Goodyear India Ltd: Fundamental Analysis, Share Price Insights & Intrinsic Value (2024)

Share Price and Basic Stock Data

Last Updated: December 21, 2024, 12:52 am

Market Cap	2,335 Cr.
Current Price	1,012
High / Low	1,440/1,000
Stock P/E	40.0
Book Value	255
Dividend Yield	1.48 %
ROCE	22.0 %
ROE	16.0 %
Face Value	10.0
PEG Ratio	-2.57

Stock P/E, Current Price, and Intrinsic Value Over Time

Stock P/E Current Price Intrinsic Value

View Share Price Target for

Competitors of

Stock Name	Market Cap	Current Price	High / Low	Stock P/E	Book Value	Dividend Yield	ROCE	ROE	Face Value
Goodyear India Ltd	2,335 Cr.	1,012	1,440/1,000	40.0	255	1.48 %	22.0 %	16.0 %	10.0
TVS Srichakra Ltd	2,759 Cr.	3,602	4,900/3,470	39.9	1,404	1.31 %	11.1 %	10.6 %	10.0
JK Tyre & Industries Ltd	10,433 Cr.	381	554/355	13.6	172	1.18 %	19.3 %	20.6 %	2.00
Innovative Tyres & Tubes Ltd	10.2 Cr.	5.65	10.2/4.75		9.21	0.00 %	26.6 %	%	10.0
CEAT Ltd	12,179 Cr.	3,011	3,581/2,210	20.6	1,038	1.00 %	20.4 %	18.1 %	10.0
Industry Average	19,237.67 Cr	1,619.09		28.25	512.74	0.95%	19.06%	16.02%	6.43

All Competitor Stocks of

Quarterly Result

Month	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024	Sep 2024
Sales	698	605	598	819	767	689	653	720	690	591	551	691	682
Expenses	638	571	565	759	721	645	596	656	629	552	545	647	651
Operating Profit	60	34	34	60	46	44	57	64	61	40	5	44	31
OPM %	9%	6%	6%	7%	6%	6%	9%	9%	9%	7%	1%	6%	5%
Other Income	6	7	5	4	5	4	4	4	4	5	4	4	5
Interest	1	1	1	1	1	1	1	1	1	1	1	1	1
Depreciation	13	13	13	13	13	14	14	14	14	14	14	14	14
Profit before tax	53	27	23	50	36	33	46	53	51	30	-5	33	21
Tax %	25%	27%	25%	25%	25%	26%	26%	25%	25%	27%	-22%	25%	26%
Net Profit	39	19	17	38	27	24	34	39	38	22	-4	25	16
EPS in Rs	16.98	8.43	7.54	16.36	11.75	10.58	14.57	17.02	16.45	9.48	-1.83	10.85	6.82

Last Updated: November 6, 2024, 6:37 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: October 23, 2024, 2:26 pm

Month	Dec 2012	Dec 2013	Dec 2014	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	TTM
Sales	1,461	1,546	1,564	1,730	1,512	1,665	1,912	1,746	1,792	2,436	2,928	2,552	2,516
Expenses	1,370	1,407	1,408	1,534	1,312	1,463	1,747	1,610	1,575	2,264	2,721	2,381	2,395
Operating Profit	91	139	156	196	200	202	164	136	217	172	207	171	121
OPM %	6%	9%	10%	11%	13%	12%	9%	8%	12%	7%	7%	7%	5%
Other Income	21	30	29	38	33	37	38	35	23	23	16	17	18
Interest	4	2	3	3	3	3	3	4	3	4	4	4	4
Depreciation	24	25	29	46	34	36	41	50	53	53	54	55	55
Profit before tax	85	142	154	184	196	199	158	117	183	138	165	128	79
Tax %	33%	34%	34%	35%	35%	35%	35%	24%	26%	26%	26%	26%
Net Profit	56	94	101	120	127	130	102	89	136	103	123	95	58
EPS in Rs	24.42	40.78	43.89	51.92	55.22	56.34	44.25	38.51	59.07	44.61	53.26	41.12	25.32
Dividend Payout %	29%	22%	23%	23%	23%	23%	29%	34%	301%	224%	50%	100%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year	2016-2017	2017-2018	2018-2019	2019-2020	2020-2021	2021-2022	2022-2023	2023-2024
YoY Net Profit Growth (%)	5.83%	2.36%	-21.54%	-12.75%	52.81%	-24.26%	19.42%	-22.76%
Change in YoY Net Profit Growth (%)	0.00%	-3.47%	-23.90%	8.79%	65.55%	-77.07%	43.68%	-42.18%

