV business has seen a massive increase in value thanks to the success of new product launches over the past 24 months. Value creation of the SUV business is likely to intensify further with monetization of its four-wheel electric vehicle subsidiary EV (4wEV) as investors begin to realize higher terminal value for the SUV business on the back of improving market share prospects from electric vehicles. Earning can add
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