Fundamental Analysis of MRF Ltd

About the Company - MRF Ltd

MRF Ltd. is a Public Limited Listed company incorporated on 05/11/1960 and has its registered office in the State of Tamil Nadu, India. Company’s Corporate Identification Number(CIN) is L25111TN1960PLC004306 and registration number is 004306. Currently Company is involved in the business activities of Manufacture of rubber products. Company’s Total Operating Revenue is Rs. 18989.51 Cr. and Equity Capital is Rs. 4.24 Cr. for the Year ended 31/03/2022.

INDUSTRY	ADDRESS	CONTACT
Tyres & Tubes	No. 114, Greams Road, Chennai (Madras) Tamil Nadu 600006	mrfshare@mrfmail.com http://www.mrftyres.com

Management
Name	Position Held
Mr. K M Mammen	Chairman & Managing Director
Mr. Arun Mammen	Vice Chairman & Mng.Director
Mr. Rahul Mammen Mappillai	Managing Director
Mr. Samir Thariyan Mappillai	Whole Time Director
Mr. Varun Mammen	Whole Time Director
Dr. Cibi Mammen	Director
Mrs. Ambika Mammen	Director
Mr. Ashok Jacob	Director
Mr. V Sridhar	Director
Mr. Vijay R Kirloskar	Director
Mr. Ranjit I Jesudasen	Director
Dr. Salim Joseph Thomas	Director
Mr. Jacob Kurian	Director
Mrs. Vimla Abraham	Director
Mr. Ramesh Rangarajan	Director
Mr. Dinshaw Keku Parakh	Director
Mr. Arun Vasu	Director
Mr. Vikram Chesetty	Director
Mr. Prasad Oommen	Director

Basic Stock Data of MRF Ltd

Last Updated: July 6, 2024, 11:49 am

Market Cap	54,675 Cr.
Current Price	1,28,951
High / Low	1,51,445/1,00,400
Stock P/E	26.3
Book Value	39,384
Dividend Yield	0.16 %
ROCE	16.9 %
ROE	13.2 %
Face Value	10.0
PEG Ratio	0.00

Competitors of MRF Ltd

Stock Name	Market Cap	Current Price	High / Low	Stock P/E	Book Value	Dividend Yield	ROCE	ROE	Face Value
JK Tyre & Industries Ltd	11,910 Cr.	457	554/240	14.8	172	0.44 %	19.2 %	20.4 %	2.00
CEAT Ltd	10,896 Cr.	2,694	2,998/2,055	16.1	999	0.45 %	20.1 %	18.1 %	10.0
TVS Srichakra Ltd	3,460 Cr.	4,517	5,097/2,755	30.2	1,452	0.71 %	10.9 %	10.7 %	10.0
Apollo Tyres Ltd	33,302 Cr.	524	560/365	19.0	219	1.14 %	16.4 %	13.2 %	1.00
Birla Tyres Ltd	75.6 Cr.	5.30	6.01/4.22		88.2	0.00 %	%	%	10.0
Industry Average	17,297.26 Cr	1,625.85		17.53	484.05	0.46%	12.03%	11.43%	6.43

MRF Ltd Quarterly Results

Month	Dec 2020	Mar 2021	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023
Sales	4,642	4,816	4,184	4,908	4,920	5,305	5,696	5,826	5,645	5,842	6,440	6,217	6,162
Expenses	3,665	4,050	3,688	4,387	4,427	4,765	5,203	5,346	5,083	4,988	5,310	5,060	5,108
Operating Profit	977	766	496	521	493	540	493	481	562	854	1,130	1,157	1,055
OPM %	21%	16%	12%	11%	10%	10%	9%	8%	10%	15%	18%	19%	17%
Other Income	64	58	93	89	70	66	34	77	71	70	75	71	78
Interest	66	77	64	58	64	67	66	75	86	92	84	86	90
Depreciation	284	298	302	297	296	311	298	309	316	330	333	351	360
Profit before tax	690	449	222	255	202	228	164	174	231	501	787	791	682
Tax %	25%	26%	26%	26%	26%	28%	25%	25%	24%	32%	25%	26%	25%
Net Profit	521	332	166	189	149	165	124	130	175	341	589	587	510
EPS in Rs	1,227.37	783.17	390.42	445.78	352.24	389.52	291.43	306.19	412.23	803.24	1,388.20	1,383.27	1,201.83

