JK Tyre & Industries Limited (JKTYRE) AI Stock Analysis

• Market Cap: ₹118.89B
• Dividend Yield: 0.59%
• Average Volume (3M): 51.02K
• Price to Earnings (P/E): 17.2
• Beta (1Y): 1.43
• Revenue Growth: 4.55%
• EPS Growth: -30.30%
• Country: IN
• Employees: 5,681
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 11.10
• Shares Outstanding: 288,289,520
• 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): 31.87
• Revenue Forecast (FY): ₹161.94B

• Rating: 56 Neutral
• Price Target: ₹453.00 ▼(-11.48% Downside)
• Action: Reiterated Date: 03/05/26
• Date: Action: Reiterated 03/05/26

The score is anchored by solid but not exceptional financial performance (growth and improving operating margins offset by profit-margin volatility and uneven free cash flow). Technicals are the largest drag, with the stock trading below major moving averages and negative MACD, despite oversold readings. Valuation is neutral with a mid-range P/E and low dividend yield.

Positive Factors

Consistent Revenue Growth

Reported consistent revenue growth (fundamentals show ~8.4% revenue growth) indicates durable demand across OEM, replacement and export channels. Sustained top-line expansion supports scale economics, investment capacity and a steadier earnings base over months.

Improving Operating Margins

A documented increase in EBIT/EBITDA margins signals improving operating efficiency and better cost-structure management. If maintained, higher operating margins provide lasting buffer against input cost swings and fund reinvestment, supporting profitability durability.

Strong Operating Cash Flow

Consistently strong operating cash generation underpins the company’s ability to fund working capital, service debt and support capex cycles. Reliable OCF provides financial stability and flexibility even when free cash flow is uneven across investment cycles.

Negative Factors

Free Cash Flow Volatility

Inconsistent free cash flow driven by fluctuating capex reduces the firm’s ability to fund growth, pay down leverage or return capital reliably. Over a multi-month horizon this can force external financing or tight capital-allocation tradeoffs when investment needs rise.

Net Profit Margin Volatility

Volatile net margins undermine predictability of earnings and ROE. Given the business’s exposure to key inputs (natural rubber and petroleum-based materials), margin swings can persist and complicate planning, pricing and long-term return consistency.

Relatively Low Equity Ratio / Leverage

A relatively low equity ratio implies greater dependence on debt financing, which raises interest and refinancing vulnerability. Over 2–6 months this can constrain strategic investment, increase fixed costs and reduce financial flexibility during demand or cost shocks.

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

Income statement trends are positive with consistent revenue growth and improved EBIT/EBITDA margins, but net profit margin volatility and inconsistent free cash flow (despite strong operating cash flow) reduce overall quality. Balance sheet leverage appears manageable, though the equity ratio is relatively low.

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	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	153.13B	146.93B	148.69B	145.20B	118.53B	90.43B
Gross Profit	50.01B	54.37B	58.41B	45.68B	38.87B	35.89B
EBITDA	15.67B	15.55B	20.37B	12.50B	10.14B	12.51B
Net Income	5.35B	4.95B	7.86B	2.62B	2.10B	3.19B
Balance Sheet
Total Assets	150.99B	145.19B	140.94B	124.49B	122.48B	109.87B
Cash, Cash Equivalents and Short-Term Investments	5.21B	7.23B	7.54B	4.49B	1.75B	938.90M
Total Debt	48.21B	49.11B	46.09B	48.82B	52.20B	48.01B
Total Liabilities	97.23B	95.35B	94.88B	89.53B	93.00B	82.08B
Stockholders Equity	52.40B	48.50B	44.87B	33.96B	28.48B	26.73B
Cash Flow
Free Cash Flow	2.54B	770.30M	8.40B	7.61B	318.40M	14.05B
Operating Cash Flow	8.66B	7.16B	16.14B	12.24B	3.46B	15.98B
Investing Cash Flow	-4.05B	-4.55B	-12.08B	-4.00B	-2.45B	-1.38B
Financing Cash Flow	-5.12B	-2.37B	-4.13B	-7.47B	-961.90M	-14.41B

JK Tyre & Industries Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 511.75
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• 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 Negative. The current price of 511.75 is above the 20-day moving average (MA) of 469.00, above the 50-day MA of 506.46, and above the 200-day MA of 420.72, indicating a bearish trend. The MACD of -29.84 indicates Positive momentum. The RSI at 32.94 is Neutral, neither overbought nor oversold. The STOCH value of 44.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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
MINDACORP	69 Neutral	₹119.61B	39.41	―	0.23%	12.99%	2.43%
JBMA	65 Neutral	₹130.11B	67.30	―	0.15%	7.63%	11.25%
APOLLOTYRE	64 Neutral	₹266.36B	16.87	―	0.98%	4.36%	-45.33%
CEATLTD	64 Neutral	₹140.88B	24.70	―	0.77%	12.61%	-12.56%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MAHSCOOTER	61 Neutral	₹142.93B	987.71	―	1.57%	―	―
JKTYRE	56 Neutral	₹118.89B	17.24	―	0.59%	4.55%	-30.30%

JK Tyre & Industries Limited Corporate Events

JK Tyre Releases Q3 FY26 Investor Presentation to Exchanges

JK Tyre & Industries Limited has submitted its investor presentation for the third quarter of financial year 2026 to the National Stock Exchange of India and BSE Ltd in compliance with disclosure regulations. The Q3 FY26 investor presentation, which has also been uploaded to the company’s website, is intended to provide shareholders and analysts with detailed updates on its quarterly performance and outlook, reinforcing its transparency and ongoing engagement with capital market participants.

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.