APRESENTATION

ON“FUNDAMENTAL ANALYSIS OF

MAHINDRA&MAHINDRA”

GUIDED BY:PROF. GAYATRI MAM

PRESENTED BY:CHETAN GABANI ROLL NO:07 TANVIR KHALIFA ROLL NO:08

Concept of Fundamental Analysis It is the examination of various factors

such as earnings of the company, growth rate and risk exposure that affects the value of shares of a company. Fundamental Analysis is an attempt to analyze various fundamental or basic factors that affect the risk-return of securities.

Fundamental analysis consists of: Economic Analysis Industry Analysis Company Analysis

Economic Analysis

It is the analysis of various macro economic factors that have a significant bearing on the stock market.

The level of economic activity has a direct bearing on the investment in many ways. If the economy grows rapidly, the industries also grow and hence the investment and vice-versa.

Macro Economic Factors

The various macro economic factors are: Gross Domestic Product (GDP) Savings and investment Inflation Interest rates Budget Tax structure The balance of payment Monsoon and agriculture Infrastructure facilities Demographic factors

Indian economy is likely to grow between 6.1% to 6.7%  in 2013-14 as

the downturn is more or less over and the economy is looking up.

Following the slowdown induced by the global financial crisis in 2008-09,

the Indian economy responded strongly to fiscal and monetary stimulus

and achieved a growth rate of 8.6 per cent and 9.3 per cent respectively

in 2009-10 and 2010-11, but due to a combination of both external and

domestic factors, the economy decelerated growing at 6.2% and an

estimated 5% in 2011-12 and 2012-13 respectively. The Economic

Survey 2012-13, presented by the Finance Minister Shri P. Chidambaram

in the Lok Sabha predicts that the global economy is also likely to

recover in 2013 and various government measures will help in improving

the Indian economy’s outlook for 2013-14.

GDP growth rate of INDIA Inflation rate of INDIA

Industry Analysis

Industry growth in various segments

The Indian automobile industry produced a total 1.69 million vehicles

including passenger vehicles, commercial vehicles, three wheelers and

two wheelers in August 2013 as against 1.56 million in August 2012,

registering a growth of 8.18 percent over the same month last year.

Types of Vehicles %

Passenger Cars 17

Utility Vehicles 23

Light Commercial Vehicles

12

Heavy and Multi Commercial

23

3 Wheeles 08

Automobile Industry

Manufacturer Name Market Shares (%)Maruti Suzuki 40%

Hyundai Motors 14%

Tata Motors 13%

Mahindra & Mahindra 8%

Toyota 6%

Honda Siel cars 4%

Ford 3.30%

Volkswagen India 3%

Nissan <2%

Skoda <2%

Rest of the manufacturers 5%

About the Company

Mahindra & Mahindra Limited (M&M) is an Indian 

multinational automobile manufacturing corporation

headquartered in the Mahindra Towers in Mumbai. It is one

of the largest vehicle manufacturers by production in the 

Republic of India. It is a part of Mahindra Group, an Indian 

conglomerate. The company was founded in 1945 in 

Ludhiana as Mahindra & Mohammed by brothers K.C.

Mahindra and J.C. Mahindra and Malik Ghulam Mohammed. 

After India gained independence and Pakistan was formed,

Mohammed emigrated to Pakistan. The company changed

its name to Mahindra & Mahindra in 1948.

Key Persons

Name of Person Position

Keshub Mahindra  Chairman Emeritus

Anand G Mahindra Chairman and M.D.

Deepak S Parekh Director

Nadir B Godrej Director

Company Analysis

Market Cap (Rs Cr.) 58,174

EPS - TTM (Rs): 57.84

P/E Ratio (x): 16.33

Face Value (Rs): 05

Latest Div. (%): 260

Div. Yield (%): 1.37

Book Value / sh. (Rs) : 238.22

P/B Ratio (x): 3.97

SWOT Analysis

THANK YOU…..