Find your next quality investment with Simply Wall St's easy and powerful screener, trusted by over 7 million individual investors worldwide.
The fair value for Apollo Tyres is held at ₹562.71 per share, so the latest update is more about fine tuning assumptions than resetting the price anchor. Analysts are drawing on recent work around capital allocators to frame how small shifts in required return and risk perception, rather than big headline target moves, can still influence how you think about the tyre maker's equity story. Read on to see how this evolving narrative might shape the way you track Apollo Tyres from here.
What Wall Street Has Been Saying
🐂 Bullish Takeaways
-
Several global houses covering Apollo Global, including BofA, UBS and Wolfe Research, continue to assign Buy or Outperform style ratings. This signals confidence in the broader alternative asset manager model that underpins Apollo Tyres' capital allocation backdrop.
-
BofA highlights what it sees as a "significant level of misinformation" around private credit and points to "solid to strong investment performance" at peers. This can support investor comfort with funding availability and valuations across credit linked stories.
-
Wolfe Research includes Apollo Global in its Top 10 Themes for 2026, indicating that alternative managers remain central in many institutional portfolios. This context can matter for how you frame long term support for companies like Apollo Tyres.
🐻 Bearish Takeaways
-
Goldman Sachs flags headwinds in retail private credit flows, citing BCRED net outflows of US$1.4b and a 7.9% gross redemption rate in Q1. It sees this as a drag on management fees and fee related earnings for credit heavy platforms, a reminder that funding conditions can tighten.
-
RBC Capital's Sector Perform stance on Apollo Global, framed around valuation and existing consensus assumptions, shows that some analysts view much of the earnings story as already reflected in prices. This attitude can cap how aggressively investors are willing to pay up for related equity stories.
Do your thoughts align with the Bull or Bear Analysts? Perhaps you think there's more to the story. Head to the Simply Wall St Community to discover more perspectives!
We've flagged 2 risks for Apollo Tyres. See which could impact your investment.
What's in the News
-
Apollo Tyres has approved a capacity expansion at its Andhra Pradesh plant, targeting an additional 3.7 million passenger car radial tyres and 1.3 million truck and bus radial tyres a year by the end of FY2029, backed by about ₹58.1b of investment funded through internal accruals and debt.
-
The Andhra Pradesh facility currently has capacity of about 7.1 million passenger car radial tyres and 1.6 million truck and bus radial tyres a year, with utilization around 82% and 89% respectively.
-
The board plans to meet on February 4, 2026 to review unaudited standalone and consolidated results for the quarter and nine months ended December 31, 2025, and to consider an interim dividend for FY26, with February 10, 2026 as the record date if a dividend is approved.
-
An extraordinary shareholders meeting via postal ballot is scheduled for January 16, 2026 to consider a private placement of non convertible debentures and the appointment of Rajendra Chitale and Tapan Mitra as independent directors.
How This Changes the Fair Value For Apollo Tyres
-
Fair Value stays at ₹562.71 per share, with no change to the core valuation anchor.
-
Revenue Growth remains around 7.28% in both the earlier and updated assumptions.
-
Net Profit Margin holds broadly steady at about 6.63%, with only a very small technical adjustment.
-
Future P/E is adjusted slightly from about 23.57x to 23.59x.
-
The Discount Rate edges up from 14.66% to about 14.70% in the model.
Never Miss an Update: Follow The Narrative
Narratives link a company's real world decisions and operating backdrop to a financial forecast and fair value anchor. They refresh as new earnings, capital allocation moves and risk signals come through, so you always see the latest version of the story.
Head over to the Simply Wall St Community and follow the Narrative on Apollo Tyres to stay up to date on:
-
How the product mix shift towards ultrahigh performance tyres in Europe and market share gains in India, the U.S. and Middle East feed into revenue and margin expectations.
-
What analysts are assuming for revenue growth, margin expansion, earnings by 2028 and share count, and how these are brought together using a 14.7% discount rate.
-
Key risks around raw material costs, OEM and export pressures, interest expenses and high near term capex that could challenge cash flow and invalidate the current narrative.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include APOLLOTYRE.nsei .
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