has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 8 years from 2016-2017 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:	5%
5 Years:	6%
3 Years:	13%
TTM:	-9%

Compounded Profit Growth
10 Years:	0%
5 Years:	-1%
3 Years:	-11%
TTM:	-57%

Stock Price CAGR
10 Years:	5%
5 Years:	1%
3 Years:	1%
1 Year:	-22%

Return on Equity
10 Years:	16%
5 Years:	14%
3 Years:	16%
Last Year:	16%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 2:37 pm

Month	Dec 2012	Dec 2013	Dec 2014	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	Sep 2024
Equity Capital	23	23	23	23	23	23	23	23	23	23	23	23	23
Reserves	331	400	474	591	684	779	844	893	816	692	583	558	564
Borrowings	0	0	0	0	0	0	0	15	14	17	10	7	5
Other Liabilities	388	436	395	310	382	495	463	376	537	634	646	591	682
Total Liabilities	742	859	892	924	1,090	1,298	1,331	1,307	1,391	1,365	1,261	1,179	1,275
Fixed Assets	198	210	240	221	227	246	251	316	312	317	357	364	350
CWIP	17	32	17	29	31	26	50	15	16	33	61	44	45
Investments	0	0	0	0	0	0	0	0	0	0	0	0	0
Other Assets	527	617	635	674	831	1,025	1,029	976	1,063	1,015	843	771	880
Total Assets	742	859	892	924	1,090	1,298	1,331	1,307	1,391	1,365	1,261	1,179	1,275

Reserves and Borrowings Chart

Cash Flow

Month	Dec 2012	Dec 2013	Dec 2014	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Cash from Operating Activity +	26	131	99	9	168	182	57	65	294	89	112	135
Cash from Investing Activity +	-178	-121	116	-133	-12	-22	-36	-96	87	-50	91	-34
Cash from Financing Activity +	-23	-21	-27	-31	-37	-37	-39	-45	-223	-236	-241	-130
Net Cash Flow	-174	-11	188	-155	120	123	-18	-76	158	-197	-38	-29

Free Cash Flow

Month	Dec 2012	Dec 2013	Dec 2014	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Free Cash Flow	91.00	139.00	156.00	196.00	200.00	202.00	164.00	121.00	203.00	155.00	197.00	164.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

Month	Dec 2012	Dec 2013	Dec 2014	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Debtor Days	39	39	26	34	38	46	46	46	55	38	40	38
Inventory Days	35	32	41	42	65	57	46	46	41	63	48	60
Days Payable	87	94	82	65	101	128	94	82	126	101	80	85
Cash Conversion Cycle	-14	-23	-15	10	2	-25	-2	10	-29	-1	8	14
Working Capital Days	-22	-28	-25	8	-0	-11	0	10	-18	-5	2	5
ROCE %	26%	37%	34%	34%	30%	27%	19%	13%	21%	18%	25%	22%

Financial Efficiency Indicators Chart

Share Holding Pattern

Month	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024	Sep 2024
Promoters	74.00%	74.00%	74.00%	74.00%	74.00%	74.00%	74.00%	74.00%	74.00%	74.00%	74.00%	74.00%
FIIs	0.79%	0.83%	0.92%	1.06%	1.06%	1.02%	0.93%	0.74%	0.73%	0.75%	0.74%	0.73%
DIIs	7.03%	7.02%	6.85%	7.20%	7.23%	7.32%	7.63%	8.06%	8.06%	8.05%	8.05%	8.05%
Public	18.18%	18.15%	18.23%	17.73%	17.69%	17.64%	17.44%	17.20%	17.21%	17.21%	17.21%	17.22%
No. of Shareholders	46,950	47,424	48,466	46,144	45,808	46,520	45,595	45,174	45,001	45,049	45,150	44,118

