Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 24 June, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of JK Tyre & Industries Ltd

About the Company - JK Tyre & Industries Ltd

JK Tyre & Industries Ltd. is a Public Limited Listed company incorporated on 14/02/1951 and has its registered office in the State of Rajasthan, India. Company’s Corporate Identification Number(CIN) is L67120RJ1951PLC045966 and registration number is 045966. 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. 8032.06 Cr. and Equity Capital is Rs. 49.25 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Tyres & TubesJaykaygram, PO - Tyre Factory, Kankroli Rajasthan 313342investorjktyre@jkmail.com
http://www.jktyre.com
Management
NamePosition Held
Dr. Raghupati SinghaniaChairman & Managing Director
Mr. Anshuman SinghaniaManaging Director
Mr. Arun K BajoriaPresident & Director
Mr. Shreekant SomanyDirector
Mrs. Meera ShankarDirector
Mrs. Sunanda SinghaniaDirector
Mr. Subhrakant PandaDirector
Mr. Kalpataru TripathyDirector
Mr. Bharat Hari SinghaniaDirector
Mr. Vimal BhandariDirector
Mr. Bakul JainDirector
Dr. Wolfgang HolzbachDirector

Basic Stock Data of JK Tyre & Industries Ltd

Last Updated: June 17, 2024, 8:28 pm

Market Cap 10,396 Cr.
Current Price 399
High / Low554/188
Stock P/E12.9
Book Value 172
Dividend Yield0.50 %
ROCE19.2 %
ROE20.4 %
Face Value 2.00
PEG Ratio0.42

JK Tyre & Industries Ltd Quarterly Results

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales2,7692,9272,6082,9873,0763,3123,6433,7573,6133,6323,7183,8983,688
Expenses2,2692,4732,3292,6942,8033,0843,3583,4593,2743,2563,2613,3083,138
Operating Profit500455280292273228285297339376457589550
OPM %18%16%11%10%9%7%8%8%9%10%12%15%15%
Other Income4727-1131513-28-15-4231358
Interest10710510810610410199109121125122109107
Depreciation98969697969610199102106106108111
Profit before tax3432817510288445774113168242377341
Tax %33%30%41%37%39%13%41%34%38%33%34%34%33%
Net Profit23019544655438355067112159249227
EPS in Rs9.107.681.882.702.311.631.512.082.664.406.259.838.47

Last Updated: June 11, 2024, 2:53 am

JK Tyre & Industries Ltd Quarterly Chart

JK Tyre & Industries Ltd Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales6,7456,9247,5837,3156,8987,6898,27210,3688,7239,10211,98314,64514,861
Expenses6,4166,3066,7126,3845,7826,5577,5359,2567,7377,79610,91013,34713,099
Operating Profit3296188719311,1171,1327371,1129861,3061,0731,2981,762
OPM %5%9%11%13%16%15%9%11%11%14%9%9%12%
Other Income-4312-41-3011135135-5-768140-2536
Interest188233276257252440466521549466419454477
Depreciation121133179158216291299316378387385407421
Profit before tax-23264374486660535107270-17534309411899
Tax %-66%26%32%33%31%29%41%35%989%38%35%36%
Net Profit-3220326333046738163171141331201263586
EPS in Rs-1.569.9012.8114.5320.6016.552.917.166.1212.978.5310.6623.14
Dividend Payout %-32%7%8%10%12%15%52%21%11%15%18%19%

JK Tyre & Industries Ltd Profit & Loss Yearly Chart

JK Tyre & Industries Ltd Growth

Compounded Sales Growth
10 Years:8%
5 Years:12%
3 Years:19%
TTM:4%
Compounded Profit Growth
10 Years:4%
5 Years:63%
3 Years:2%
TTM:225%
Stock Price CAGR
10 Years:26%
5 Years:35%
3 Years:55%
1 Year:146%
Return on Equity
10 Years:13%
5 Years:10%
3 Years:9%
Last Year:9%

