Mahindra & Mahindra hit a new 52-week low today at Rs.1095 and it continues to remain in the red.

The mood on the counter has turned negative as the monsoon has turned deficient. Till date, as per IMD, the deficiency is around 13% and this does not bode well for M&M’s tractor unit. As such its August sales number were not very assuring – its sales have showed a 22% (YoY) drop and 10.751 units. Things have only got worse for the sector and this is sure to have an impact on M&M’s Q2 performance. M&M has a market share of around 40 per cent in the domestic market.

Even its overall sales for August was not assuring – a marginal 1.3% rise.