M&M vs MARUTI
Side-by-side comparison of Mahindra & Mahindra Ltd. and Maruti Suzuki India Ltd.. Descriptive only — not investment advice.
Mahindra & Mahindra Ltd.
Auto
Quality Score: 61/100
Maruti Suzuki India Ltd.
Auto
Quality Score: 61/100
At a glance
| Metric | M&M | MARUTI |
|---|---|---|
| Quality Score | 61/100 | 61/100 |
| P/E (trailing) | 21.9 | 29.4 |
| Forward P/E | 20.7 | 22.0 |
| ROE | +18.8% | +14.4% |
| Profit margin | +8.5% | +8.0% |
| Debt-to-equity | 125.07 | 0.10 |
| Dividend yield | +0.99% | +1.02% |
| 1Y price return | +9.4% | +10.3% |
| From 52w high | -13.3% | -21.0% |
| Analyst rating1 = Strong Buy, 5 = Strong Sell | 1.29 | 1.55 |
Highlighted value = better on the metric (lower for P/E, D/E, drawdown, analyst rating; higher elsewhere). Descriptive only.
Snapshots
Mahindra & Mahindra (M&M) is an Auto sector large-cap trading at ₹3,330, carrying a trailing PE of 21.9 — the lowest among its 6-peer group (peer range: 27.8–40.7). Q4 FY26 net profit grew 42% YoY to ₹4,668 crore and the 5-year earnings CAGR stands at 44.8%, yet the stock sits 3.2% below its 200-day moving average and 13.3% off its 52-week high.
Maruti Suzuki (MARUTI) trades at Rs 13,726, holding a 42% domestic passenger vehicle market share and posting record April 2026 monthly sales of 2.39 lakh units. The trailing PE stands at 29.4 (forward PE 21.9) with a debt-to-equity of 0.096 and a falling debt trend. Despite strong top-line momentum, 5-year earnings growth is -6.4%, the stock is 7.5% below its 200-DMA, and the quality score of 31 ranks last among 6 Auto sector peers.
Pros
- ✓Lowest PE in the peer group at 21.9 against a peer range of 27.8 to 40.7, with a forward PE of 20.7.
- ✓Q4 FY26 net profit growth of 42% YoY (₹4,668 crore) and a 5-year earnings CAGR of 44.8% reflect sustained bottom-line expansion.
- ✓ROE of 18.75% ranks 2nd of 6 peers in the Auto sector, above Maruti Suzuki (14.4%) and ahead of peers with null ROE disclosures.
- ✓5-year revenue CAGR of 30.9% alongside the earnings growth rate indicates operating leverage has been meaningful over the medium term.
- ✓Debt-to-equity of 0.096 with a falling debt trend signals a near-debt-free balance sheet relative to sector peers, reducing solvency and interest-rate sensitivity.
- ✓FCF was positive in 4 of the last 5 years, indicating the business has consistently converted operating earnings into cash despite the capital-intensive auto manufacturing cycle.
- ✓42% domestic passenger vehicle market share as of April 2026, with April 2026 marking the highest-ever monthly sales volume at 2.39 lakh units and FY26 marking the highest-ever annual production at 2.34 million units.
- ✓Forward PE of 21.9 versus trailing PE of 29.4 implies the market is pricing in meaningful earnings recovery; 40 analysts cover the stock with a mean rating of 1.55 on a 1 to 5 scale (lower = more constructive).
Cons
- ✗Consolidated debt-to-equity of 125.07 is at a level more typical of financial services entities; the elevated figure reflects M&M Financial and other lending subsidiaries but inflates leverage optics for the Auto business assessment.
- ✗Free cash flow has been positive in only 1 of the available persistence years, with debt classified as trending upward — a pattern that limits capital return optionality and raises reinvestment-intensity questions.
- ✗Price has underperformed its own 200-DMA (₹3,330 vs ₹3,439) despite strong earnings; 12-month price change of +9.4% trails the earnings growth rate materially, suggesting multiple compression.
- ✗Quality score of 52 ranks 3rd of 6 in the peer group, below Eicher Motors (60) and Bajaj Auto (55), indicating M&M is mid-pack on composite quality despite its earnings momentum.
- ✗5-year earnings growth of -6.4% against 28.2% revenue growth points to sustained margin compression; scale has not driven profit expansion over this period.
- ✗Quality score of 31 places MARUTI 6th (last) among 6 Auto peers; Bajaj Auto (55), Eicher Motors (60), and M&M (52) all score materially higher on the composite quality metric.
- ✗ROE of 14.43% with only 2 of 5 years above 15% indicates return on equity has been inconsistent and below what peers such as Bajaj Auto (ROE 28.05%) and M&M (ROE 18.75%) have delivered.
- ✗Current price of Rs 13,726 is 7.5% below the 200-DMA of Rs 14,834 and 21% below the 52-week high, with a 3-month decline of 8.9% pointing to sustained selling pressure despite record operational metrics.
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For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Comparison reflects current public data; consult a registered adviser before any investment decision.