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Apollo Tyres Q4 Review: Underperforms Peers, Corrective Measures In Place, Says Motilal Oswal— Maintains 'Buy'
Apollo Tyres' valuations at 15.6x FY27E appear attractive, especially when compared to peers, hence Motilal Oswal reiterates Buy rating with a target price of Rs 554
16 May 2025, 10:13 AM IST 
Apollo Tyres' standalone revenue grew 4% YoY to Rs 45.8 billion, trailing its peers’ growth.
(Source: Freepik)
After a weak performance in FY25, which was largely impacted by a sharp rise in input costs, Motilal Oswal expects Apollo Tyres’ margins to gradually revive, aided by softening costs and its focus on premiumization. We have factored in a 130bp expansion in Apollo Tyres’ margins over our forecast period, driving a 25% PAT CAGR over a corrected base. Valuations at 15.6x FY27E appear attractive, especially when compared to peers.
