Balkrishna Inds (BALKRISIND)

FairStock Score: 48/100 — MIXED

Score breakdown: P/E: 0/3 · ROCE: 1/2 · Growth: 0/2 · Dividend: 0/1

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a Buffett/Graham investor, I look first at price versus value. Balkrishna Industries is a tyres and rubber products business with a ₹45,692 Cr market cap at ₹2,363.60. The balance sheet looks reasonably sturdy: debt/equity 0.35, Piotroski F-Score 7/9, Altman Z-Score 3.58, and positive FCF of ₹284 Cr. ROCE 16.67% and ROE 12.63% are respectable, though not mouth-watering. Promoter holding 58.30% aligns interests. The five-year revenue CAGR of 16.78% shows past growth, and the latest quarter had sales of ₹2,737 Cr and net profit of ₹382 Cr. But the recent trend has cooled: sales growth 6.90% and profit growth -15%. The tyre industry can be cyclical, and the profit decline suggests the recent earnings trend is under pressure. That matters for a value investor. Book value is ₹566.70, yet the stock trades at ₹2,363.60, so P/B 4.17 demands high returns. Valuation is my biggest worry. At P/E 32.47 and EV/EBITDA 120.27, the market is paying up. Graham Number is ₹905.91, DCF intrinsic value ₹54.16, and margin of safety is -163.15%—the price is far above these estimates. Dividend yield is only 0.75%, so little income cushion. The 52-week range ₹1,971.50–₹2,775.00 shows volatility. FairStock Score 48/100 confirms a mixed picture. I see a decent business, but not a bargain. I would wait for either earnings recovery or a much lower price before calling it a value opportunity.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer