Apollo Tyres hits 52-week high on US court ruling; more upside seen

MUMBAI: Shares of Apollo Tyres rallied over 5 per cent intraday to hit 52—week high after the Delaware Court in the US announced ruling in its favour against Cooper Tire & Rubber Company.

Delaware Judge Sam Glasscock in his ruling said Cooper failed to comply with its contractual obligations because it was unable to control its largest subsidiary.

“This ruling vindicates the Company's consistent stand that Apollo made exhaustive efforts to complete the deal,” Apollo Tyres said in a statement to stock exchanges.

In December 2013, Cooper Tire & Rubber Co has terminated $2.5-billion merger agreement with Apollo Tyres.

The stock has more upside left after the surge of 5 per cent today, say analysts.

According to Mitesh Thacker, Technical Analyst, miteshthacker.com, the stock has moved up significantly.

“Try to buy on any kind of intraday dip to about levels of Rs 223.50-224, keep a stop below Rs 219 and look for targets of Rs 235,” he told ET Now.

Sandeep Wagle, Founder & CEO, Power My Wealth is advising to a buy the stock with stoploss of Rs 221 for target of Rs 236.