Overview
Mahindra group is one of the top corporate groups in the country. They have presence in diverse sectors ranging from Automobiles to IT. There are many listed and unlisted entities from this corporate house but we will only focus on the listed ones.
It will help you find the company list easily and you can then perform your analysis on individual companies.I have analyzed other famous corporate groups of India that you may be interested in like Tata group, HDFC group and Bajaj group.
Mahindra group company performance
Mahindra Vehicles are very popular in Rural India. Though the vehicle or Automobile part of Mahindra Group is very popular there are other companies as well. These other companies have less lime light then the main company which is Auto company.
Identifying Good companies under transparent and efficient Management is first step towards Multi Bagger identification. So it is good to find out companies from reputed group of companies lingering at low valuation and ready to grow in future.
.Below are the companies from this group along with their performance. I have taken performance over last 2 decades and if the company is new then price performance from listing date is considered. This will give you bird eye view of the company performance over the years.
| Company | Return % |
|---|---|
| Mahindra & Mahindra | 8,429% |
| Tech Mahindra | 859% |
| M&M Financials | 911% |
| Mahindra Logistics | -8% |
| Mahindra holiday and resorts | 162% |
| Mahindra life space developers | 14532% |
| Swaraj Engines | 1,352% |
| Mahindra EPC irrigation | -3% |
If you observe above there are some winners as well as losers. Some companies have given excellent returns over the years but some companies have not given any returns or have given negative returns .The flagship company of the group has given second best return which is very astonishing fact.
Mahindra group company market cap
Above you have seen returns investors have made in the companies from this group. Now it is time to see market capitalization of companies which are listed on stock exchanges from this group. I have categorized the companies in Large Cap, Mid Cap, Small Cap and Micro cap. So you can easily filter out the companies based on the market capitalization of the group.
| Company | Marketcap |
|---|---|
| Mahindra & Mahindra | Largecap |
| Tech Mahindra | Largecap |
| M&M Financials | Midcap |
| Mahindra Logistics | Smallcap |
| Mahindra holiday and resorts | Midcap |
| Mahindra life space developers | Midcap |
| Swaraj Engines | Smallcap |
| Mahindra EPC irrigation | Microcap |
Mahindra group has two companies in Nifty 50 those are Mahindra and Mahindra and Tech Mahindra. Apart from these two largecap companies it has couple of Midcap companies and Small cap companies as well. It also has one Micro cap company which works in Agriculture (Irrigation).
The other corporate groups which has more than three or three companies in Nifty50 are listed below
Mahindra Group of Companies details
Below is the list of companies from this corporate group. The companies are mentioned not in any particular order. You can get idea about sector they operate in below as well. I have discussed each company in details later in this article.
- Mahindra and Mahindra – Automobile
- Tech Mahindra – IT
- M&M financials – NBFC
- Mahindra Logistics – Logistics
- Mahindra holiday and resorts – Hotels
- Mahindra life space developers – Real Estate
- Swaraj Engines – Tractors
- Mahindra EPC irrigation – Agriculture
Mahindra & Mahindra
Mahindra and Mahindra is part of Nifty50. It is the flagship company of Mahindra group. It is mainly in business of Four wheeler vehicles and Tractors. The craze of Mahindra brands like Scorpio and Bolero mainly in the Rural areas are astonishing. It is associated with certain class of influential people. Thar is yet another highlight vehicle from the company.
The products from this company can be divided into following segments
- SUV
- This segment of Mahindra has biggest brand recognition mainly in the Rural India.
- It is the first major segment from company which got wide spread recognization
- The brands from this segment are popular ones like Scorpio, Thar, Bolero and Marazzo
- Electric SUV
- With the advent of Electric vehicles Mahindra is also launching the SUV in this category.
- It is new category from the company and first vehicle under this is XUV 400.
- Electric Hyper car
- This is luxury or premium segment electric vehicles targeted at high net worth individuals
- This is focused area from the company launching multiple vehicles in this segment
- The brands are BATTISTA, B95, Nino Farina and Pura vision.
- Last mile mobility
- Under this segment company has entered 3W passenger, 3W commercial and 4W commercial.
- It has electric, diesel and CNG all three variants.
- Pickup trucks
- This is yet another commercial vehicle section from the company aiming at mid commercial vehicle segment
- It has launched products under Bolero Maxx brands in many variants
- Mainly aiming at intercity deliveries like Mineral water, FMCG products etc
- Large commercial vehicles
- The large commercial vehicles segment is aimed at heavy trucks which is dominated by TATA and Ashok leyland.
- It also has buses under this segment. So public transport segment is also catered which is new to house of Mahindra.
- 2 wheeler (Bikes)
- This is not so popular business vertical for the company.
- It is high end bikes above 250 cc.
- The brands in this segment are JAWA, Perak and 42.
- Tractors
- Tractors are yet another popular and old segment of the company
- It is one of the largest tractor manufacturer in India.
- The popular brands are Yuva, Urja
M&M as it is popularly known as in short has many key characteristics like
- One of the largest four wheeler companies in India
- Only four wheeler major company which is present in the Tractors as well
- Only four wheeler company which is venturing into 3 wheeler and 2 wheeler as well
- The most wide range of products in India for an automobile company covering Personal as well as commercial vehicle along with 2 wheeler, 3 wheeler and 4 wheeler categories.
- It is also moving into electric vehicle segment based on the latest trend.
Automobile is key sector for any economy. It is undergoing changes in recent times with introduction of electric vehicles be it four wheeler or two wheeler along with hydrogen powered vehicle. So the sector is undergoing lot of changes and challenges which company is addressing quickly in the recent times.
The company has given good returns to investors over the years. Investors can think of this stock as automobile company present in all the verticals. Along with that it is mother company of other listed Mahindra group of stocks. This makes it a holding company as well. So you can view it as holding company with unique and dominant business of its own.
Tech Mahindra
Tech Mahindra is yet another company from Mahindra group which is part of Nifty 50. It is one of the largest IT companies in India. If you remember the Satyam fiasco then you can easily recall that Tech Mahindra is the company which bought Satyam computers and became one of the top ten IT companies in India. Some key points about the company are
- 50+ delivery centers in 15 countries
- Human work force of approx. 80,000
Below are the key industries and technology verticals the company operates in
- Industries
- Communications, Media & Entertainment, Manufacturing, Banking Financial Services and Insurance, Healthcare Life Sciences, Retail and Consumer Goods, Energy and Utilities, Hi-TechTravel, Transportation, Hospitality and Logistics, Public Sector and Government, Professional Services, Oil and Gas, Private Equity.
- Technical services
- Infrastructure and Cloud Services , Experience Design Services, Business Process Services, Network Services\, Testing Services, Business Excellence Services, Integrated Engineering Solutions, Performance Engineering, Telecom Product Engineering, SAP , Oracle, Enterprise Of Future, Data Analytics, Artificial Intelligence, Generative AI, Cyber Security, Customer Experience, Digital Supply Chain and Intelligent Automation
- Future approach
- The company is taking advantage of next gen technology areas like Artificial intelligence and Generative Artificial intelligence. Major technology focus area for the company are listed below
- Cloud
- Data Analytics
- 5G
- AI
- Blockchain
- Cyber Security
The company is planning to have merger and acquisition route to strengthen its business position and technological offering among peers. It is also leveraging the same to increase geographical presence in new areas and proper future growth. The company has given good returns over the years due to IT industry overall growth and new drivers for the future growth.
In past the company has strong reliance on the Telecom sector for the growth as major customers were from the telecom sector but over the years it has diversified itself to new verticals which gives excellent returns to share holders as well.
M&M Financials
M&M financials is non banking financial company (NBFC) of the group. The company has major presence in Four wheeler and Tractor finance primarily targeting the rural market. It also has presence in the Urban landscape but Rural segment is major contributor to the company growth and it is also tied with Rural sector growth.
So if you want a company operating in Rural sector growth story then this is one of the company which you should keep an eye on. The products from this company are similar to other NBFC but the wide presence of Mahindra outlets and brand recognition is key to growth of this company. Recently the company got license to distribute the insurance products as well. The offerings from the company can be divided into three groups
- Loans
- Vehicle loans
- Home loan
- Personal loan
- SME Loan
- Business loan
- Loan against property
- Machinery loans
- Investments
- Fixed deposits
- Mutual funds
- Insurance
- Personal insurance
- Reinsurance
- Commercial lines insurance
It is one of the largest companies in terms of Market Capitalization from the NBFC space. The company has good digital approach for booking Fixed deposits. Once I used their website to book the FD myself and it was simple seamless experience which led me analyze it in details as companies with good experience always tend to have upper hand over other companies.
Mahindra Logistics
There is not many companies in Logistics sector from top corporate groups of the company. Logistics is one very nascent sector to say the least based on the market capitalization of the companies from this sector barring the Government entities like Concor. In the private sector space Mahindra Logistics is one of the ace company from the sector and is also one of the largest one based on market cap.
The company offers below logistics solutions to cater need of the Enterprise
- Logistics solution
- Contract logistics
- Cross border logistics
- B2B express
- Last mile delivery
- Mobility solutions
- Insights
Below are the list of industries which are catered by the company.
