NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
Nirmal Bang Report
We remain cautious on Balkrishna Industries Ltd. as the global off-highway-tyres demand outlook remains uncertain given the erratic weather conditions in Europe and ongoing geopolitical uncertainties.
We also believe that competitive intensity is rising in the global OHT market from low-cost producers in India and also the narrowing pricing gap with MNCs which could limit incremental market share gains.
We also factor in the margin pressure over the medium term and believe that margins will stabilise ~26% by FY27-end.
Furthermore, due to higher capex expectation for off-the road tyre capacity, carbon black and mould facility, we expect the return ratios to remain constrained.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.