Mahindra & Mahindra’ (M&M) Q1FY17 results were below estimates on the topline & margin front but a beat on the bottomline front. Revenues came in at 11,041 crore (up 12.3% YoY, 2.6% QoQ) vs. our expectation of | 11,685 crore. Automotive revenues were at | 7826 crore (up 13.8% YoY, down 12.7% QoQ) vs. our expectation of | 6935 crore mainly due to higher than estimated ASPs. Farm equipment revenues at | 4118 crore (up 14.4% YoY, 49.2% QoQ) vs. our expectation of | 4564 crore due to lower-than-estimated ASPs. ICICI Securities Limited value the stock on a SOTP basis, valuing the core business at 9x EV/EBITDA FY18E to | 975 and subsidiaries at | 600 to arrive at an SOTP target price of | 1575. We have a BUY recommendation on the stock.