Goodyear India Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Goodyear India Ltd trades at ₹817, in a downtrend and 34 weeks into that stage. That is +0.0% against its own 200-day average. It sits at 43% of a 52-week range of ₹687 to ₹992. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 2 straight weeks.

Today the stock is in a downtrend — week 34 of stage 4, confirmed. At ₹817 it trades +0.0% versus its 200-day average and sits at 43% of its 52-week range (₹687–₹992).

Against the market, two honest reads. Cumulative: over the last 10.3 years the stock moved +71% while the NIFTY 500 moved +274% — behind the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 2 straight weeks — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

→ The trend is one thing; the bill is another. Are you paying up for it? Next: the P/E sits at the 73rd percentile of its own range.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

Goodyear India Ltd trades at 24.9× P/E, at the pricey end of its own range (73rd percentile). Its long-run median P/E is 21.3×, measured across 10.4 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 24.9× is at the pricey end of its own range (73rd percentile), against a long-run median of 21.3× measured over 10.4 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

Why the multiple sits where it does: over the past year annual EPS moved +11.5% against a −19.3% price move — earnings outran the price, pushing the multiple DOWN its own range.

The price move, decomposed: over 5y, of the −8.5%/yr price move, ~−10.9%/yr came from earnings growth and ~+2.4 pp from the multiple (expanding); over 10y, of the +4.5%/yr price move, ~−3.8%/yr came from earnings growth and ~+8.3 pp from the multiple (expanding). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is full against its own past, so the story rests on the earnings line underneath it, not the multiple.

A quarterly PEG curve, which only the second data source carries, is not drawn on this page: its two data sources do not share enough overlapping reported history to be compared. A figure nobody could check is not used to price growth — the gap is a decision, not missing data.

→ Cheap or dear rides on the earnings. Are they actually growing? Next: the fundamental stage — where the business sits in its arc, and how growth has compounded.

Stage: Improving Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Goodyear India Ltd reads as improving on its fundamental arc. Improving — profit growth bottomed 7 quarters ago at −58.5% and has held its recovery at +99.0% (single-quarter readings), ROCE holding at 17.0%. The read is built from 10 quarters across 3 curves, on partial evidence.

Why it matters: a sustained climb off the trough is the setup this page is built to catch — the question moves to what you pay for it.

One or more growth curves carry a base-effect spike — a large year-on-year move off a near-zero or loss-making comparable quarter. Those spikes are capped before the classifier reads the trajectory, and shown pinned on the chart, so a single distorted quarter does not drive the stage call.

Return readings here are annual, not quarterly — read as level and direction only; they can confirm the growth curves but never drive the stage on their own.

A partial read: at least one curve is short, or the returns curve is not the computed quarterly series — hold the stage word a little more loosely.

→ The stage names the trajectory. Next: the revenue line that produces it, quarter by quarter.

4-Factor Sector Score

48.3/100 — rank 6 of 8 in Tyres & Tubes · 77% evidence confidence

Goodyear India Ltd scores 48.3 out of 100 against the 8 companies it is compared with in Tyres & Tubes, ranking 6. Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

The four contributions add to the total exactly: 18.9 + 16.3 + 8.2 + 4.9 = 48.3. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Goodyear India Ltd reported ₹616 Cr of revenue in the Mar 26 quarter, +2.3% year on year. Over 10 years it has compounded at 3.7% a year. The last full year, FY26, came in at ₹2,476 Cr. The last four reported quarters add to ₹2,476 Cr.

Goodyear India Ltd reported ₹616 Cr of revenue in the Mar 26 quarter, +2.3% year on year. Over 10 years it has compounded at 3.7% a year. The last full year, FY26, came in at ₹2,476 Cr. The last four reported quarters add to ₹2,476 Cr.

FY26 revenue came in at ₹2,476 Cr (−5.1% on the year), capping 10 years at 3.7% compound. The latest quarter (Mar 26) printed ₹616 Cr, +2.3% year on year.

Pace check: the last four quarters averaged −4.8% growth against the decade's 3.7% — the current year is running slower than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew −5.1% over the last 4 quarters against −1.5%/yr over the last 8 — rolling over; TTM profit +11.6% vs −19.5%/yr — accelerating.

→ Revenue grew — did margins hold as it scaled? Next: 6.7% this quarter (+3.9 pp YoY).

