Nomura Upgrades MMFS to 'Buy', Sees Nearly 20% Stock Rise

• Nomura upgraded Mahindra & Mahindra Financial Services (MMFS) stock to 'Buy' with a target price of ₹440, indicating a potential rise of nearly 20%.
• MMFS shares rose around 6% to ₹367.75 after the upgrade.
• The company is diversifying its asset mix beyond traditional vehicle financing, expanding into segments like SME and personal loans.
• MMFS aims for 18-20% annual loan book growth over the next five years and targets improved ROA/ROE.
• Nomura highlighted a leadership refresh at MMFS, bringing wider experience and capability to the management team.

Why It Matters: Nomura's upgrade suggests MMFS stock could rise 20%, indicating investment potential.