Shares of Mahindra & Mahindra Financial Services Ltd recovered from their early cuts and turned positive in Thursday's trade. The stock shed 0.64 per cent to hit a day low of Rs 288.15 during the initial session. Later, it moved 2.85 per cent up from the said level to Rs 296.35.
Today's rebound in the share price came after Kotak Mahindra Life Insurance Company Ltd announced its corporate agency partnership with Mahindra Finance.
The partnership will benefit over 10 million customers of Mahindra Finance by offering a wide range of tailor-made life insurance solutions provided by Kotak Life, the companies stated in a joint release.
Mahesh Balasubramanian, MD at Kotak Life, said, "We are committed to the vision of 'Insurance for All,' as outlined by the IRDAI. Through our collaboration with Mahindra Finance, our aim is to extend our outreach to the untapped segments of the population. By leveraging Mahindra Finance's customer reach and our expertise in life insurance, we can now offer life insurance solutions and provide financial security to customers of Mahindra Finance."
Raul Rebello, Managing Director & CEO at Mahindra Finance, said, "We are delighted to enter into this strategic collaboration with Kotak Life to offer life insurance solutions to our customers. It is a significant step in our commitment to facilitate agile and efficient insurance solutions powered by personalised customer experience. Our aim is to help facilitate sustainable growth while delivering on our commitment towards being a responsible financial solution partner to Emerging India."
These offerings will be provided by Mahindra Finance through its extensive network of more than 1,400 branches spread across all states and UTs over a period of time, the joint release mentioned.
On technical setup, the counter was trading higher than the 5-day, 10-, 20-, 30-, 50-, 100-, 150-day and 200-day simple moving averages (SMAs). The counter's 14-day relative strength index (RSI) came at 67.06. A level below 30 is defined as oversold while a value above 70 is considered overbought.
The company's stock has a price-to-equity (P/E) ratio of 20.36 against a price-to-book (P/B) value of 1.97. Earnings per share (EPS) stood at 14.24 with a return on equity of 9.69.
As of March 2024, promoters held a 52.16 per cent stake in the company.