Buy Apollo Tyres, target price Rs 424: Motilal Oswal Financial Services

Motilal Oswal Financial Services has buy call on Apollo Tyres with a target price of Rs 424. The current market price of Apollo Tyres is Rs 406.75. Motilal Oswal Financial Services recommended to keep stoploss at Rs 395.

Apollo Tyres, incorporated in the year 1972, is a Mid Cap company (having a market cap of Rs 25724.76 Crore) operating in Tyres sector.

Apollo Tyres key Products/Revenue Segments include Tyres, Tubes & Flaps, Other Operating Revenue and Scrap for the year ending 31-Mar-2022.


Financials
For the quarter ended 31-03-2023, the company has reported a Consolidated Total Income of Rs 6264.24 Crore, down -2.57 % from last quarter Total Income of Rs 6429.48 Crore and up 11.55 % from last year same quarter Total Income of Rs 5615.49 Crore. Company has reported net profit after tax of Rs 427.32 Crore in latest quarter.

The company’s top management includes Mr.Onkar S Kanwar, Ms.Lakshmi Puri, Mr.Francesco Gori, Mr.Vinod Rai, GeneralBikram Singh, Mr.Vikram S Mehta, Mr.Robert Steinmetz, Mr.Akshay Chudasama, Mr.Sunam Sarkar, Mrs.Pallavi Shroff, Mr.Francesco Crispino, Mr.Satish Sharma, Mr.Neeraj Kanwar, Mr.Vishal Mahadevia. Company has Walker Chandiok & Co. LLP as its auditors. As on 31-03-2023, the company has a total of 64 Crore shares outstanding.

Investment Rationale
Stock has come out of its consolidation on daily frame and holding well at higher zones.

Promoter/FII Holdings
Promoters held 37.34 per cent stake in the company as of 31-Mar-2023, while FIIs owned 22.35 per cent, DIIs 17.68 per cent.