MRF
Madras Rubber factory (MRF) is an Indian multinational tyre manufacturing company and the largest manufacturer of tyres in india also the sixth largest manufacturer in the world. It’s headquarter in Chennai. The company manufacturers rubber products including
- Tyres
- Treads
- Tubes
- Conveyor belt
- Toys
- Paints etc.
MRF is large cap company
• Market cap of MRF – Rs 46112 crore
• CMP (current market price) – Rs 1,07,295
• Dividend yield – 0.16%
Shareholding pattern of MRF (Madras Rubber factory)- Promoter – 27.77%
- Mutual fund – 7.28%
- FII – 18.77%
- DII – 4.43%
- Retail and others – 41.74%
MRF bonus history
If someone invested Rs 100,000 in MRF in 2004. What is the Present value today?
MRF stock value in 2010 is 1000 (approx) If someone invested 100,000 in MRF in 2004 he gets 100 shares Lets find out the present value of MRF 100 Shares
Today stock price of MRF is Rs 1,07,295 Means 100 shares of MRF
Today value is Rs 10,729,500.
Means MRF convert your Rs 10 lakh into Rs 1 crore (approx)
Note —- Compounding is the 8th wonder of this world.
Time period – 18 years
CAGR – 20.15%
Some interesting information about MRF company
• Stock price is high even the public holding is 41.47% of total shareholding
• Stock price is high But EPS (earning per share) is very high, fundamental and balanced sheet of company is great
• Tyre sector is expected to grow around 10% next 10-12 years so MRF is a huge growth potential in tyre market
• OEM tyres and replacement Tyres growing fast
F&Q
Qus.1 Has MRF issued bonus shares?
Ans . MRF give two times bonus
- 1970 bonus (3:10)
- 1975 bonus (1:2).
Qus 2. When did MRF issue bonus shares?
Ans. 1970 (3:10) and 1975 (1:2)
Qus 3. Why is MRF share so costly?
Ans because MRF never split the shares since listed