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

Share Price and Basic Stock Data

Last Updated: December 24, 2024, 8:14 pm

Market Cap	55,284 Cr.
Current Price	1,30,343
High / Low	1,51,445/1,16,348
Stock P/E	28.4
Book Value	41,659
Dividend Yield	0.15 %
ROCE	16.1 %
ROE	12.6 %
Face Value	10.0
PEG Ratio	0.00

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

Stock P/E Current Price Intrinsic Value

View Share Price Target for MRF Ltd

Competitors of MRF Ltd

Stock Name	Market Cap	Current Price	High / Low	Stock P/E	Book Value	Dividend Yield	ROCE	ROE	Face Value
MRF Ltd	55,284 Cr.	1,30,343	1,51,445/1,16,348	28.4	41,659	0.15 %	16.1 %	12.6 %	10.0
Industry Average	55,284.00 Cr	130,343.00		28.40	41,659.00	0.15%	16.10%	12.60%	10.00

All Competitor Stocks of MRF Ltd

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	4,908	4,920	5,305	5,696	5,826	5,645	5,842	6,440	6,217	6,162	6,349	7,196	6,881
Expenses	4,387	4,427	4,765	5,203	5,346	5,083	4,988	5,310	5,060	5,108	5,437	6,037	5,870
Operating Profit	521	493	540	493	481	562	854	1,130	1,157	1,055	912	1,160	1,011
OPM %	11%	10%	10%	9%	8%	10%	15%	18%	19%	17%	14%	16%	15%
Other Income	89	70	66	34	77	71	70	75	71	78	94	84	113
Interest	58	64	67	66	75	86	92	84	86	90	93	85	84
Depreciation	297	296	311	298	309	316	330	333	351	360	385	396	410
Profit before tax	255	202	228	164	174	231	501	787	791	682	527	763	631
Tax %	26%	26%	28%	25%	25%	24%	32%	25%	26%	25%	25%	25%	25%
Net Profit	189	149	165	124	130	175	341	589	587	510	396	571	471
EPS in Rs	445.78	352.24	389.52	291.43	306.19	412.23	803.19	1,388.20	1,383.27	1,201.83	933.96	1,346.40	1,109.85

Last Updated: November 21, 2024, 9:44 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: November 21, 2024, 9:44 am

Month	Sep 2012	Sep 2013	Sep 2014	Mar 2016n n 18m	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	TTM
Sales	11,964	12,248	13,329	20,179	13,412	14,954	16,062	16,237	16,162	19,317	23,008	25,169	26,589
Expenses	10,692	10,468	11,384	15,743	10,763	12,665	13,744	13,855	13,208	17,256	20,604	20,896	22,451
Operating Profit	1,272	1,780	1,945	4,437	2,649	2,288	2,317	2,382	2,954	2,061	2,404	4,272	4,138
OPM %	11%	15%	15%	22%	20%	15%	14%	15%	18%	11%	10%	17%	16%
Other Income	32	25	63	317	327	330	416	335	205	315	245	306	369
Interest	159	196	232	361	257	259	273	301	282	263	326	361	352
Depreciation	302	374	424	737	611	707	808	982	1,141	1,205	1,253	1,430	1,551
Profit before tax	843	1,235	1,353	3,656	2,109	1,653	1,652	1,434	1,737	908	1,070	2,787	2,604
Tax %	31%	35%	33%	31%	30%	32%	32%	1%	26%	26%	28%	25%
Net Profit	579	809	908	2,509	1,486	1,132	1,131	1,423	1,277	669	769	2,081	1,948
EPS in Rs	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	1,813.04	4,907.26	4,592.04
Dividend Payout %	2%	2%	2%	2%	2%	2%	2%	3%	5%	10%	10%	4%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year	2017-2018	2018-2019	2019-2020	2020-2021	2021-2022	2022-2023	2023-2024
YoY Net Profit Growth (%)	-23.82%	-0.09%	25.82%	-10.26%	-47.61%	14.95%	170.61%
Change in YoY Net Profit Growth (%)	0.00%	23.73%	25.91%	-36.08%	-37.35%	62.56%	155.66%

MRF Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 7 years from 2017-2018 to 2023-2024.

