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Fundamentals for MRF Limited
Business Operations:
Sector: Consumer CyclicalIndustry: Auto Parts
MRF Limited, together with its subsidiaries, engages in the manufacture, sale, and trading of rubber products in India and internationally. The company provides tires for passenger cars, two wheelers, three wheelers, pick up, farm vehicles, over-the-road trucks, fighter aircraft, and various commercial vehicles; rubber products, such as tubes, flaps, retreaded tires, and tread rubber products; and manufactures specialty coatings. It also involved in the paints and coats, toys, and motorsports businesses. In addition, the company operates MRF T&S, MRF TireTok, MRF Tyredrome, MRF FASST, MRF MuscleZone, and shops that provide computerized nitrogen inflation, tubeless repair, wheel alignment, wheel balancing and tire changing; robotic wheel alignment, vehicle safety test lane, diagnostic wheel balancing, A/C recovery and recharging, electronic headlight aligner, nitrogen generator membrane type, and special two-wheeler tire changer; and wheels removal and refitment, and tire mounting and de-mounting services. It exports and sells its products through dealer networks. The company was founded in 1946 and is based in Chennai, India.
Revenue projections:
MRF's revenues are expected to fall below last year's, and this forecast tends to raise concerns among investors. A revenue drop can negatively impact the company's profitability, making investors more cautious about their positions due to the risks of declining financial performance.
Financial Ratios:
| currentRatio | 0.000000 |
|---|---|
| forwardPE | 20.914228 |
| debtToEquity | 18.678000 |
| earningsGrowth | 1.193000 |
| revenueGrowth | 0.150000 |
| grossMargins | 0.357330 |
| operatingMargins | 0.119400 |
| trailingEps | 5259.370000 |
| forwardEps | 6318.426000 |
MRF Limited's Forward PE ratio suggests the stock price is reasonable in relation to earnings. It's not overpriced, providing room for future growth, making the stock a potentially valuable investment for those seeking long-term gains.
MRF's low Debt-to-Equity ratio indicates the company is not over-leveraged. By limiting its dependence on debt, MRF reduces its financial risk and demonstrates a strong capital structure, making it a more stable investment option for those wary of excessive borrowing.
MRF Limited's positive earnings and revenue growth suggest that the company is poised for business expansion. This financial strength indicates that MRF Limited is expected to continue growing, with rising profits and sales contributing to its long-term success.
With MRF's forward EPS higher than its trailing EPS, the company is expected to be more profitable in the current financial year. This signals confidence in MRF's growth potential, as improved earnings are forecasted compared to the prior year's performance.
Price projections:
Price projections for MRF have been revised upward over time, signaling increasing optimism about the company's future. This steady increase reflects a positive outlook for MRF's growth and market performance.
Recommendation changes over time:
The recent buy bias from analysts suggests MRF Limited is seen as a strong investment, encouraging more investors to consider it. With this favorable sentiment, MRF Limited appears to be a reliable option for parking money, offering stability and long-term growth potential in the stock market.
DISCLAIMER: We provide information and our musings based on events, but nothing on this site can be considered professional advice of any kind.
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