India's M&M Financial set for worst day in 2 months on weak Q2 loans data

Mahindra and Mahindra Financial Services

04/10/2024 08:19

(Adds Nomura comments)
    ** Mahindra & Mahindra Financial Services  MMFS.NS  slides
over 4%, set for biggest one-day loss since Aug. 5
    ** Non-banking lender's Q2 disbursements declined 1% YoY
    ** Nomura says will be challenging for MMFS to meet its soft
guidance of FY25 disbursement growth in low-teen pct
    ** Nomura estimates Q2 was also challenging in growth/asset
quality terms and sees single-digit/low double-digit RoE
    ** Maintains "reduce" rating at TP 280 rupees vs current
price of 308.7 rupees
    ** Analysts avg rating is "hold" and median PT is 310 rupees
- LSEG data
    ** Stock has gained 11% YTD vs 18% rise in peer LIC Housing
Finance  LICH.NS 

 (Reporting by Aleef Jahan in Bengaluru)
 ((aleefjahan.cs@thomsonreuters.com))