Last Updated: April 16, 2024, 9:02 pm

JK Tyre & Industries Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital41414145454545494949494949
Reserves7148651,0441,3561,7061,9191,9162,2352,2822,6232,7993,3473,715
Borrowings2,1412,7032,7052,9752,9005,6555,8115,7585,5494,8015,2204,8824,442
Other Liabilities2,2451,9532,2532,5282,4012,7762,7623,2273,3333,4674,0924,0614,681
Total Liabilities5,1405,5636,0436,9047,05210,39510,53511,26911,21310,94012,16112,33912,887
Fixed Assets1,8702,7142,6902,7013,7475,7946,1426,2286,3826,2426,4296,4676,450
CWIP76576177830106326309270284299106195447
Investments10110411514016073128131140147133144137
Other Assets2,4052,6683,0603,2323,0394,2023,9564,6404,4074,2525,4935,5335,854
Total Assets5,1405,5636,0436,9047,05210,39510,53511,26911,21310,94012,16112,33912,887

JK Tyre & Industries Ltd Reserves and Borrowings Chart

JK Tyre & Industries Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 362-156557349031066377971,2371,5983461,224
Cash from Investing Activity -612-201-224-806-511-807-394-261-319-134-244-398
Cash from Financing Activity 240252-335-1-422830-409-522-963-1,441-96-747
Net Cash Flow-103596-73-31128-16514-4423579

JK Tyre & Industries Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days555564727485686877636057
Inventory Days55717070821111019211111911079
Days Payable916879849010281871151059966
Cash Conversion Cycle195856576694887373787170
Working Capital Days234440354681455455646858
ROCE %8%15%19%19%20%14%6%10%8%12%9%11%

JK Tyre & Industries Ltd Financial Efficiency Indicators Chart

JK Tyre & Industries Ltd Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters56.23%55.93%55.93%56.26%56.26%56.26%56.26%56.26%56.26%56.26%53.13%53.13%
FIIs6.28%7.76%8.13%8.16%7.35%7.24%7.46%6.73%8.69%10.29%12.21%15.29%
DIIs1.36%1.31%1.27%1.24%1.23%1.23%1.29%1.22%1.22%1.27%5.79%5.18%
Public36.13%35.00%34.68%34.35%35.16%35.29%34.99%35.79%33.83%32.19%28.87%26.40%
No. of Shareholders1,85,6791,84,5351,97,5562,15,7262,18,5531,92,7751,85,8511,91,6541,87,3561,88,3992,03,0292,26,143

JK Tyre & Industries Ltd Shareholding Pattern Chart

No. of JK Tyre & Industries Ltd Shareholders

JK Tyre & Industries Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Motilal Oswal Nifty Microcap 250 Index Fund105,0010.693.2105,0012024-06-150%
Groww Nifty Total Market Index Fund2410.020.01105,0012024-06-15-99.77%

