Tyre stocks rally: Balkrishna Ind jumps 6%, MRF hits record high, Apollo Tyres hits 52-week high

Despite the Indian equity market trading almost flat on Tuesday afternoon with the Nifty shedding 8 points at 10,203 mark and the Sensex was down 15 points or 0.05 percent, tyre stocks were in focus with MRF jumping 3.47 percent and hitting a record high of Rs 75,612 per scrip on the NSE.

The government announced increase in custom duty on truck and bus radials imports to 15 percent from from 10 percent in Budget FY19 which augurs well for tyre companies. Other tyre stocks which gained in today's trade included Apollo Tyres which was up over 3 percent thereby hitting a new 52-week high.

TVS Srichakra spiked 4.14 percent and was trading at Rs 3423 per share while JK Tyre and Industries added close to 1 percent. The stock that gained the most in this tyre rally was Goodyear which zoomed over 5 percent and Balkrishna Industries which jumped 6.5 percent and was trading at Rs 1151 per share.

Research and broking firm ICICIdirect.com has a buy on Apollo Tyres till April expiry on 290 Call at Rs 6-7 with target at Rs 14 and stop loss at Rs 2.