Last Updated: April 10, 2024, 4:14 am

MRF Ltd Quarterly Chart

MRF Ltd Profit & Loss

Month	Sep 2011	Sep 2012	Sep 2013	Sep 2014	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	TTM
Sales	9,752	11,964	12,248	13,329	20,179	13,412	14,954	16,062	16,237	16,162	19,317	23,008	24,144
Expenses	8,942	10,692	10,468	11,384	15,743	10,763	12,665	13,744	13,855	13,208	17,256	20,604	20,442
Operating Profit	810	1,272	1,780	1,945	4,437	2,649	2,288	2,317	2,382	2,954	2,061	2,404	3,702
OPM %	8%	11%	15%	15%	22%	20%	15%	14%	15%	18%	11%	10%	15%
Other Income	429	32	25	63	317	327	330	416	335	205	315	245	287
Interest	98	159	196	232	361	257	259	273	301	282	263	326	348
Depreciation	248	302	374	424	737	611	707	808	982	1,141	1,205	1,253	1,330
Profit before tax	893	843	1,235	1,353	3,656	2,109	1,653	1,652	1,434	1,737	908	1,070	2,310
Tax %	31%	31%	35%	33%	31%	30%	32%	32%	1%	26%	26%	28%
Net Profit	619	579	809	908	2,509	1,486	1,132	1,131	1,423	1,277	669	769	1,691
EPS in Rs	1,458.98	1,366.16	1,906.58	2,141.71	5,916.93	3,504.33	2,668.20	2,665.82	3,354.22	3,011.15	1,577.96	1,813.09	3,986.94
Dividend Payout %	2%	2%	2%	2%	2%	2%	2%	2%	3%	5%	10%	10%

MRF Ltd Profit & Loss Yearly Chart

MRF Ltd Growth

Compounded Sales Growth
10 Years:	7%
5 Years:	9%
3 Years:	16%
TTM:	9%

Compounded Profit Growth
10 Years:	10%
5 Years:	13%
3 Years:	18%
TTM:	197%

Stock Price CAGR
10 Years:	18%
5 Years:	18%
3 Years:	17%
1 Year:	29%

Return on Equity
10 Years:	12%
5 Years:	9%
3 Years:	8%
Last Year:	13%

Last Updated: June 30, 2024, 8:55 pm

MRF Ltd Balance Sheet

Month	Sep 2011	Sep 2012	Sep 2013	Sep 2014	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Sep 2023
Equity Capital	4	4	4	4	4	4	4	4	4	4	4	4	4
Reserves	2,290	2,857	3,651	4,535	7,220	8,637	9,734	10,833	12,210	13,409	14,028	14,703	15,827
Borrowings	1,600	1,708	1,599	1,903	2,464	2,333	2,163	2,506	1,854	2,388	3,229	3,014	3,135
Other Liabilities	2,439	2,659	3,023	3,391	3,566	4,075	4,577	5,098	5,373	6,780	5,799	6,648	6,842
Total Liabilities	6,333	7,228	8,278	9,833	13,254	15,048	16,478	18,441	19,442	22,582	23,060	24,369	25,809
Fixed Assets	1,972	2,919	2,974	3,436	4,608	5,502	6,092	6,786	8,870	9,441	9,522	10,118	10,980
CWIP	1,042	415	359	628	1,059	848	1,079	1,403	1,741	1,002	1,233	3,046	3,173
Investments	73	429	904	1,081	3,138	3,382	4,145	3,855	1,519	5,874	3,656	3,085	3,208
Other Assets	3,245	3,465	4,041	4,688	4,448	5,316	5,162	6,397	7,312	6,265	8,648	8,120	8,447
Total Assets	6,333	7,228	8,278	9,833	13,254	15,048	16,478	18,441	19,442	22,582	23,060	24,369	25,809

MRF Ltd Reserves and Borrowings Chart

MRF Ltd Cash Flow

Month	Sep 2011	Sep 2012	Sep 2013	Sep 2014	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023
Cash from Operating Activity	634	1,034	1,499	1,699	3,043	1,956	2,413	1,253	2,271	4,325	-578	2,755
Cash from Investing Activity	-1,111	-977	-959	-1,791	-3,408	-1,393	-2,014	-1,386	-162	-5,087	169	-1,922
Cash from Financing Activity	486	-51	-313	67	212	-438	-453	42	-1,032	-250	424	-840
Net Cash Flow	9	6	228	-24	-152	125	-53	-91	1,077	-1,012	14	-6

