JK Tyre Share: Return of 23.26 percent to its investors

JK Tyre Share: You must have heard the name of JK Tyre at some point or the other. The name of JK Tyre manufacturing company is JK Tyre & Industries Limited, which is one of the largest tire manufacturing companies in India. It is a flagship company of JK Organization.

According to popularity, it is one of the top largest tyre companies in the world. The company produces products such as automobile tyres, tubes and flaps. Their portfolio includes tyres for passenger cars, motorcycles/scooters, commercial vehicles (trucks and buses), light commercial vehicles, small commercial vehicles, agricultural equipment and off-the-road applications.

Table of Contents

• Small Overview of JK Tyre Company
• JK Tyre Share Technical Analysis
• Moving Average
• JK Tyre Share Pros, Cons And Stock Peer Comparison
• JK Tyre Share Financial Analysis
• JK Tyre Share Fundamentals Details
• JK Tyre Share holding pattern
• JK Tyre Company Profit, Loss & Dividend Pay out
• JK Tyre Share Price Future Target
• Future Growth of JK Tyre Share
• Our Team Conclusion
• FAQs

Small Overview of JK Tyre Company

The flagship company of JK Organization, JK Tyre & Industries Ltd is one of India’s foremost tyre manufacturers and is also amongst the top 25 manufacturers in the world. JK Tyre launched India’s first ever ‘Smart Tyre’ technology-and introduced Tyre Pressure Monitoring Systems (TPMS) by offering TREEL Sensors, which monitors the tyre’s vital statistics, including pressure and temperature.

A global force, JK Tyre is present in 105 countries with over 180 Global distributors. The Company has 12 globally-benchmarked ‘sustainable’ manufacturing facilities – 09 in India and 03 in Mexico – that collectively produce around 35 million tyres annually. The Company also has a strong network of over 4000 dealers and 500+ dedicated Brand shops called as Steel Wheels and Xpress Wheels.

JK Tyre is also synonymous with motorsport in the country. For over three decades, the Company has relentlessly worked towards shaping India’s positioning as the motorsport hub of Asia, developing the right infrastructure for the sport and promoting young talent in the arena.

JK Tyre Share Technical Analysis

To perform technical analysis of JK Tyre stock, we have to pay attention to some key chart patterns and indicators. Currently, JK Tyre’s stock position can be based on the following points:

Support and Resistance levels:

• In technical analysis, a support level is the point where a stock price stops after falling and moves upward. For JK Tyre, recent support levels are seen around ₹392.
• Resistance level is the point where the stock price stops rising and then moves down.

Moving Average:

• 50-day moving average (MA): If the stock price is trading above the 50-day moving average, it can be a positive sign. Conversely, if the price is below it, it could be a bearish signal.
• 200-day moving average: Longer-term moving averages, such as the 200-day, reflect long-term trends. If the current price is above this level, it could be a bullish signal.

Relative Strength Index (RSI):

The RSI is an oscillator that indicates whether a stock is in an overbought or oversold condition. If the RSI is above 70, it could be an overbought condition, and if below 30, it could be an overbought condition.

Bollinger Bands:

When the stock price touches the upper Bollinger Band, it may indicate that the stock is in an overbought condition. At the same time, contact with the lower band can be a bearish signal.

Keeping these indicators and patterns in mind, investors can make potential investment decisions in JK Tyre stock. However, always keep in mind that technical analysis should be taken in conjunction with other factors such as fundamental analysis and economic conditions of the company.

JK Tyre Share Pros, Cons And Stock Peer Comparison

JK Tyre Share Financial Analysis

It is a very strong company in tyre industry. It is a mid-cap company with a market cap of ₹11,182 crores. The company has been generating consistent profit for the last 5 quarters. JK Tire’s profit in the December quarter of FY24 was ₹227 crores, which is an example of its growing business in the market.

At the same time, growth is also being seen in its revenue. Its revenue in the financial year 2023 was 14,681 crores, which is more than 2.5 thousand crore compared to 2022. The company’s revenue in FY 2022 was ₹12,020 crores.

JK Tyre Share Fundamentals Details

JK Tyre Share Share holding pattern

The shareholding pattern of JK Tyre & Industries Limited is a positive sign for investors. Because the promoters’ stake in it is 53.1 percent. At the same time, foreign investors and mutual funds have also invested in it. In this way investors have full confidence in the company’s performance.

JK Tyre Company Profit, Loss & Dividend Pay out Data

Here you will see 12 years back record on yearly mode company profit, loss with dividend percentage in tabulate form.

JK Tyre Share Price Future Target

In the last 6 months, it has given a return of 23.26 percent to its investors, which is a good return considering the small time frame. JK Tyre’s stock price as on November 7, 2023 was ₹341.15. In this way this stock has strengthened by ₹ 79.45 in these 6 months.

Future Growth of JK Tyre Share

JK Tyre & Industries plans to invest ₹1,400 crores in the next two years. The company is making this investment to meet the demand for truck, bus and passenger vehicle radial tyres. In the three months ending December 31, 2023, JK Tyre & Industries’ net profit almost quadrupled to ₹227 crores, an example of growth in sales, improved products and the company’s credibility.

The firm posted net sales of ₹3,700 crores, showing a growth of 2% over the previous year. Notably, the company has also reduced its net debt by 24% to ₹3,456 crore from the March 2023 level. Recently, JK Tyre & Industries has made important announcements related to its business and investments.

Our Team Conclusion

When analyzing JK Tyre shares, it is important to pay attention to the company’s financial condition, market competition, and future prospects. JK Tyre is a reputed brand, known for high quality tyre products. The financial position of the company is stable and has recorded strong performance over the years. Furthermore, the company’s emphasis on expansion and innovation, such as the use of new technologies and international market entry, highlights its long-term growth prospects.

However, there are also challenges such as market uncertainties and fluctuations in raw material prices. Overall, investing in JK Tyre shares can be a stable and promising option, but it is important to have complete information and evaluate the risks before investing.

We are not a financial advisor registered by SEBI, hence before investing in JK Tyre Share, please think once and invest as per your own risk. The stock market is full of risks in which your entire capital can become zero. You must consult your financial advisor before investing.

FAQs