Risk Reward Update

Research evidence excerpt

Risk Reward Update

UpdateM

RiskRisk RewardReward– Mahindra- Mahindra& Mahindra (MAHM.NS)& Mahindra (MAHM.NS)

Vision S launch, Shallow Tractor Down-cycle, and Attractive Valuation Keep us OW

PRICE TARGET Rs4,370.00 OVERWEIGHT THESIS

Base case, sum of the parts: ▪M&M's UV portfolio continues to show

Auto business (ICE + EV) - P/E: 26x Mar-28e EPS (in line with MSIL's 10-year median) strong traction, supported by its aspirational

Farm business - P/E: 22x Mar-28e EPS (in line with peer Escorts) positioning. Compact SUV Vision S launch in

Listed subsidiaries on current market cap and 20% holdco discount early 2027 will be the next volume driver.

premium portfolio is helping M&M Rs4,186.06 ▪The

pass on commodity price headwinds and

Consensus Price Target Distribution Rs3,745.00 Rs4,767.00 lead in price hikes among PVs. MS PT

farm business is holding up betterSource: Refinitiv, Morgan Stanley Research Mean Morgan Stanley Estimates ▪The

than we expected.

▪Assuming listed subsidiaries trade at a

20% holdco discount and the tractor

RISK REWARD CHART business commands 20x F28e P/E, the auto

business (ICE +E V) trades at an implied 18x

F28e P/E vs. 23x F28e for Maruti and 24x for INR

Rs5,214.00Rs5,214.00(+53.42%)Rs5,214.00(+53.42%)(+53.42%) HMI.

4800 Consensus Rating Distribution

Rs4,370.00Rs4,370.00(+28.59%)Rs4,370.00(+28.59%)(+28.59%)

97% Overweight

3600 Rs3,398.50Rs3,398.50Rs3,398.50 3% Equal-weight

0% Underweight

2400 Rs2,940.00Rs2,940.00(-13.49%)Rs2,940.00(-13.49%)(-13.49%) MS Rating

Source: Refinitiv, Morgan Stanley Research

Risk Reward Themes

Electric Vehicles: Positive

AUG '25 FEB '26 AUG '26 AUG '27 Self-help: Positive

View descriptions of Risk Rewards Themes here

Key: Historical Stock Performance Current Stock Price Price Target