MRF Ltd Financial Efficiency Indicators

Month	Sep 2012	Sep 2013	Sep 2014	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Debtor Days	44	46	47	33	54	52	54	52	48	44	40	42
Inventory Days	72	83	79	62	118	88	113	110	115	120	98	108
Days Payable	41	47	50	36	69	63	64	72	129	60	58	64
Cash Conversion Cycle	76	83	76	58	103	78	102	90	34	104	80	86
Working Capital Days	54	50	47	17	27	16	26	21	-13	49	19	57
ROCE %	24%	29%	27%	49%	23%	17%	15%	13%	14%	6%	7%

MRF Ltd Financial Efficiency Indicators Chart

MRF Ltd Share Holding Pattern

Month	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024
Promoters	27.82%	27.84%	27.90%	27.95%	27.94%	27.87%	27.88%	27.85%	27.77%	27.75%	27.76%	27.78%
FIIs	14.07%	14.77%	14.58%	15.54%	16.05%	16.46%	18.22%	18.05%	18.77%	19.58%	19.41%	19.75%
DIIs	13.65%	12.96%	12.91%	11.73%	12.46%	12.49%	11.37%	11.65%	11.71%	11.19%	11.45%	10.57%
Public	44.46%	44.43%	44.61%	44.79%	43.55%	43.18%	42.53%	42.45%	41.75%	41.48%	41.39%	41.92%
No. of Shareholders	55,803	54,446	62,406	66,786	56,544	48,377	41,881	43,500	37,938	37,504	37,584	47,663

MRF Ltd Shareholding Pattern Chart

No. of MRF Ltd Shareholders

MRF Ltd Mutual Fund Holdings

Fund Name	No of Shares	AUM (%)	Amount Invested (Cr)	Previous Number of Shares	Previous Date	Percentage Change
SBI Equity Hybrid Fund	210,000	3.82	2345.34	33,000	2024-07-06	536.36%
Kotak Emerging Equity Fund - Regular Plan	36,140	1.1	403.62	33,000	2024-07-06	9.52%
Kotak Flexicap Fund - Regular Plan	33,000	0.89	368.55	33,000	2024-07-06	0%
Aditya Birla Sun Life India GenNext Fund	3,376	0.86	37.7	33,000	2024-07-06	-89.77%
Kotak Equity Arbitrage Fund - Regular Plan	3,350	0.12	37.41	33,000	2024-07-06	-89.85%
SBI Infrastructure Fund	2,300	1.62	25.69	33,000	2024-07-06	-93.03%
Tata Ethical Fund - Regular Plan	1,950	1.07	21.78	33,000	2024-07-06	-94.09%
Axis Quant Fund	1,531	1.76	17.1	33,000	2024-07-06	-95.36%
Invesco India Arbitrage Fund	1,400	0.15	15.64	33,000	2024-07-06	-95.76%
Aditya Birla Sun Life Midcap Fund	1,323	0.32	14.78	33,000	2024-07-06	-95.99%

