Auto Stocks in News: Mahindra & Mahindra's stock fell almost 7 percent on Wednesday following the company's decision to lower the prices of its SUV models in an effort to increase sales.

The shares dropped by 6.62 percent, ending at Rs 2,732.10 on the BSE. During the day, the stock hit a low of Rs 2,697.80, a decline of 7.79 percent. On the NSE, the stock fell 6.68 percent to close at Rs 2,729.90. This resulted in a market valuation loss of Rs 24,087.15 crore, bringing the company's total market value to Rs 3,39,744.51 crore. Mahindra & Mahindra was the worst performer among BSE Sensex and NSE Nifty companies.

Tata Motors also saw a decline in its shares, dropping 0.92 percent to Rs 1,005.45 on the BSE after reducing prices of its SUV models. Mahindra & Mahindra announced that its XUV700's fully-loaded AX7 variant now starts at Rs 19.49 lakh, a reduction of over Rs 2 lakh. Tata Motors revised the starting prices of its Harrier (Rs 14.99 lakh) and Safari (Rs 15.49 lakh) SUVs, and offered benefits of up to Rs 1.4 lakh on other popular SUV variants.

“With regards to electric vehicles, never before seen benefits on the Nexon.ev (up to Rs 1.3 lakh), have made it the most accessible it has ever been,” said Vivek Srivatsa, Chief Commercial Officer of Tata Passenger Electric Mobility.

The BSE benchmark index of 30 shares closed 426.87 points or 0.53 percent lower at 79,924.77. The NSE Nifty fell by 108.75 points or 0.45 percent to close at 24,324.45.

For electric vehicles like the Nexon.ev, benefits are available up to Rs 1.3 lakhs, while the Punch.ev offers up to Rs 30,000 in savings. These promotions are valid until July 31. This announcement coincides with the carmaker celebrating the milestone of selling over 2 million SUVs in India.

Mahindra Clarifies XUV700 Price Cut Unrelated to Uttar Pradesh's EV Policy

Tata Motors and Mahindra & Mahindra Announce Major Discounts on Select SUVs

Mahindra XUV700 Alternatives: Explore These Options