M&M Gains 2% after Motilal Oswal See 22% Upside as Best Bet On Rural Markets
The shares of leading automobile manufacturer, Mahindra & Mahindra rallied more than 2 percent. The shares rallied when the research house Motilal Oswal has maintained buy rating on the stock with a target price of Rs 889. It also implied 22 percent upside. Motilal Oswal believes that the M&M is the best play on the rural markets.
According to various other technical analysts M&M would be one of the biggest beneficiaries of rural market recovery. This is because both of its core businesses are heavily dependent on rural markets.
The technical analysts also estimated that around 70 percent of MM’s profit can be attributed to rural markets. Today, it was observed that the Mahindra and Mahindra is clearly showing some signs of breakout. Hence, you are recommended to keep a stop loss below Rs 740-738. It is suggested to consider the targets around Rs 780.