JK Tyres - 530007

Name of Company	JK Tyres and Industries Ltd
BSE Code	530007
NSE Code	JKTYRE
ICICI Code
Established
My Take	So-So
Headquarters	Kolkata
Promoters	JK Group
Story	Presence in 80 countries. turned around Tornel - mexico subsidiary.
Sector	Auto anciliary
Sub-sector	tyres
Website	http://www.jktyre.com/
Positives	Regular dividend payer - dividend yield expected is > 1%. Not a loss making FY for the last 5 years. Expansion plans - setting up a plant in Chennai for car and truck radial tyres, increasing truck/bus radial tyres capacity to 1 mi by 2012. 46% promoter holding - none pledged.
Negatives	Very low NPM - close to 0% on some years, maximum for the last 5 years was 4.4%. Revenue has come down to 3.6K Cr (FY10) from 4.9K Cr (FY09). Strikes at Kankroli plant have been a drag on earnings. Pressure in margins by higher rubber prices.
Peers	Ceat, MRF, Apollo
News
Price @ blogged	182.20 (9-Oct-2010)
Cost of company	748 Cr market cap at current price. For a FY10 profit of163 Cr, PE is at 4.6 times. but 163 Cr is an oddity. Next year could be anywhere between 10 and 120 Cr.