Mahindra & Mahindra races past Tata Motors in market cap | The Financial Express

Mahindra & Mahindra races past Tata Motors in market cap

M&M’s market cap, by the close of trading on September 8, on the BSE, stood at Rs 1.64 trillion. The combined market cap of Tata Motors and Tata Motors DVR at the end of the same day stood at Rs 1.58 trillion.

Mahindra & Mahindra races past Tata Motors in market cap

By Swaraj Baggonkar

SUV and tractor specialist Mahindra & Mahindra (M&M) has overtaken rival Tata Motors in market capitalisation (market cap), becoming India’s second most valuable automobile company, behind Maruti Suzuki.

M&M’s market cap, by the close of trading on September 8, on the BSE, stood at Rs 1.64 trillion. The combined market cap of Tata Motors and Tata Motors DVR at the end of the same day stood at Rs 1.58 trillion.

Maruti Suzuki has a significant lead over the two Mumbai-based automakers, with a market cap of Rs 2.65 trillion.

While the Tata Motors stock closed 0.8% down on the BSE on September 8, the M&M stock hit a 52-week high at Rs 1331.25 before closing 2.48% up at Rs 1321.25 compared to September 7 closing on the BSE.

Also Read: Mahindra XUV400 Electric SUV India debut LIVE Updates: Check price, specs, features & more

The Anand Mahindra-led company unveiled its first all-electric SUV, the XUV400, today which has a claimed drive range of 456 km, much higher than its closest rival, the Tata Nexon EV. Prices of the new M&M e-SUV will be disclosed in January along with the commencement of bookings and deliveries.

In addition, M&M’s growth in wholesale domestic sales of passenger vehicles was better than Tata Motors’ compared to the corresponding month last year. M&M witnessed a growth of 87% in sales during August to 29,852 units while Tata Motors’ volumes grew by 68% to 47,166 units during the same month.

Tata Motors has retained its lead over M&M in the passenger vehicle ranking in the domestic market in the third spot behind Maruti Suzuki and Hyundai. M&M is in the fourth spot in the ranking. Tata Motor is the largest commercial vehicle maker while M&M climbed to the second spot overtaking Ashok Leyland a few years ago.

Both Tata Motors and M&M have lined up multiple investments toward vehicle electrification programs, adopting similar strategies. Both companies are seeking investments in the new subsidiaries created for electric vehicles.

Get live Share Market updates and latest India News and business news on Financial Express. Download Financial Express App for latest business news.