Apollo Tyres at new high

Apollo Tyres, which had closed yesterday at Rs.227.30, opened at Rs.238.30, before rushing up to hit a new 2-year high at Rs.255.55.

The market is super enthused with its earnings for Q3FY21 wherein its consolidated net profit jumped up by a huge 155% (YoY) to Rs.444 crore on the back of a 14% increase in sales at Rs.4965 crore.

The good news was also that it reduced its net debt to Rs 3,800 crore as of December 2020 from Rs 6,000 crore in March 2020.

Following this, many brokerage houses have upped their targets as most confer that going ahead, the surge in demand from OEMs and replacement markets plus the import restrictions on tyres bodes well for the company.