JK Tyre & Industries Limited (JKTYRE) AI Stock Analysis

• Market Cap: ₹142.35B
• Dividend Yield: 0.59%
• Average Volume (3M): 51.02K
• Price to Earnings (P/E): 26.6
• Beta (1Y): 1.44
• Revenue Growth: 4.55%
• EPS Growth: -30.30%
• Country: IN
• Employees: 5,681
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 8.40
• Shares Outstanding: 274,020,020
• 10 Day Avg. Volume: 47,806
• 30 Day Avg. Volume: 51,015
• PEG Ratio: -0.40
• Price to Book (P/B): 1.61
• Price to Sales (P/S): 0.53
• P/FCF Ratio: 101.26
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: ₹569.00 ▲(11.19% Upside)

JK Tyre & Industries Limited's stock is supported by strong technical momentum, although caution is advised due to overbought signals. Financial performance is solid but could benefit from improved cash flow consistency. The valuation appears stretched, suggesting potential overvaluation.

Positive Factors

Revenue growth and margin improvement

Sustained revenue growth alongside rising EBIT/EBITDA margins indicates improving operational efficiency and scale economics. Over the medium term this supports resilience to cyclical demand, enhances reinvestment capacity, and underpins durable profitability if cost controls and utilization persist.

Strong operating cash generation

Consistent operating cash flow reflects the business's ability to convert earnings into cash, a durable strength for funding working capital, servicing debt, and supporting capex without sole reliance on external financing. This underpins financial flexibility over the next several quarters.

Improving return on equity

Rising ROE signals that management is generating higher returns from shareholder capital, reflecting improved net income and asset use. Persistently higher ROE supports shareholder value creation and indicates competitive positioning and execution efficacy across product and customer segments.

Negative Factors

Net profit margin volatility

Volatile net margins reduce earnings predictability and make long-term planning harder; for a tyre maker exposed to rubber and oil input swings, uneven margins can impair reinvestment, dividend consistency, and the ability to absorb price shocks across economic cycles.

Inconsistent free cash flow

Irregular free cash flow constrains the firm's capacity to fund growth, repay debt, or return capital without external financing. Over time this can limit strategic investments, force higher leverage during capex cycles, and increase vulnerability to funding stress in downturns.

Relatively higher reliance on debt

A lower equity ratio implies greater leverage, reducing financial flexibility and increasing interest burden. In a cyclical auto-parts industry, higher debt amplifies downside risk during demand slumps and constrains the company's ability to pursue opportunistic investments without raising costly capital.

JK Tyre & Industries Limited Business Overview & Revenue Model

Company Description

JK Tyre & Industries Limited develops, manufactures, markets, and distributes automotive tyres, tubes, and flaps in India, Mexico, and internationally. The company offers truck/bus bias and radial, light and small commercial vehicle, farm, passenger car radial, off the road and industrial, military/defense, specialty, two- and three-wheeler, motorcycle and scooter, and racing car tyres, as well as retreads. It also operates tyre care centers that are involved in the repair, inflation pressure check, wheel alignment and balancing, rotation, and servicing of tyres.JK Tyre & Industries Limited provides its products under JK Tyre, Vikrant, and Tornel brands. The company markets its products and services through a network of approximately 600 Steel Wheels, Xpress Wheels, Truck Wheels, and Retread centers, as well as approximately 650 brand shops. JK Tyre & Industries Limited was incorporated in 1951 and is headquartered in New Delhi, India.

How the Company Makes Money

JK Tyre generates revenue primarily through the sale of tires for different vehicle segments, including passenger cars, commercial vehicles, and two-wheelers. The company has established a strong distribution network, which includes both direct sales and partnerships with dealers and retailers. Key revenue streams include domestic sales, as well as exports to international markets, enhancing its global footprint. Additionally, JK Tyre invests in research and development to innovate and improve tire performance, which helps in maintaining competitive advantage and attracting customers. The company also benefits from economies of scale due to its large production capacity, allowing it to manage costs effectively. Strategic partnerships with automobile manufacturers for original equipment supply further contribute to its earnings, ensuring a steady demand for its products.