MRF Ltd ROCE Trend

MRF Ltd EPS Trend

MRF Ltd 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.)	4907.24	1813.10	1577.97	3011.14	3354.20
Diluted EPS (Rs.)	4907.24	1813.10	1577.97	3011.14	3354.20
Cash EPS (Rs.)	8281.13	4768.89	4420.49	5702.45	5671.91
Book Value[Excl.RevalReserv]/Share (Rs.)	39394.25	34688.25	33094.10	31636.34	28808.58
Book Value[Incl.RevalReserv]/Share (Rs.)	39394.25	34688.25	33094.10	31636.34	28808.58
Revenue From Operations / Share (Rs.)	59361.34	54265.33	45558.30	38120.73	38300.38
PBDIT / Share (Rs.)	10779.25	6230.64	5582.03	7434.62	6390.07
PBIT / Share (Rs.)	7406.67	3275.33	2739.93	4744.13	4073.28
PBT / Share (Rs.)	6574.10	2522.97	2141.34	4096.32	3382.67
Net Profit / Share (Rs.)	4908.56	1813.58	1578.40	3011.96	3355.12
NP After MI And SOA / Share (Rs.)	4908.56	1813.56	1578.37	3011.93	3355.12
PBDIT Margin (%)	18.15	11.48	12.25	19.50	16.68
PBIT Margin (%)	12.47	6.03	6.01	12.44	10.63
PBT Margin (%)	11.07	4.64	4.70	10.74	8.83
Net Profit Margin (%)	8.26	3.34	3.46	7.90	8.76
NP After MI And SOA Margin (%)	8.26	3.34	3.46	7.90	8.76
Return on Networth / Equity (%)	12.46	5.22	4.76	9.52	11.64
Return on Capital Employeed (%)	16.40	8.23	7.21	13.13	12.17
Return On Assets (%)	7.75	3.15	2.90	5.65	7.31
Long Term Debt / Equity (X)	0.04	0.05	0.05	0.06	0.06
Total Debt / Equity (X)	0.12	0.16	0.20	0.12	0.12
Asset Turnover Ratio (%)	0.98	0.95	0.83	0.76	0.85
Current Ratio (X)	1.37	1.23	1.46	1.43	1.55
Quick Ratio (X)	0.78	0.68	0.87	1.02	0.99
Inventory Turnover Ratio (X)	3.54	3.80	3.79	3.06	3.24
Dividend Payout Ratio (NP) (%)	0.00	8.27	9.50	0.00	1.78
Dividend Payout Ratio (CP) (%)	0.00	3.14	3.39	0.00	1.05
Earning Retention Ratio (%)	0.00	91.73	90.50	0.00	98.22
Cash Earning Retention Ratio (%)	0.00	96.86	96.61	0.00	98.95
Interest Coverage Ratio (X)	12.95	8.28	9.33	11.48	9.25
Interest Coverage Ratio (Post Tax) (X)	6.90	3.41	3.64	5.65	5.86
Enterprise Value (Cr.)	58246.54	37807.08	30186.42	36418.65	25023.51
EV / Net Operating Revenue (X)	2.31	1.64	1.56	2.25	1.54
EV / EBITDA (X)	12.74	14.31	12.75	11.55	9.24
MarketCap / Net Operating Revenue (X)	2.25	1.55	1.43	2.16	1.52
Retention Ratios (%)	0.00	91.72	90.49	0.00	98.21
Price / BV (X)	3.38	2.42	1.96	2.60	2.02
Price / Net Operating Revenue (X)	2.25	1.55	1.43	2.16	1.52
EarningsYield	0.03	0.02	0.02	0.03	0.05

MRF Ltd Profitability Ratios (%)

MRF Ltd Liquidity Ratios

MRF Ltd Liquidity Ratios (%)

MRF Ltd Interest Coverage Ratios (%)

MRF Ltd Valuation Ratios

Fair Value

Fair Value: 136,944.26

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: 6.20% compared to the current price 128951

Intrinsic Value: 136,944.26

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: 6.20% compared to the current price ₹128951

Last 5 Year EPS CAGR: 0.00%

*Investments are subject to market risks

Strength and Weakness of MRF Ltd Stock

Strength	Weakness
The stock has a high average ROCE of 18.67%, which is a positive sign. The company has higher reserves (9,225.69 cr) compared to borrowings (2,299.69 cr), indicating strong financial stability. The company has shown consistent growth in sales (15.85 cr) and profit (204.46 cr) over the years.	The stock has a high average Working Capital Days of 30.83, which may not be favorable. The stock has a high average Cash Conversion Cycle of 80.83, which may not be favorable.

FAQ

What is the latest fair value of MRF Ltd?

The latest fair value of MRF Ltd is ₹136944.26.

What is the Market Cap of MRF Ltd?

The Market Cap of MRF Ltd is 54,675 Cr..

What is the current Stock Price of MRF Ltd as on 06 July 2024?

The current stock price of MRF Ltd as on 06 July 2024 is 1,28,951.

What is the High / Low of MRF Ltd stocks in FY 2024?

In FY 2024, the High / Low of MRF Ltd stocks is 1,51,445/1,00,400.

What is the Stock P/E of MRF Ltd?

The Stock P/E of MRF Ltd is 26.3.

What is the Book Value of MRF Ltd?

The Book Value of MRF Ltd is 39,384.

What is the Dividend Yield of MRF Ltd?

The Dividend Yield of MRF Ltd is 0.16 %.

What is the ROCE of MRF Ltd?

The ROCE of MRF Ltd is 16.9 %.

What is the ROE of MRF Ltd?

The ROE of MRF Ltd is 13.2 %.

What is the Face Value of MRF Ltd?

The Face Value of MRF Ltd is 10.0.