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MRF Limited (MRF) Fair Value & Analysis

Consumer Cyclical · IN · Market cap ₹570B

ML MRF Limited MRF · NSE
Price₹133,850
Fair Value₹125,849
Upside-6.0%
Quality61/100
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Mixed Growth
Thin margins · 7.8% net margin
Low debt · generates free cash flow
0.18% dividend yield
Ranks above peers (9/14)
Moderate moat 49/100
Evidence: High Range ₹94,386 – ₹157,311 Share as image

Fair value as of: Jul 14, 2026

From 26 valuation models · updated 26 days ago

Share price −0.4% over the past month.

A solid business, currently priced close to our fair value.

What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • Our model range runs from ₹94,386 (bear) to ₹157,311 (bull), base ₹125,849. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 61/100 (solid quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

₹162,289 ₹63,526 Fair Value ₹125,849 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 14, 2026.

How to read this chart

60‑month range ₹63,526 – ₹162,289 · fair‑value band ₹94,386 – ₹157,311 · the ₹133,850 price screens above the ₹125,849 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 14, 2026.

Full chart & analysis →

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Analysis

MRF Limited (MRF) currently trades at ₹133,850, while our model-based Fair Value estimate is ₹125,849, implying the stock looks roughly 6.0% fairly valued today. The Quality Score stands at 61/100 (solid quality), in the Consumer Cyclical sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, MRF Limited generated revenue of ₹311B at a net margin of 7.8%. Revenue grew 13.4% year over year. It earns a return on equity of 12.3%. Net debt stands at ₹10.2B. Fundamentals as of Jul 14, 2026

Our scenario range runs from ₹94,386 (bear case) to ₹157,311 (bull case); at ₹133,850, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 18% below its 52-week high and 10% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at -44% fair-value upside, at -6%, MRF screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF ₹98,245 ₹169,185 ₹294,618 80
Residual Income ₹45,888 ₹55,562 ₹135,265 76
Rev-Margin DCF ₹75,630 ₹122,531 ₹181,769 74
All 26 models by family
DCF Models
FCF DCF ₹98,100 ₹172,462 ₹304,141 38
Owner Earnings ₹90,425 ₹158,674 ₹279,529 31
5Y Revenue Exit ₹75,630 ₹123,098 ₹186,078 39
5Y EBITDA Exit ₹99,508 ₹171,299 ₹259,924 41
5Y P/E Exit ₹93,454 ₹159,078 ₹232,626 38
10Y Revenue Exit ₹80,161 ₹127,914 ₹198,064 36
10Y EBITDA Exit ₹98,369 ₹163,620 ₹260,042 37
10Y P/E Exit ₹94,299 ₹154,567 ₹237,131 35
Earnings-Based
Graham-Dodd ₹38,899 ₹167,127 ₹228,377 54
Lynch FV ₹42,806 ₹61,151 ₹79,496 50
PEG = 1.0 ₹42,806 ₹61,151 ₹79,496 46
EPV ₹60,163 ₹69,945 ₹78,640 59
Dividend Discount
Gordon GGM ₹2,260 ₹4,935 ₹8,303 70
DDM Multi-Stage ₹2,260 ₹4,042 ₹5,143 61
Multiples
P/E Multiple ₹94,386 ₹125,849 ₹157,311 63
P/S Multiple ₹66,100 ₹88,134 ₹110,167 58
P/B Multiple ₹72,935 ₹97,247 ₹121,558 55
EV/EBIT ₹104,902 ₹138,292 ₹171,683 53
EV/EBITDA ₹108,725 ₹143,390 ₹178,054 54
EV/Revenue ₹66,425 ₹92,865 ₹119,305 43
Asset-Based
NCAV (Graham) ₹24,727 ₹33,135 ₹49,455 50
Growth DCF
Growth DCF ₹98,245 ₹169,185 ₹294,618 80
Rev-Margin DCF ₹75,630 ₹122,531 ₹181,769 74
Economic Profit
Residual Income ₹45,888 ₹55,562 ₹135,265 76
ROIC Compounder ₹64,780 ₹87,697 ₹120,593 72
Growth Earnings
Growth-Adj P/E ₹73,592 ₹105,131 ₹136,670 68

Widest divergence: DCF Models (₹158,674) versus Dividend Discount (₹4,042). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) ₹311B
Revenue growth (YoY) +13.4%
Net margin 7.8%
Return on equity 12.3%
Free cash flow ₹29.9B FY2026
P/E ratio 23.5
More key figures
Operating margin 10.7%
EPS (TTM) ₹5,727
Dividend yield 0.2%
EPS growth (YoY) +37.1%
Net debt ₹10.2B FY2026

Figures from reported company fundamentals · as of Jul 14, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 61/100

Of which business quality 63 · Market factors (momentum, volatility) 50

Profitability 51
Margins and returns on capital today
Quality Growth 51
Are margins and returns improving?
Cashflow 62
Earnings quality: real cash, not paper profit
Fin. Strength 75
Balance sheet, leverage, solvency risk
Investment 59
Disciplined investing over empire-building
Low Volatility 89
Calm price path (market factor)
Momentum 37
Price trend over the last 3–12 months (market factor)
52W Momentum 26
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

MRF Limited, together with its subsidiaries, engages in the manufacture and sale of rubber products in India and internationally.