JK Tyre & Industries Ltd ROCE Trend

JK Tyre & Industries Ltd EPS Trend

JK Tyre & Industries Ltd Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue2.002.002.002.002.00
Basic EPS (Rs.)29.8410.648.5312.976.12
Diluted EPS (Rs.)29.7410.648.5312.976.12
Cash EPS (Rs.)47.8827.2823.7829.2421.40
Book Value[Excl.RevalReserv]/Share (Rs.)176.68141.96119.69112.8598.54
Book Value[Incl.RevalReserv]/Share (Rs.)176.68141.96119.69112.8598.54
Revenue From Operations / Share (Rs.)575.44594.72486.62369.63354.29
PBDIT / Share (Rs.)81.3954.1945.0754.8041.27
PBIT / Share (Rs.)64.6437.6629.4239.1025.92
PBT / Share (Rs.)46.4516.7012.5521.70-0.68
Net Profit / Share (Rs.)31.1310.758.1313.546.05
NP After MI And SOA / Share (Rs.)30.1610.668.5312.976.12
PBDIT Margin (%)14.149.119.2614.8211.64
PBIT Margin (%)11.236.336.0410.577.31
PBT Margin (%)8.072.802.575.87-0.19
Net Profit Margin (%)5.401.801.673.661.70
NP After MI And SOA Margin (%)5.241.791.753.501.72
Return on Networth / Equity (%)17.527.727.3711.946.46
Return on Capital Employeed (%)20.0412.9010.8914.129.73
Return On Assets (%)5.572.101.712.901.33
Long Term Debt / Equity (X)0.480.690.861.071.35
Total Debt / Equity (X)0.991.411.801.502.20
Asset Turnover Ratio (%)1.130.940.830.660.64
Current Ratio (X)1.151.030.950.980.88
Quick Ratio (X)0.750.610.510.550.54
Inventory Turnover Ratio (X)3.953.063.072.322.27
Dividend Payout Ratio (NP) (%)0.0014.0623.455.3924.49
Dividend Payout Ratio (CP) (%)0.005.518.272.446.98
Earning Retention Ratio (%)0.0085.9476.5594.6175.51
Cash Earning Retention Ratio (%)0.0094.4991.7397.5693.02
Interest Coverage Ratio (X)4.752.942.652.901.85
Interest Coverage Ratio (Post Tax) (X)2.881.721.471.641.46
Enterprise Value (Cr.)15077.688433.107927.226629.246086.75
EV / Net Operating Revenue (X)1.000.570.660.720.69
EV / EBITDA (X)7.116.327.144.915.99
MarketCap / Net Operating Revenue (X)0.750.260.240.290.11
Retention Ratios (%)0.0085.9376.5494.6075.50
Price / BV (X)2.511.121.011.000.43
Price / Net Operating Revenue (X)0.750.260.240.290.11
EarningsYield0.060.060.070.110.15

JK Tyre & Industries Ltd Profitability Ratios (%)

JK Tyre & Industries Ltd Liquidity Ratios

JK Tyre & Industries Ltd Liquidity Ratios (%)

JK Tyre & Industries Ltd Interest Coverage Ratios (%)

JK Tyre & Industries Ltd Valuation Ratios

Fair Value

Fair Value: 454.90

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.

Undervalued: 14.01% compared to the current price 399

Intrinsic Value: 593.52

Calculation basis:

  • Fair 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 fair value of the stock by analyzing its fundamental indicators along with EPS growth.

Undervalued: 48.75% compared to the current price ₹399

Last 5 Year EPS CAGR: 30.47%

*Investments are subject to market risks

Strength and Weakness of JK Tyre & Industries Ltd Stock

StrengthWeakness
  1. The company has shown consistent growth in sales (8.69 cr) and profit (369.92 cr) over the years.
  1. The stock has a low average ROCE of 12.58%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 51.08, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 66.92, which may not be favorable.
  4. The company has higher borrowings (4,272.46) compared to reserves (2,040.08), which may suggest financial risk.

FAQ

What is the latest fair value of JK Tyre & Industries Ltd?

The latest fair value of JK Tyre & Industries Ltd is ₹454.90.

What is the Market Cap of JK Tyre & Industries Ltd?

The Market Cap of JK Tyre & Industries Ltd is 10,396 Cr..

What is the current Stock Price of JK Tyre & Industries Ltd as on 24 June 2024?

The current stock price of JK Tyre & Industries Ltd as on 24 June 2024 is ₹399.

What is the High / Low of JK Tyre & Industries Ltd stocks in FY 2024?

In FY 2024, the High / Low of JK Tyre & Industries Ltd stocks is 554/188.

What is the Stock P/E of JK Tyre & Industries Ltd?

The Stock P/E of JK Tyre & Industries Ltd is 12.9.

What is the Book Value of JK Tyre & Industries Ltd?

The Book Value of JK Tyre & Industries Ltd is 172.

What is the Dividend Yield of JK Tyre & Industries Ltd?

The Dividend Yield of JK Tyre & Industries Ltd is 0.50 %.

What is the ROCE of JK Tyre & Industries Ltd?

The ROCE of JK Tyre & Industries Ltd is 19.2 %.

What is the ROE of JK Tyre & Industries Ltd?

The ROE of JK Tyre & Industries Ltd is 20.4 %.

What is the Face Value of JK Tyre & Industries Ltd?

The Face Value of JK Tyre & Industries Ltd is 2.00.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in JK Tyre & Industries Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE