ScoreWhy is Apollo Tyres Ltd. ?
1
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.40 times
2
Healthy long term growth as Net Sales has grown by an annual rate of 11.60% and Operating profit at 16.45%
3
Positive results in Dec 25
- DEBT-EQUITY RATIO(HY) Lowest at 0.29 times
- OPERATING PROFIT TO INTEREST(Q) Highest at 11.85 times
- PBT LESS OI(Q) At Rs 700.70 cr has Grown at 61.3% (vs previous 4Q average)
4
With ROCE of 11.3, it has a Attractive valuation with a 1.6 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -1.41%, its profits have fallen by -5.7%
5
High Institutional Holdings at 41.73%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
6
Below par performance in long term as well as near term
- Along with generating -1.41% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Apollo Tyres should be less than 10%
- Overall Portfolio exposure to Tyres & Rubber Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Tyres & Rubber Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Apollo Tyres for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Apollo Tyres
-1.44%
-0.05
26.20%
Sensex
-2.38%
-0.19
12.70%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
11.60%
EBIT Growth (5y)
16.45%
EBIT to Interest (avg)
4.52
Debt to EBITDA (avg)
1.92
Net Debt to Equity (avg)
0.23
Sales to Capital Employed (avg)
1.20
Tax Ratio
34.20%
Dividend Payout Ratio
22.13%
Pledged Shares
0.01%
Institutional Holding
41.73%
ROCE (avg)
10.91%
ROE (avg)
9.00%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
21
Industry P/E
24
Price to Book Value
1.72
EV to EBIT
12.71
EV to EBITDA
7.76
EV to Capital Employed
1.58
EV to Sales
1.10
PEG Ratio
NA
Dividend Yield
2.02%
ROCE (Latest)
11.27%
ROE (Latest)
7.24%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend16What is working for the Company
DEBT-EQUITY RATIO(HY)
Lowest at 0.29 times
OPERATING PROFIT TO INTEREST(Q)
Highest at 11.85 times
PBT LESS OI(Q)
At Rs 700.70 cr has Grown at 61.3% (vs previous 4Q average
PAT(Q)
At Rs 488.18 cr has Grown at 73.6% (vs previous 4Q average
NET SALES(Q)
Highest at Rs 7,743.08 cr
PBDIT(Q)
Highest at Rs 1,185.94 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 15.32%
EPS(Q)
Highest at Rs 7.41
-5What is not working for the Company
ROCE(HY)
Lowest at 11.19%
DEBTORS TURNOVER RATIO(HY)
Lowest at 8.15 times
Loading Valuation Snapshot...
Here's what is working for Apollo Tyres
Operating Profit to Interest - Quarterly
Highest at 11.85 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 700.70 cr has Grown at 61.3% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 434.51 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 488.18 cr has Grown at 73.6% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 281.23 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Debt-Equity Ratio - Half Yearly
Lowest at 0.29 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Net Sales - Quarterly
Highest at Rs 7,743.08 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 1,185.94 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 15.32%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 700.70 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 488.18 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 7.41
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Apollo Tyres
Debtors Turnover Ratio- Half Yearly
Lowest at 8.15 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Non Operating Income - Quarterly
Highest at Rs 49.55 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
GET THE MARKETSMOJO APP
Company
Stocks
Portfolio
"Investment in securities markets are subject to market risk. Read all the related documents carefully before investing."
