Brokerage firm Choice Institutional Equities has maintained a positive outlook on the Indian automobile sector following a resilient performance in the second quarter of FY26. The brokerage highlights that demand has strengthened meaningfully, driven by improving rural sentiment, a good monsoon, and a boost in consumption following GST rationalisation. Advertisement

Betting on this structural recovery, Choice has recommended buying top-tier automobile manufacturers, projecting an upside of up to 19 per cent for select stocks.

Leading the pack is Mahindra & Mahindra (M&M), with the brokerage maintaining a 'Buy' rating and a target price of Rs 4,450, implying an upside of nearly 19 per cent from the current levels. Choice notes that M&M's revenue outperformance is strategically driven by

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