JK Tyre hits 52-week high, stock rallies over 13% in the pre-opening session

At 9:15 am, JK Tyre & Industries shares jumped 13.94% to trade at a fresh 52-week high of Rs 351.05 from its previous closing of Rs 308.10 on the BSE.

JK Tyre & Industries’ board has approved expansion for enhancement of tyre manufacturing capacity with an investment of Rs 1,025 crore. The proposed capacity is expected to be added by October 2025. The said project is proposed to be funded by way of Equity / Internal Accruals and Debt. The Board of Directors of the Company at their meeting held on November 01, 2023, has approved the same.

The company also posted its financial results for the quarter ended September 30, 2023. Net profit jumped 371% to Rs 242 crore in Q2FY24 compared to Rs 51.31 crore from the previous year’s corresponding quarter. Revenue from operations stood at Rs 3,897.53 crore in Q2FY24, up by 3.8% from Rs 3,756.52 crore in Q2FY23.

JK Tyre & Industries is one of the leading tyre manufacturers in India and among the top 25 manufacturers in the world with a wide range of products catering to diverse business segments that include Truck/Bus, LCV (Light commercial vehicles), Passenger Cars, MUV (Multi utility vehicles) and Tractors.

On Wednesday, the stock opened at Rs 351.05 and touched a high and low of Rs 351.05 and Rs 333, respectively. The BSE group ‘A’ stock of face value of Rs 2 has a 52-week high and low of Rs 351.05 and Rs 141.65, respectively. Last one week high and low of the scrip stood at Rs 351.05 and Rs 295.35, respectively. The current market cap of the company is Rs 8,270.90 crore.

The promoters holding in the company stood at 56.26%, while Institutions and Non-Institutions held 11.56% and 32.19%, respectively.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.