India's Mahindra & Mahindra Financial slides as analysts flag weak Q1 core performance

Mahindra and Mahindra Financial Services

23/07/2025 07:42

** Shares of Mahindra and Mahindra Financial Services MMFS.NS fall as much as 3.2% to 257.05 rupees

** Non-bank lender gained 1% in the previous session on reporting higher profit in the June quarter

** CLSA notes that MMFS' June-quarter profit is largely dividend-driven, calling it a weak quarter marked by subdued disbursements across most segments except tractors

** Adds vehicle sales moderation weighs on asset under management (AUM) growth, further pressuring business momentum

** UBS and Morgan Stanley lower FY26 growth estimates, flagging persistent disbursement weakness, tepid demand in the passenger and commercial vehicle segments and elevated credit costs

** The average rating of 34 analysts tracking MMFS is  "hold"; the median price target is 288.97 rupees, according to data compiled by LSEG

** MMFS shares are up 3% in 2025 so far, mirroring the 3% rise in the mid-cap index .NIFMDCP100, exchange data shows

 (Reporting by Bharath Rajeswaran in Bengaluru)

 ((bharath.rajeswaran@thomsonreuters.com; +91 9769003463;))