Growth

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

Compounded Profit Growth
10 Years:	9%
5 Years:	12%
3 Years:	15%
TTM:	15%

Stock Price CAGR
10 Years:	13%
5 Years:	15%
3 Years:	23%
1 Year:	8%

Return on Equity
10 Years:	12%
5 Years:	9%
3 Years:	7%
Last Year:	13%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 8:30 pm

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	Sep 2024
Equity Capital	4	4	4	4	4	4	4	4	4	4	4	4	4
Reserves	2,857	3,651	4,535	7,220	8,637	9,734	10,833	12,210	13,409	14,028	14,703	16,699	17,664
Borrowings	1,708	1,599	1,903	2,464	2,333	2,163	2,506	1,854	2,388	3,229	3,014	2,822	3,138
Other Liabilities	2,659	3,023	3,391	3,566	4,075	4,577	5,098	5,373	6,780	5,799	6,648	7,325	7,616
Total Liabilities	7,228	8,278	9,833	13,254	15,048	16,478	18,441	19,442	22,582	23,060	24,369	26,849	28,423
Fixed Assets	2,919	2,974	3,436	4,608	5,502	6,092	6,786	8,870	9,441	9,522	10,118	12,046	12,673
CWIP	415	359	628	1,059	848	1,079	1,403	1,741	1,002	1,233	3,046	2,385	1,809
Investments	429	904	1,081	3,138	3,382	4,145	3,855	1,519	5,874	3,656	3,085	3,383	3,967
Other Assets	3,465	4,041	4,688	4,448	5,316	5,162	6,397	7,312	6,265	8,648	8,120	9,036	9,973
Total Assets	7,228	8,278	9,833	13,254	15,048	16,478	18,441	19,442	22,582	23,060	24,369	26,849	28,423

Reserves and Borrowings Chart

Cash Flow

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
Cash from Operating Activity +	1,034	1,499	1,699	3,043	1,956	2,413	1,253	2,271	4,325	-578	2,755	3,300
Cash from Investing Activity +	-977	-959	-1,791	-3,408	-1,393	-2,014	-1,386	-162	-5,087	169	-1,922	-2,378
Cash from Financing Activity +	-51	-313	67	212	-438	-453	42	-1,032	-250	424	-840	-868
Net Cash Flow	6	228	-24	-152	125	-53	-91	1,077	-1,012	14	-6	55

Free Cash Flow

Month	Mar 2016n n 18m	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	Sep 2012	Sep 2013	Sep 2014
Free Cash Flow	4.00	0.00	0.00	0.00	1.00	0.00	-1.00	-1.00	2.00	0.00	0.00	0.00

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	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	24
ROCE %	24%	29%	27%	49%	23%	17%	15%	13%	14%	6%	7%	16%

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	27.90%	27.95%	27.94%	27.87%	27.88%	27.85%	27.77%	27.75%	27.76%	27.78%	27.77%	27.76%
FIIs	14.58%	15.54%	16.05%	16.46%	18.22%	18.05%	18.77%	19.58%	19.41%	19.75%	19.08%	18.68%
DIIs	12.91%	11.73%	12.46%	12.49%	11.37%	11.65%	11.71%	11.19%	11.45%	10.57%	10.74%	11.68%
Public	44.61%	44.79%	43.55%	43.18%	42.53%	42.45%	41.75%	41.48%	41.39%	41.92%	42.41%	41.88%
No. of Shareholders	62,406	66,786	56,544	48,377	41,881	43,500	37,938	37,504	37,584	47,663	57,325	48,576

