MRF Limited (MRF) AI Stock Analysis

• Market Cap: ₹642.17B
• Dividend Yield: 0.15%
• Average Volume (3M): 353.00
• Price to Earnings (P/E): 34.6
• Beta (1Y): 1.08
• Revenue Growth: 9.56%
• EPS Growth: -4.82%
• Country: IN
• Employees: 19,209
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 1206.80
• Shares Outstanding: 4,241,143
• 10 Day Avg. Volume: 287
• 30 Day Avg. Volume: 353
• PEG Ratio: -2.52
• Price to Book (P/B): 2.59
• Price to Sales (P/S): 1.70
• P/FCF Ratio: 85.66
• 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: Moderate Sell
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: ₹162,230 ▲(7.14% Upside)

MRF Limited's strong financial performance, characterized by consistent revenue growth and a solid balance sheet, is the primary driver of its stock score. Technical indicators suggest a neutral trend with potential for upward movement. However, the high P/E ratio and low dividend yield indicate valuation concerns, which weigh down the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, enhancing long-term business stability and expansion potential.

Balance Sheet Health

A strong balance sheet with low leverage enhances financial stability, providing resilience against economic downturns and enabling strategic investments.

Cash Flow Management

Effective cash flow management supports operational flexibility and investment capacity, crucial for sustaining growth and competitive positioning.

Negative Factors

Profit Margin Volatility

Volatility in profit margins can indicate challenges in cost control or pricing power, potentially impacting long-term profitability and competitive edge.

Free Cash Flow Volatility

Volatile free cash flow may signal inconsistent capital allocation strategies, which could affect liquidity and investment capabilities over time.

Asset-Liability Structure

High asset-liability linkage can constrain financial agility, posing risks to operational adaptability and strategic maneuvering in challenging environments.

MRF Limited Business Overview & Revenue Model

Company Description

MRF Limited, together with its subsidiaries, manufactures, sells, and trades in rubber products in India and internationally. The company provides rubber products, such as tires, tubes, flaps, and tread rubber; tires for trucks, farm vehicles, LCVs, SCVs, MCVs, three wheelers, pick up, two wheelers, passenger cars, and OTRs; and manufactures specialty coatings. It is also involved in the paints and coats, toys, motorsports, and cricket training 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 tyre changing, robotic wheel alignment, vehicle safety test lane, diagnostic wheel balancing, A/C recovery and recharging, headlight alignment, nitrogen generation, special two-wheeler tyre changing, credit card facility, wheels removal and refitment, and tyre mounting and de-mounting services. MRF Limited sells its products through approximately 5,000 dealer networks. The company was founded in 1946 and is based in Chennai, India.

How the Company Makes Money

MRF generates revenue primarily through the sale of its tire products, which account for a substantial portion of its income. The company operates a multi-tiered revenue model that includes the direct sale of tires to consumers through retail outlets, distribution to automotive manufacturers, and exports to various international markets. Additionally, MRF earns income from the sale of other rubber products, including conveyor belts and tread rubber. Significant partnerships with major automobile manufacturers enhance its revenue through bulk orders. The company's strong brand reputation and extensive distribution network further bolster its ability to attract customers and maintain market share, contributing positively to its overall earnings.

MRF Limited Financial Statement Overview

Summary

MRF Limited displays a strong financial profile with consistent revenue growth and effective cash flow management. The balance sheet is solid, with prudent leverage and increasing equity. However, profitability margins have shown some volatility, and recent free cash flow reductions suggest increased capital investments.

Income Statement

MRF Limited's revenue has shown consistent growth, increasing from 160,766.7M in 2021 to 281,531.8M in 2025. The gross profit margin remained stable, with a slight increase in recent years, indicating efficient cost management. However, the net profit margin has fluctuated due to varied net income figures, with a noticeable decline in EBIT and EBITDA margins in 2025, which may suggest increased operational costs or pricing pressures.

Balance Sheet

The company's balance sheet is robust, with a healthy equity ratio indicating strong shareholder equity backing. The debt-to-equity ratio is consistently low, reflecting conservative leverage practices. However, a significant portion of assets is tied up in liabilities, which could limit flexibility in adverse market conditions. Return on equity shows a positive trend, driven by growing net income relative to stockholder equity.

Cash Flow

Cash flows are positive, with operating cash flow consistently exceeding net income, suggesting effective cash generation from operations. However, free cash flow has been volatile, reflecting varying levels of capital expenditure. The recent reduction in free cash flow may indicate increased investment activities, which could either return future benefits or pose liquidity risks.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	286.50B	281.71B	251.74B	230.15B	193.32B	161.85B
Gross Profit	98.98B	99.20B	97.91B	72.98B	64.95B	66.46B
EBITDA	40.51B	40.17B	41.95B	23.48B	20.70B	29.52B
Net Income	17.99B	18.69B	20.81B	7.69B	6.69B	12.77B
Balance Sheet
Total Assets	0.00	295.67B	268.49B	243.69B	230.60B	225.82B
Cash, Cash Equivalents and Short-Term Investments	39.28B	39.28B	27.47B	22.23B	34.05B	49.11B
Total Debt	0.00	37.71B	28.21B	30.14B	32.29B	23.88B
Total Liabilities	-184.89B	110.78B	101.46B	96.62B	90.28B	91.68B
Stockholders Equity	184.89B	184.88B	167.03B	147.08B	140.32B	134.14B
Cash Flow
Free Cash Flow	0.00	5.60B	11.38B	-5.36B	-22.85B	34.72B
Operating Cash Flow	0.00	18.68B	33.01B	27.55B	-5.78B	43.25B
Investing Cash Flow	0.00	-20.82B	-23.79B	-19.23B	1.65B	-50.86B
Financing Cash Flow	0.00	2.82B	-8.68B	-8.40B	4.24B	-2.50B

MRF Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 151413.30
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:MRF, the sentiment is Negative. The current price of 151413.3 is below the 20-day moving average (MA) of 152864.77, below the 50-day MA of 155535.73, and above the 200-day MA of 142233.18, indicating a neutral trend. The MACD of -613.75 indicates Negative momentum. The RSI at 42.63 is Neutral, neither overbought nor oversold. The STOCH value of 48.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:MRF.

MRF Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CEATLTD	69 Neutral	₹156.89B	31.69	―	0.77%	12.61%	-12.56%
JKTYRE	69 Neutral	₹139.33B	26.03	―	0.59%	4.55%	-30.30%
MRF	68 Neutral	₹642.17B	34.64	―	0.15%	9.56%	-4.82%
APOLLOTYRE	64 Neutral	₹324.95B	40.99	―	0.98%	4.36%	-45.33%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
EXIDEIND	58 Neutral	₹311.95B	39.56	―	0.54%	2.19%	-5.70%
SUPREMEIND	56 Neutral	₹421.90B	49.76	―	1.05%	1.68%	-22.27%

MRF Limited Corporate Events

MRF Limited Reports on Physical Share Transfer Requests

MRF Limited has reported to the stock exchanges regarding the re-lodgement of transfer requests for physical shares as per the SEBI circular dated July 2025. For the month ending November 2025, the company did not receive, process, approve, or reject any requests, indicating a lack of activity in this area. This update is part of regulatory compliance and does not imply any immediate impact on the company’s operations or stakeholder interests.