One can buy Apollo Tyres on declines, says Amit Gupta of ICICI Direct. It came down till Rs 79. In this upmove we have seen almost 50 percent of the short positions have been closed, so it is going to move towards Rs 98.
One can buy Apollo Tyres on declines, says Amit Gupta of ICICI Direct.
Gupta told CNBC-TV18, "Apollo Tyres has consolidated a lot after the last quarterly results. There was news that the promoters possibly may dilute some stake, so some volumes were seen in the last quarter around Rs 90 levels. It came down till Rs 79. In this upmove we have seen almost 50 percent of the short positions have been closed. So my sense is it is going to move towards Rs 98, it will take out Rs 90 very soon and hence on declines it is a buy."
The share touched its 52-week high Rs 102.45 and 52-week low Rs 60.35 on 14 September, 2012 and 02 January, 2012, respectively.
Currently, it is trading 10.83% below its 52-week high and 51.37% above its 52-week low.
Market capitalisation stands at Rs 4,604.27 crore.
The company's trailing 12-month (TTM) EPS was at Rs 3.93 per share. (Sep, 2012). The stock's price-to-earnings (P/E) ratio was 23.24. The latest book value of the company is Rs 40.56 per share. At current value, the price-to-book value of the company was 2.25. The dividend yield of the company was 0.55%.