Mahindra Logistics Limited (MLL) has been given a "BUY" rating by Sharekhan, with a revised price target of Rs. 560.

The company's consolidated revenue has remained strong due to solid growth in its standalone operations and a significant recovery in freight forwarding activities. However, the company has faced challenges with lower operating profit margins in its standalone business and losses in the express segment, which have affected consolidated operating and net profit figures.

Despite these obstacles, Mahindra Logistics is committed to revitalizing its express business, although weak demand and intense competition may make it difficult to achieve EBITDA breakeven by the fourth quarter of FY2025. The company's order intake has remained strong, with Rs. 200 crore annualized in Q2, following a momentum of Rs. 210 crore annualized in Q1. The outlook is cautiously optimistic as the company continues to pursue its growth trajectory.