Full company description

MRF Limited, together with its subsidiaries, engages in the manufacture and sale of rubber products in India and internationally. The company provides tires for passenger cars, two wheelers, fighter aircraft, farm, trucks, OTR, SCV, LCV, pick up, three wheeler, MCV, ICV, and tubes and valves products; rubber products, such as tubes, flaps, and tread rubber products; and manufactures specialty coatings. It also involved in the paints and coats, sports goods, and motorsports businesses. In addition, the company operates MRF T&S that provide computerized nitrogen inflation, tubeless repair, wheel alignment, wheel balancing and tire changing; MRF TireTok which offers robotic wheel alignment, vehicle safety test lane, diagnostic wheel balancing, semi-automatic tyre changer, A/C recovery and recharging, electronic headlight aligner, nitrogen generator membrane type, and special two-wheeler tire changer; MRF Tyredrome; MRF FASST that offers wheels removal and refitment, and tire mounting and de-mounting services; and MRF MuscleZone shops, as well as provides training for light and heavy commercial vehicle driving. The company was founded in 1946 and is based in Chennai, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

MRF Limited reported revenue of ₹311B in FY2026 versus ₹193B in FY2022, a compound +12.7%/yr. Reported net income was ₹24.3B in FY2026, compounding +38.0%/yr from FY2022.

Growth Quality 87/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2026)
₹311B
Latest YoY
+10.6%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+10.6%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+14.0%
Avg. growth/yr (22Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+12.1%
Revenue +12.7%/yr
FY22 ₹193B
FY23 ₹230B
FY24 ₹252B
FY25 ₹282B
FY26 ₹311B
Net income +38.0%/yr
FY22 ₹6.7B
FY23 ₹7.7B
FY24 ₹20.8B
FY25 ₹18.7B
FY26 ₹24.3B
Character of growth · EPS growth decomposed (2016-2026) +3.6 % p.a.
Revenue per share +9.1 pp

of which total revenue +9.1 pp · buybacks/dilution +0.0 pp

EBIT margin −5.0 pp
Tax rate +0.9 pp
Residual (interest, one-offs) −1.5 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

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Cite: Fair Value Calculator (2026). "MRF Limited Fair Value". https://www.fairvalue-calculator.com/stock/MRF

Peer Group

Auto Parts · 642 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 61 · Top 25%
Fair Value upside −6% · Above median
Return on equity (TTM) 12% · Top 25%
Return on assets 6% · Top 25%
Net margin (TTM) 8% · Above median
Operating margin (TTM) 11% · Above median
Revenue growth 13% · Above median
Dividend yield (TTM) 0.2% · Bottom 25%
Debt / equity 0.01× · Lower than 75% of peers

Valuation Multiples vs Auto Parts median · lower = cheaper

P/E (TTM) 23.5× · Pricier than median
P/B 2.72× · Pricier than median
P/S (TTM) 1.83× · Pricier than median
P/FCF 0.2× · Cheaper than 75% of peers
EV/EBITDA 11.2× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 25 · sector 16
FUTURE 67 · sector 23
PAST 49 · sector 26
HEALTH 100 · sector 95
DIVIDEND 4 · sector 30

Insider activity: 30/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Auto Parts stocks, each showing price versus our Fair Value estimate (as of Jul 14, 2026).

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Bosch Limited BOSCHLTD ₹41,110 ₹14,004 -66%
Bharat Forge Limited BHARATFORG ₹2,117 ₹441.74 -79%
Uno Minda Limited UNOMINDA ₹1,158 ₹426.57 -63%
Schaeffler India Limited SCHAEFFLER ₹4,135 ₹1,412 -66%
Hankook Tire & Technology Co 161390 73,600 KRW 196,479 KRW +167%
Sona BLW Precision Forgings Limited SONACOMS ₹792.00 ₹207.06 -74%
Balkrishna Industries Limited BALKRISIND ₹2,065 ₹1,211 -41%

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Frequently asked questions

Is MRF Limited (MRF) overvalued or undervalued?
As of Jul 14, 2026, our model estimates a fair value of ₹125,849 versus a price of ₹133,850, about −6% (fairly valued).
What is the fair value of MRF?
Our model-based fair value for MRF Limited is ₹125,849 (as of Jul 14, 2026), built from audited fundamentals. The current price is ₹133,850.
What is the quality score of MRF?
MRF Limited has a Quality Score of 61/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of MRF Limited (MRF)?
MRF Limited reported trailing-twelve-month revenue of about ₹311B (latest available figure, as of Jul 14, 2026).
What is the net profit margin of MRF?
The net profit margin of MRF Limited is about 7.8%, meaning it keeps roughly 7.8% of revenue as net income. Based on the latest reported figures.
Does MRF Limited pay a dividend?
MRF Limited currently shows a dividend yield of about 0.19% relative to its recent price (as of Jul 14, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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