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
SBI Equity Hybrid Fund	210,000	3.82	2345.34	1,400	2024-12-24	14900%
Kotak Emerging Equity Fund - Regular Plan	36,140	1.1	403.62	1,400	2024-12-24	2481.43%
Kotak Flexicap Fund - Regular Plan	33,000	0.89	368.55	1,400	2024-12-24	2257.14%
Aditya Birla Sun Life India GenNext Fund	3,376	0.86	37.7	1,400	2024-12-24	141.14%
Kotak Equity Arbitrage Fund - Regular Plan	3,350	0.12	37.41	1,400	2024-12-24	139.29%
SBI Infrastructure Fund	2,300	1.62	25.69	1,400	2024-12-24	64.29%
Tata Ethical Fund - Regular Plan	1,950	1.07	21.78	1,400	2024-12-24	39.29%
Axis Quant Fund	1,531	1.76	17.1	1,400	2024-12-24	9.36%
Invesco India Arbitrage Fund	1,400	0.15	15.64	1,400	2024-12-24	0%
Aditya Birla Sun Life Midcap Fund	1,323	0.32	14.78	1,400	2024-12-24	-5.5%

ROCE 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.)	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.)	4908.54	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	0.97	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	3.81	3.79	3.06	3.24
Dividend Payout Ratio (NP) (%)	3.56	8.27	9.50	0.00	1.78
Dividend Payout Ratio (CP) (%)	2.11	3.14	3.39	0.00	1.05
Earning Retention Ratio (%)	96.44	91.73	90.50	0.00	98.22
Cash Earning Retention Ratio (%)	97.89	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 (%)	96.43	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

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Error: EPS data not available for calculation.

Strength and Weakness

Strength	Weakness
The stock has a high average ROCE of 20.00%, which is a positive sign. The stock has a low average Working Capital Days of 28.08, which is a positive sign. The company has higher reserves (10,475.38 cr) compared to borrowings (2,393.92 cr), indicating strong financial stability. The company has shown consistent growth in sales (17.23 cr) and profit (135.92 cr) over the years.	The stock has a high average Cash Conversion Cycle of 80.83, which may not be favorable.

Stock Analysis

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 MRF Ltd:
1. Net Profit Margin: 8.26%
  - 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: 16.4% (Industry Average ROCE: 16.1%)
  - 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%: 12.46% (Industry Average ROE: 12.6%)
  - 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): 6.9
  - 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: 0.78
  - 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: 28.4 (Industry average Stock P/E: 28.4)
  - 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: 0.12
  - 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

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
Mr. Vikram Taranath Hosangady	Director

FAQ

What is the latest intrinsic value of MRF Ltd?

The latest intrinsic value of MRF Ltd as on 26 December 2024 is ₹137664.22, which is 5.62% higher than the current market price of ₹130,343.00. The stock has a market capitalization of 55,284 Cr. and recorded a high/low of 1,51,445/1,16,348 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹17,664 Cr and total liabilities of ₹28,423 Cr.

What is the Market Cap of MRF Ltd?

The Market Cap of MRF Ltd is 55,284 Cr..

What is the current Stock Price of MRF Ltd as on 26 December 2024?

The current stock price of MRF Ltd as on 26 December 2024 is 1,30,343.

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

In FY 2024-2025, the High / Low of MRF Ltd stocks is 1,51,445/1,16,348.

What is the Stock P/E of MRF Ltd?

The Stock P/E of MRF Ltd is 28.4.

What is the Book Value of MRF Ltd?

The Book Value of MRF Ltd is 41,659.

What is the Dividend Yield of MRF Ltd?

The Dividend Yield of MRF Ltd is 0.15 %.

What is the ROCE of MRF Ltd?

The ROCE of MRF Ltd is 16.1 %.

What is the ROE of MRF Ltd?

The ROE of MRF Ltd is 12.6 %.

What is the Face Value of MRF Ltd?

The Face Value of MRF Ltd is 10.0.