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund Name	No of Shares	AUM (%)	Amount Invested (Cr)	Previous Number of Shares	Previous Date	Percentage Change
HDFC Equity Savings Fund - Regular Plan	100,000	0.25	12.22	100,000	2024-12-18	0%
HDFC Hybrid Debt Fund - Regular Plan	66,000	0.23	7.68	100,000	2024-12-18	-34%

ROCE / ROE Trend

EPS Trend

Key Financial Ratios

Month	Mar 24	Mar 23	Mar 22	Mar 21	Mar 20
FaceValue	10.00	10.00	10.00	10.00	10.00
Basic EPS (Rs.)	41.12	53.26	44.61	59.07	38.51
Diluted EPS (Rs.)	41.12	53.26	44.61	59.07	38.51
Cash EPS (Rs.)	65.08	76.66	67.43	81.93	60.23
Book Value[Excl.RevalReserv]/Share (Rs.)	250.86	261.42	309.85	363.92	396.94
Book Value[Incl.RevalReserv]/Share (Rs.)	252.04	262.60	309.85	363.92	396.94
Dividend / Share (Rs.)	41.00	26.50	100.00	178.00	13.00
Revenue From Operations / Share (Rs.)	1106.07	1268.97	1055.78	776.64	756.64
PBDIT / Share (Rs.)	81.30	96.77	84.63	103.75	74.08
PBIT / Share (Rs.)	57.33	73.36	61.80	80.88	52.37
PBT / Share (Rs.)	55.50	71.69	60.01	79.40	50.65
Net Profit / Share (Rs.)	41.11	53.26	44.60	59.06	38.51
PBDIT Margin (%)	7.35	7.62	8.01	13.35	9.79
PBIT Margin (%)	5.18	5.78	5.85	10.41	6.92
PBT Margin (%)	5.01	5.64	5.68	10.22	6.69
Net Profit Margin (%)	3.71	4.19	4.22	7.60	5.08
Return on Networth / Equity (%)	16.38	20.37	14.39	16.22	9.70
Return on Capital Employeed (%)	21.49	26.38	18.94	21.27	12.65
Return On Assets (%)	8.04	9.74	7.53	9.79	6.79
Asset Turnover Ratio (%)	2.09	2.23	1.77	1.33	1.32
Current Ratio (X)	1.27	1.28	1.57	1.99	2.67
Quick Ratio (X)	0.73	0.81	1.08	1.73	2.25
Inventory Turnover Ratio (X)	3.26	3.98	4.84	4.50	4.26
Dividend Payout Ratio (NP) (%)	127.67	187.75	219.70	157.43	33.75
Dividend Payout Ratio (CP) (%)	80.65	130.43	145.31	113.49	21.58
Earning Retention Ratio (%)	-27.67	-87.75	-119.70	-57.43	66.25
Cash Earning Retention Ratio (%)	19.35	-30.43	-45.31	-13.49	78.42
Interest Coverage Ratio (X)	44.24	57.68	47.39	69.98	43.05
Interest Coverage Ratio (Post Tax) (X)	23.37	32.75	25.97	40.84	23.38
Enterprise Value (Cr.)	2418.88	2301.32	1657.52	1460.02	848.53
EV / Net Operating Revenue (X)	0.94	0.78	0.68	0.81	0.48
EV / EBITDA (X)	12.90	10.31	8.49	6.10	4.96
MarketCap / Net Operating Revenue (X)	0.99	0.84	0.84	1.15	0.79
Retention Ratios (%)	-27.67	-87.75	-119.70	-57.43	66.24
Price / BV (X)	4.39	4.09	2.86	2.45	1.52
Price / Net Operating Revenue (X)	0.99	0.84	0.84	1.15	0.79
EarningsYield	0.03	0.04	0.05	0.06	0.06

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of as of December 22, 2024 is: 1,656.15

Calculation basis:

Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

As of December 22, 2024, is Undervalued by 63.65% compared to the current share price 1,012.00

Intrinsic Value of as of December 22, 2024 is: 1,398.04

Calculation basis:

Intrinsic value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the intrinsic value of the stock by analyzing its fundamental indicators along with EPS growth.

