Mahindra and Mahindra falls on Kotak downgrade

Reuters Market Eye - Mahindra and Mahindra Ltd shares fell 1.7 percent during trade on Tuesday.

Kotak Institutional Equities cut the automaker to "reduce" from "add," lowering the target price to 1,310 rupees from 1,404 rupees. It cited valuations as the key reason for the downgrade.Kotak Institutional Equities said Mahindra and Mahindra lost 13 percent market share in the utility vehicle segment over the past two years, describing that as a "significant loss".Kotak says further re-rating of the stock would depend on curtailing subsidiary losses, improving consolidated returns on capital employed.

(Reporting by Dipika Lalwani)