Rural recovery powering growth for Mahindra's tractor, UV business

M&M has gained market share in tractors and is expected to benefit from the upcoming launches in the utility vehicle space, as well as electric vehicle initiatives

The stock of Mahindra & Mahindra (M&M) has gained nearly 10 per cent over the past three weeks and in the process touched its all-time high, on expectations of strong volume growth, given its rural-heavy portfolio. Almost 56 per cent of the company's standalone revenues and 72 per cent of its profits come from the rural market. The company, which has gained market share in tractors, is expected to benefit from the upcoming launches in the utility vehicle (UV) space, as well as electric vehicle initiatives.

Tractors growing rapidly

The biggest trigger for the company will come from its tractor portfolio, which