Mahindra & Mahindra - Stellar quarter; Maintain Accumulate - Emkay

- M&M's Q4 operating performance was 13% above est. with a stellar show in both the Automotive and Tractor Segment

- EBIT margin for auto sector at 9.8% (+130 bps QoQ) and for tractor segment at 16.0% (+50 bps QoQ) surprised positively

- We expect that the softening in UV demand would be more than offset by positive traction seen in tractors recently

- Re-aligning of growth estimates towards the more profitable tractor segment leads to a marginal 2.5%/3.2% upgrade in FY14/FY15 EPS estimate

- We marginally raise our SOTP based TP to Rs 1,120 (Rs 1,100 earlier) and retain our ACCUMULATE rating.

Source : Equity Bulls

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