MRF Share Price Crosses Rs 1 Lakh, Becomes India's First 6-Digit Stock
MRF stock was quoting at Rs 1,00,050 on the NSE in early morning trade
Share price of MRF crossed the much-awaited Rs 1-lakh mark on Tuesday, as the stock opened over 1 per cent higher. MRF stock was quoting at Rs 1,00,050 on the NSE at 9.25 am. The stock, however, had earlier hit the Rs 1 lakh mark in May but in the futures segment.
In the past one year, the tyre maker's stock has rallied over 45 per cent and has gained 81 per cent from March 2020 low of Rs 55,000. In December 2022, the stock scaled up to Rs 94,500 mark but failed to sustain that level. A sharp spike of in the stock came after May 3, when the company declared its Q4 results. MRF clocked a consolidated profit after tax (PAT) of Rs 313.53 crore for the fourth quarter ended March 2023, up 86 per cent year-on-year (YoY). In the same quarter last year, it had logged a net profit of Rs 168.53 crore.
MRF's consolidated revenue from operations came in at Rs 5,841.7 crore, up 10.12 per cent YoY. Along with the results, the company's board declared a final dividend of Rs 169 (1,690 percent on the face value of Rs 10 per share).
According to Bloomberg, the stock has only 1 Buy call on it, 2 Hold and 8 Sell calls. The 12-month target price on the stock is Rs 84,047, indicating a 16 percent slump from the current level.
According to news reports, most analysts have a Sell rating on the stock because of its high valuations. At a trailing price-to-earnings ratio of 55x, it is the most expensive tyre stock. A year back, too, analysts were cautious. There were 4 Buy calls, 3 Hold and 5 Sell calls on the stock and the 12-month target price was around Rs 70,800. Despite that, the stock has managed to cross the Rs 1 lakh mark.
At 11.30 am, the stock price dipped a bit. MRF shares were trading at Rs 99,800.00 apiece, up 0.87 per cent on the BSE on Monday.
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