Prabhudas Lilladher research has maintained outperformer rating on Mahindra and Mahindra with target price of Rs 720, in its May 29, 2008 report. "The company is slated to launch five new products over the next 2-3 years. While rising raw material costs continue to be a concern, it is confident of maintaining double digit margins going forward. On sum-of-parts valuation, the stock trades at 4.2x FY10E core EPS of Rs 47.0, excluding Rs 408 a share as the sum-of-its-parts. While the core business is expected to take a couple of years to generate steady returns, we believe these are attractive levels to invest in a long-term (12–18 months) growth story. Maintain Outperformer" according to Prabhudas Lilladher report.  

Disclaimer: The views and investment tips expressed by investment experts on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

For further details click on attachment......