- Automobile and Auto components
- Engineering
- Consumer Goods
- Pharmaceutical
- eCommerce and D2C
- Telecom
Automobile and Auto parts are the main business of Mahindra. The company was envisioned to help Mahindra group solve logistics related issues with flagship group company. The solution was then expanded to other companies giving birth to Mahindra Logistics. So the company has business from both in house parent company as well as other companies. It is also eyeing the IT sector as well for solutions. Company has come up with innovative solutions for this space as well
- Logione
- Catapult
- Techathon
As I mentioned above the company is operating in nascent sector with lot of players operating in this space. It is often touted as sector which will see increased traction in near future.
Mahindra holiday and resorts
Mahindra holidays and resorts is hospitality sector company. The flagship brand from the company is Club Mahindra which is membership tours and travels scheme. You can become the member of it with fixed amount and you get the stays and tour planning on their behalf. As of this writing it has more than 3 Lakhs members enrolled under their scheme.
It is currently one of the top ten companies in the world based on membership counts. The growing interest in the travel and tourism sector of our country due to increase in spending power is good signs for companies in this sector. They plan your holidays and take care of your stays. This seamless experience is very much appreciated by people who are not into planning their holidays and want someone to take care of the things and they focus more on enjoying the holidays.
They do have prime properties in many popular vacation locations both in India and abroad. This is yet another revenue stream for the company. So if you are interested in joining the wagon of tourism and feel that this space will grow in future then this is one company you need to keep on your radar. It is from good corporate house and is in business which is still in early stages.
Mahindra life space developers
It is the Real Estate and Infrastructure development arm of the Group. The company is present in
- 9 cities of the country
- Have close to 49 residential projects as of this writing
- 20.58 million square feet completed residential development
- 14.48 million square feet ongoing and forthcoming residential development
The projects from the company can be divided into three parts as mentioned below
- Residential
- Major cities the company has presence are Mumbai, Chennai, Pune, Alibaug and Bengaluru.
- Focus on mid premium segment under the brand Mahindra Happinest
- Integrated cities
- Mahindra world city in Chennai and Jaipur
- Industrial hubs on growth clusters
- Having presence of more than 150+ companies in these clusters
- Industrial cluster
- Origins by Mahindra in Chennai and Ahmedabad
- The one in Chennai is developed in collaboration with Sumitomo Japan
- These clusters majorly focus on the manufacturing companies
So the company is present in the residential, commercial and industrial projects. The number of cities company is present is less compared to other major developers like DLF but given the brand of Mahindra it is just matter of time they expand to other cities. For now the company focus on the Western part of the country and Southern part of the company majorly for residential projects.
Swaraj Engine
Swaraj Engine is tractor segment of the Company. Mahindra has two tractor brands one Mahindra itself and other is Swaraj. The Swaraj brand of tractors are powered by Swaraj engines. As per the website of the company it has
- Sold over 16 Lakh Engines
- Has approx. 1,500 employees
- Apart from Tractor engines it also manufactures Diesel engines
- It has own tractor brand as well which is well received
It has given good returns to investors. The unique point about the company is from investor point of view is High dividend yield in last few years which has been consistent. The business of the company is simple which is to focus on Engine creation. It will be interesting to see if the company forays into other business verticals for future growth. The company is small in size as of this writing and has headroom for growth.
Mahindra EPC irrigation
Mahindra EPC Irrigation features Agriculture arm of the group mainly aimed at products or services like Customized Micro Irrigation Systems, Pumps, Irrigation Automation, Community Irrigation Projects, Water Conveyance, Protected Cultivation Solutions and value added services such as Agronomy Advisory, Farm Productivity Improvement support and Design services.
The products from the company can be categorized as below
- Drip irrigation
- Sprinkler irrigation
- Automation services related to Irrigation
- HDPE coil and pipes
- Protected cultivation educating farmers about modern technologies in Agriculture and company offerings
- Mulch sheets
The company also offers technical services to farmers about the new generation technologies and methods which can help increasing the yield of the farmers. The services include fields like crop advisory and other technical services.
This is the smallest listed company from the group operating in very niche category which is still in nascent stages in India. The growth of the company as of now depends on the adoption of modern irrigation system brought by the company along with any new revenue front the company may come up with time.
Conclusion
Mahindra group is one of the prestigious corporate group of the company. It has presence in most of the business verticals. The group has mixture of large cap companies with mid cap companies and small cap companies. There are micro cap companies also.
So if the investors are looking for companies with good corporate governance and coming from the top corporate house of the company then this group is one of the groups to look into. More so because some of the sectors in which it is present other top groups are not present. This will help you create your own watch list and invest. You can get list of all groups in my article on Creating watch List.