Do not think about stoploss at all.
Now fundamentaly sound,
Future is very very bright.
Price of natural rubber is favourable,
OTR tyre project on card profit of magin in this produt is very high. Due to cheaper labour as well as easily avilable of raw material.
world wide market, export in hard currency.
Till the date `Balkrishna` was sole producer of OTR. Just varify the financial data of Balkrishna which is traded at 325/350.
Than JK Tyre is 75/80%cheaper than Balkrishna.
so, very attractive at CMP
Sure to crossed 100 mark within a month.
Every thing is favourable but competition is now going to get bottle neck because michelin,modi dunlop new players are ready to eat up old players market share. However if company foray into new area of business eg. retreading or three wheeler tyre then it could be possible to maintain same profit otherwise profit/sales will decline
they are on expansion of OTR... OTR tyres sell for lac Rs if not less... I think they would be doing great in days to come... will again reach 150 or so...
See in otr company still need to put lot of efforts part from that in coming quarters company will oose some of its market share due to competition coming from new entrants so it could be not possible for the company to reach 150 soon but after annoouncement of retreading business or any other it may shoot up. Tii it will remain between 80-90 as jk tyre share price largely depends upon annaouncement of the company
but if you look at the PE of the company it is still less compared to likes of MRF... so why is not catching up??? is there something wrong with the company`s perception in the market????
| NIFTY 