JK Tyre & Industries Limited Financial Statement Overview

Summary

JK Tyre & Industries Limited shows solid revenue growth and improved operational margins. However, the net profit margin volatility and inconsistent free cash flow management highlight areas for improvement.

Income Statement

JK Tyre & Industries Limited has demonstrated consistent revenue growth over recent years, with a notable increase in EBIT and EBITDA margins, signaling improved operational efficiency. However, the net profit margin has been volatile, reflecting challenges in managing overall costs.

Balance Sheet

The company exhibits a moderate debt-to-equity ratio, indicating a balanced approach to leveraging. However, the equity ratio is relatively low, suggesting a higher reliance on debt. Return on Equity has shown positive trends, driven by increased net income over recent periods.

Cash Flow

Cash flow from operations remains strong, but free cash flow has been inconsistent due to varying capital expenditures. The operating cash flow to net income ratio indicates efficient cash generation relative to profit levels, though the recent decline in free cash flow warrants attention.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	149.23B	146.93B	148.69B	145.20B	118.53B	90.43B
Gross Profit	53.58B	54.37B	58.41B	45.68B	38.87B	35.89B
EBITDA	14.60B	15.55B	20.37B	12.50B	10.14B	12.51B
Net Income	4.49B	4.95B	7.86B	2.62B	2.10B	3.19B
Balance Sheet
Total Assets	0.00	145.19B	140.94B	124.49B	122.48B	109.87B
Cash, Cash Equivalents and Short-Term Investments	1.98B	7.23B	7.54B	4.49B	1.75B	938.90M
Total Debt	0.00	49.11B	46.09B	48.82B	52.20B	48.01B
Total Liabilities	-49.84B	95.35B	94.88B	89.53B	93.00B	82.08B
Stockholders Equity	49.84B	48.50B	44.87B	33.96B	28.48B	26.73B
Cash Flow
Free Cash Flow	0.00	770.30M	8.40B	7.61B	318.40M	14.05B
Operating Cash Flow	0.00	7.16B	16.14B	12.24B	3.46B	15.98B
Investing Cash Flow	0.00	-4.55B	-12.08B	-4.00B	-2.45B	-1.38B
Financing Cash Flow	0.00	-2.37B	-4.13B	-7.47B	-961.90M	-14.41B

JK Tyre & Industries Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 511.75
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:JKTYRE, the sentiment is Positive. The current price of 511.75 is above the 20-day moving average (MA) of 508.92, above the 50-day MA of 486.17, and above the 200-day MA of 394.29, indicating a bullish trend. The MACD of 7.59 indicates Positive momentum. The RSI at 63.73 is Neutral, neither overbought nor oversold. The STOCH value of 66.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:JKTYRE.

JK Tyre & Industries Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JKTYRE	69 Neutral	₹142.35B	26.59	―	0.59%	4.55%	-30.30%
CEATLTD	69 Neutral	₹152.10B	27.47	―	0.77%	12.61%	-12.56%
MINDACORP	69 Neutral	₹134.35B	49.72	―	0.23%	12.99%	2.43%
APOLLOTYRE	64 Neutral	₹312.50B	39.42	―	0.98%	4.36%	-45.33%
JBMA	64 Neutral	₹133.19B	63.16	―	0.15%	7.63%	11.25%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MAHSCOOTER	61 Neutral	₹153.90B	42.97	―	1.57%	―	―

JK Tyre & Industries Limited Corporate Events

JK Tyre Closes Trading Window Ahead of Q3 FY2025 Results

JK Tyre & Industries Limited has announced that its trading window for dealing in the company’s equity shares will be closed from 1 January 2026 until 48 hours after the declaration of its financial results for the quarter ending 31 December 2025, in compliance with SEBI’s Prohibition of Insider Trading Regulations, 2015. This routine governance measure is intended to prevent insider trading and ensure fair disclosure practices around the upcoming quarterly results, affecting directors, employees, and other designated persons who are restricted from trading during this period.