As of December 22, 2024, is Undervalued by 38.15% compared to the current share price 1,012.00

Last 5 Year EPS CAGR: -15.59%

*Investments are subject to market risks

Strength and Weakness

Strength	Weakness
The stock has a high average ROCE of 25.50%, which is a positive sign. The stock has a low average Working Capital Days of -7.00, which is a positive sign. The stock has a low average Cash Conversion Cycle of -5.42, which is a positive sign. The company has higher reserves (631.46 cr) compared to borrowings (5.23 cr), indicating strong financial stability. The company has shown consistent growth in sales (1.31 cr) and profit (148.31 cr) over the years.

Strength

Weakness

The stock has a high average ROCE of 25.50%, which is a positive sign.
The stock has a low average Working Capital Days of -7.00, which is a positive sign.
The stock has a low average Cash Conversion Cycle of -5.42, which is a positive sign.
The company has higher reserves (631.46 cr) compared to borrowings (5.23 cr), indicating strong financial stability.
The company has shown consistent growth in sales (1.31 cr) and profit (148.31 cr) over the years.

Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in :
1. Net Profit Margin: 3.71%
  - Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
2. ROCE: 21.49% (Industry Average ROCE: 19.06%)
  - ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
3. ROE%: 16.38% (Industry Average ROE: 13.73%)
  - ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
4. Interest Coverage Ratio (Post Tax): 23.37
  - Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
5. Quick Ratio: 0.73
  - Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
6. Stock P/E: 40 (Industry average Stock P/E: 24.21)
  - Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
7. Total Debt / Equity: 0
  - Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
Stock Rating:

About the Company - Qualitative Analysis

Goodyear India Ltd. is a Public Limited Listed company incorporated on 28/03/1961 and has its registered office in the State of Haryana, India. Company’s Corporate Identification Number(CIN) is L25111HR1961PLC008578 and registration number is 008578. Currently Company is involved in the business activities of Manufacture of rubber tyres and tubes for motor vehicles, motorcycles, scooters, three-wheelers, tractors and aircraft. Company’s Total Operating Revenue is Rs. 2435.68 Cr. and Equity Capital is Rs. 23.07 Cr. for the Year ended 31/03/2022.

INDUSTRY	ADDRESS	CONTACT
Tyres & Tubes	Mathura Road, Ballabgarh, Faridabad Dist. Haryana 121004	goodyearindia_investorcell@goodyear.com http://www.goodyear.co.in

Management
Name	Position Held
Mr. Sandeep Mahajan	Chairman & Managing Director
Mr. Nitesh Kumar Jain	Non Executive Director
Mr. Rajiv Lochan Jain	Independent Director
Mr. Rajeev Kher	Independent Director
Ms. Uma Ratnam Krishnan	Independent Director

FAQ

What is the latest intrinsic value of ?

The latest intrinsic value of as on 22 December 2024 is ₹1656.15, which is 63.65% higher than the current market price of ₹1,012.00. The stock has a market capitalization of 2,335 Cr. and recorded a high/low of 1,440/1,000 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹564 Cr and total liabilities of ₹1,275 Cr.

What is the Market Cap of ?

The Market Cap of is 2,335 Cr..

What is the current Stock Price of as on 22 December 2024?

The current stock price of as on 22 December 2024 is 1,012.

What is the High / Low of stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of stocks is 1,440/1,000.

What is the Stock P/E of ?

The Stock P/E of is 40.0.

What is the Book Value of ?

The Book Value of is 255.

What is the Dividend Yield of ?

The Dividend Yield of is 1.48 %.

What is the ROCE of ?

The ROCE of is 22.0 %.

What is the ROE of ?

The ROE of is 16.0 %.

What is the Face Value of ?

The Face Value of is 10.0.