Disclaimer: Information presented on this site is a guide only. It may not necessarily be correct and is not intended to be taken as financial advice nor has it been prepared with regard to the individual investment needs and objectives or financial situation of any particular person. Stock quotes are believed to be accurate and correctly dated, but www.stockmarketindian.com does not warrant or guarantee their accuracy or date.
www.stockmarketindian.com takes no responsibility for any investment decisions based on recommendations provided on website.
Financial contents like Technical charts, historical charts and quotes are taken from NSE and Yahoo sites.
Note - All quotes are delayed by 15 minutes and unless specified.

Google Adsense Ads are posted on every page of the website so visitors clicking on Ads and going to those links and carrying any financial deal is not at all related to www.stockmarketindian.com and any financial deal should be done on their own sole responsibility.
Please read our before using any material or advice given at www.stockmarketindian.com

Your place to Learn and Earn
StockMarketIndian.com
updated on 1 Oct 2017
How these tyre stocks have performed good in last 5 years
Latest posts
How these tyre stocks have performed good in last 5 years
Tyre stocks kept equity investor portfolios on a high over the past five years. An investment of Rs 2,500 each of the top 10 tyre stocks five years back would have become nearly Rs 1,50,000 today.

From the 11-listed tyre segment, eight have more than doubled investor wealth since August 2012 with CEATBSE -0.63 % soaring 1,430 per cent to Rs 1,711 on August 16 from Rs 111.85 on the same day five years back.

Shares of TVS Srichakra have soared over 1,000 per cent to Rs 3,372 from Rs 300 during the same period, implying that an investment of Rs 1 lakh in the stock would have become Rs 10 lakh today.

Analysts say softening rubber prices majorly supported the rally in the tyre stocks all these years. Rubber prices have dropped nearly 30 per cent in the international market in last four years.
The Directorate General of Anti-dumping & Allied Duties (DGAA) recently recommended imposition of anti-dumping duty (ADD) at $245-452 per tonne on truck and bus radial (TBR) tyres imported from China, potentially minimising the threat of market share loss to cheaper Chinese radial tyres. The move will further benefit the sector. Coupled with increased transaction cost due to stricter tax compliance post-GST (28 per cent applicable rate on top of 10 per cent customs duty), the ADD could largely eliminate the price differential between India-made and Chinese TBR tyres.

“This should lead to a reduction in market share of imported Chinese tyres (currently 15-20 per cent of domestic TBR demand) and could boost volumes for domestic players

Shares of JK Tyre have risen 660 per cent in last five years to Rs 152.40 from Rs 20, while MRF climbed to Rs 65,824 from Rs 10,855. JK Tyre on August 14 posted a consolidated net loss of Rs 117.21 crore for June quarter, hit by an increase in raw material prices in the domestic market. That compares with a net profit of Rs 100.47 crore posted for the same period of the previous financial year.

Other tyremakers such as Balkrishna Industries, Modi Rubber, Apollo Tyres and Goodyear India have gained between 100 per cent and 450 per cent in last five years. Shares of PTL Enterprises have jumped 27 per cent, while Kryton Industries slipped 31 per cent in this period.