Mahindra & Mahindra will launch the CNG version of the XUV 3XO compact SUV on October 15, marking its entry into factory-fitted CNG after so far offering petrol, diesel and electric SUV powertrains.

Mahindra & Mahindra Limited was named by Nomura as one of its preferred Buy-rated OEM picks on the rising electric-vehicle penetration theme, with Nomura expecting automakers with higher EV exposure and competitive products to outperform in H2 FY27 and FY28.

Mahindra & Mahindra has started commercial production and supply of its MaxSeeder precision zero-till, multi-crop seeding machine, manufactured under licence from Canada's Clean Seed Technologies, with initial rollout in Punjab and Haryana to enable sowing into paddy residue without stubble burning.

HSBC retained a Buy on Mahindra & Mahindra Limited with an unchanged sum-of-the-parts target of Rs 4,200, implying 47.1% upside and comprising Rs 3,626 for the core business plus Rs 594 for subsidiaries. HSBC expects auto volume up 27.1% but EBITDA down 3.3% in the September quarter, and flags tractor volume down 5.6% on weak monsoon and a diesel-ban risk.

Mahindra & Mahindra said its production fell 19.2% year-on-year in the September quarter in its business update.

Mahindra & Mahindra Ltd agreed to sell a 51% equity stake in its step-down wholly owned subsidiary Novavaayu Aerospace Ltd to Brazil-based Embraer SA for approximately Rs 5,100 crore, with completion expected on or before December 1, 2026, after which Novavaayu Aerospace will become an associate of Mahindra Defence Systems Ltd.

Mahindra & Mahindra Limited is expected to unveil a new XUV 3XO variant on 15 October, reportedly a factory-fitted CNG version, though the company has not confirmed the powertrain, specifications, pricing or positioning. The CNG version is expected to be based on the 1.2-litre turbo-petrol MPFI engine that delivers 111 hp and 200 Nm, with a possible manual gearbox, and would expand the existing petrol, diesel and EV options.

Nomura maintained Mahindra & Mahindra as its top pick in passenger vehicles and expects its Auto EBIT, including BEV and ICE, to grow 32% year-on-year in 2QFY27 despite industry-wide commodity cost pressure.

Motilal Oswal is bullish on Mahindra & Mahindra Limited, picking the automaker on structural growth trends, recovering discretionary demand and expanding product portfolios amid a forecast of 27% Nifty profit growth.

Bernstein prefers Mahindra & Mahindra Limited as the cleaner volume-growth exposure in a slowing passenger-vehicle market, citing its strong SUV franchise, operating exit capacity of 82,000 SUVs per month including EVs, and scope for further share gains to outgrow a flat market.