Tractors market share declined 39.1% in 1QFY21 (v/s 41.2% in FY20) due to supply side Current demand is 50-60% of normal; however, a clearer picture would emerge over the next 3-4 months. However, MM's SUVs business is severely challenged, and we do not see any respite for the company in this category in The Tractors segment has been seeing volume recovery since Dec19, driven by improvement in farm-level indicators such as output prices, lower input prices, higher government spend in rural areas, and unusually strong water reservoir levels. We upgrade FY21/FY22E EPS by 9%/3% to reflect the volume upgrade in tractors and UVs, as well as the improving mix MM's recent outperformance, valuations are still at a substantial discount to its five-year average (which captures both pain points of deterioration in the UV market share and the subsidiaries' performance).