Hem Securities has given Buy recommendation for Apollo Tyres with a target price of Rs. 271 in its research report issued on Nov 12, 2021
Hem Securities report on Apollo Tyres
Apollo Ltd Q2FY22 consolidated revenues came in at ₹5,077.3 Cr, up 18.2% YoY and up 10.7% QoQ. ▪ EBITDA for Q2FY22 stood at ₹638 Cr, down 9.7% YoY and up 12.6% QoQ. ▪ EBITDA margins for Q2FY22 came at 12.36% as compared to 20.27% in Q1FY22 and 16.46% in Q2FY21. ▪ PAT for Q1FY22 stood at ₹173.7 Cr, up 36% QoQ.
We initiate a “BUY” rating on the stock and value the stock at 16x FY23E earnings to arrive at the target of ₹271.