Overall Fundamental outlook

Business Operations:

Sector: Consumer Cyclical
Industry: Auto Parts

MRF Limited, together with its subsidiaries, engages in the manufacture, sale, and trading of rubber products in India and internationally. The company provides tires for passenger cars, two wheelers, three wheelers, pick up, farm vehicles, over-the-road trucks, fighter aircraft, and various commercial vehicles; rubber products, such as tubes, flaps, retreaded tires, and tread rubber products; and manufactures specialty coatings. It also involved in the paints and coats, toys, and motorsports 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 tire changing; robotic wheel alignment, vehicle safety test lane, diagnostic wheel balancing, A/C recovery and recharging, electronic headlight aligner, nitrogen generator membrane type, and special two-wheeler tire changer; and wheels removal and refitment, and tire mounting and de-mounting services. It exports and sells its products through dealer networks. The company was founded in 1946 and is based in Chennai, India.

Revenue projections:

Revenue projections for MRF
Revenue projections for MRF

With MRF's revenues forecasted to be lower than last year's, investors are expected to be cautious. A decline in revenue typically harms the company's bottom line, reducing profitability and making investors less confident about the company's ability to sustain its financial health.

Financial Ratios:

currentRatio 1.58100
forwardPE 24.13661
debtToEquity 18.67800
earningsGrowth 0.11700
revenueGrowth 0.07200
grossMargins 0.34519
operatingMargins 0.09226
trailingEps 4372.49000
forwardEps 5298.15000

MRF's current ratio of 1.581 indicates strong liquidity, meaning the company can comfortably meet its short-term debt obligations. This financial position reflects MRF's ability to use its cash reserves and current assets to cover liabilities without facing any cash flow issues.
MRF's Forward PE is in a reasonable range, indicating the stock is priced well relative to its earnings. The stock isn't overpriced, which leaves room for future growth, making it an attractive option for investors seeking value and long-term gains.
MRF Limited's low Debt-to-Equity ratio signals the company is not over-leveraged, meaning it has a conservative approach to debt. This reduces financial risk and indicates a stable financial foundation, providing flexibility and security, which can appeal to investors seeking lower-risk investments.
MRF Limited's forward EPS is higher than its trailing EPS, suggesting the company is expected to see an increase in profitability this year. This points to positive growth, indicating that MRF Limited is projected to improve its financial performance compared to the previous year.

Price projections:

Price projections for MRF
Price projections for MRF

The stock price of MRF has often been near the lower end of projections, indicating that it may not be meeting investor expectations. This trend could suggest challenges ahead for the company.

Recommendation changes over time:

Recommendations trend for MRF
Recommendations trend for MRF


A recent sell bias for MRF from analysts suggests caution for investors. However, decisions should be grounded in a diverse set of market indicators, ensuring that a wider perspective is considered before making any moves regarding the stock's performance and potential risks.