Mahindra and Mahindra (M&M) shares experienced a notable uptick following the release of their robust financial results for the January to March quarter. On May 5, 2025, the Indian automotive giant saw its stock price increase by approximately 3%, reflecting strong double-digit growth in both revenue and profits. With a consolidated net profit of ₹3,542 crore, M&M marked a 13% increase from ₹3,125 crore in the same quarter of the previous fiscal year.

Impressive Revenue Growth

M&M’s performance in the last quarter has been commendable, highlighted by a 20% rise in revenue from core operations, which reached ₹42,586 crore compared to ₹35,373 crore a year earlier. The company also declared a 506% dividend payout, amounting to ₹25.3 per equity share, rewarding its shareholders significantly. The record date for this dividend is set for July 4, 2025.

• Consolidated Net Profit: ₹3,542 crore (up 13%)
• Revenue from Core Operations: ₹42,586 crore (up 20%)
• Dividend Payout: ₹25.3 per share

Stock Performance Insights

In Monday’s trading, M&M shares closed at ₹3,021.40, a 3.11% increase from the previous close of ₹2,930.35. During the session, shares peaked at ₹3,043.65, showcasing investor confidence. Over the past five years, M&M has delivered an impressive 680% return to its investors, with a 35.81% increase in the last year, despite a slight 1.92% dip year-to-date in 2025.

Analyst Perspectives

Should investors consider adding M&M shares to their portfolios after these results? Seema Srivastava, a Senior Research Analyst at SMC Global Securities, believes the company’s strong growth trajectory is supported by effective execution strategies and prudent capital allocation. She noted that M&M’s consolidated revenue for the fiscal year FY25 grew by 14%, reaching ₹1,59,211 crore, while profit after tax (PAT) surged by 20% to ₹12,929 crore. The return on equity (ROE) improved to 18.1%, indicating effective capital utilization.

Future Projections

Anshul Jain, Head of Research at Lakshmishree Investments, predicts that M&M’s stock could continue to rise, aiming for a target price of ₹3,222. He pointed out that the stock is currently trading near the midpoint of a defined range, suggesting a bullish outlook based on supportive trading volume and accumulation patterns.

• Target Price: ₹3,222
• Current Trading Range: 2,669 to 3,222

With its strong market position in core segments and growing presence in the electric vehicle (EV) sector, M&M is well-positioned for sustained growth and value creation. Investors may want to keep a close watch on this stock as the company navigates the evolving automotive landscape.