Stock market analyst Gaurang Shah of Geojit BNP Paribas has maintained 'buy' rating on Mahindra & Mahindra Ltd stock with long term target of Rs 740.

According to analyst, the investors can buy the stock at Rs 620-625.

The analyst also said that the investors can achieve the said target in 3-6 month period.

Today, the stock of the company opened at Rs 645 on the Bombay Stock Exchange (BSE).

The share price has seen a 52-week high of Rs 655.70 and a low of Rs 373 on BSE.

Current EPS & P/E ratio stood at 34.52 and 18.94 respectively.

Mahindra and Mahindra (M&M) witnessed a growth of 40.3% in its net profit during three month period of this fiscal.

The company posted a net profit of Rs 562.4 crore as compared to Rs 400.9 crore in the same period of 2009-10.

The gross proceeds and other income of the auto major climbed 20.2 at Rs 5,663.5 crore in the Apr-Jun period as compared to Rs 4,711.8 crore in the corresponding period of 2009.

The company saw an increase of 11% growth in its volume sales in UV sector.

In addition, the company exported 3,125 vehicles during the period under review as compared to 1,145 vehicles exported in 2009's first quarter.

The company said that it will make an investment of Rs 8,600 crore by 2014 for a range of purposes, after registering a healthy 40.30% increase in its net profit for the last quarter.