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Goodyear India Ltd's operating margin is 6.7% in the Mar 26 quarter, +3.9 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 4.0% to 13.0%. The current quarter sits inside that band.

Goodyear India Ltd's operating margin is 6.7% in the Mar 26 quarter, +3.9 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 4.0% to 13.0%. The current quarter sits inside that band.

The latest quarter's operating margin is 6.7%, +3.9 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 4.0%–13.0%.

Why the margin moved: operating margin went +3.9 pp year on year while gross margin went +4.1 pp — the gain came mostly from the gross line: input costs and pricing.

→ Margins held — did that reach the bottom line? Next: profit +99.0% in the latest quarter.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Goodyear India Ltd earned ₹9.7 Cr of net profit in the Mar 26 quarter, +99.0% year on year. It is the 2nd consecutive quarter of growth. Full-year FY26 profit was ₹62.0 Cr. The 10-year compound rate is −6.4%. That is 1.6% of the quarter's revenue. The same quarter a year earlier earned ₹4.9 Cr.

Goodyear India Ltd earned ₹9.7 Cr of net profit in the Mar 26 quarter, +99.0% year on year. It is the 2nd consecutive quarter of growth. Full-year FY26 profit was ₹62.0 Cr. The 10-year compound rate is −6.4%. That is 1.6% of the quarter's revenue. The same quarter a year earlier earned ₹4.9 Cr.

Mar 26 profit was ₹9.7 Cr, +99.0% year on year — the 2nd consecutive quarter of growth. On the full year, FY26 printed ₹62.0 Cr (+12.7%), and the 10-year compound rate is −6.4%.

Why profit moved: revenue contributed +2.3% and the margin +3.9 pp — the quarter was margin-led: most of the profit growth came from keeping more of each sale.

Pace comparison, last four quarters: profit +49.6% vs revenue −4.8%. Profit is growing faster than sales — fixed costs are being spread over a bigger base, and each extra rupee of revenue drops more to the bottom line.

→ Profit rose — but did the cash follow? Next: 178% of the last 3 years' profit arrived as cash.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 178% of Goodyear India Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹112 Cr of operating cash against ₹62.0 Cr of profit. After ₹18.0 Cr of capital spending, ₹94.0 Cr was left as free cash.

FY26: operating cash of ₹112 Cr against reported profit of ₹62.0 Cr, leaving free cash of ₹94.0 Cr after ₹18.0 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 178% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

Why conversion sits at 178%: the cash cycle stretched 29 days between FY21 and FY26 — more of each rupee of profit waits inside the cycle before arriving.

Router verdict: no single sink dominates — the next section checks both the working-capital cycle and the capital spending.

→ So follow the cash to where it goes. Next: a 0-day cycle and ₹113 Cr of building.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Goodyear India Ltd's cash conversion cycle runs 0 days in FY26, up from −29 days in FY21. Capital spending ran ₹113 Cr over the last 3 years. At FY26 sales of ₹2,476 Cr each day of that cycle holds about ₹6.8 Cr, so roughly ₹0.0 Cr sits inside the business at any moment.

FY26: debtors at 42 days, inventory at 54 days — roughly 1.8 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 0 days, looser than FY21's −29.

The full loop: cash goes out to suppliers and production on day 0; stock waits 54 days to sell; customers pay about 42 days after that; and suppliers themselves are paid at 96 days — netting out to the 0-day cycle.

In money terms: at FY26 sales of ₹2,476 Cr, each day of the cycle holds about ₹6.8 Cr — so the 0-day loop keeps roughly ₹0.0 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹113 Cr over the last 3 fiscal years against ₹159 Cr of depreciation — spending at or below maintenance level. Capital work-in-progress stands at ₹30.0 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: neither the cycle nor the build-out is hoarding the cash — the machine is reasonably clean.

→ Does all this activity actually earn its cost of capital? Next: ROCE is 17% and the ROIC − WACC spread is +4.7 pp.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.⚠ unverified

Goodyear India Ltd earns a ROCE of 17% in FY26. That is up from a trough of 13% in FY20. Return on invested capital clears the cost of that capital by +4.7 percentage points, so growth here adds value rather than only size. The wiring behind it is 2.5% net margin on 1.97× asset turns.

FY26 ROCE is 17%, recovered from a FY20 trough of 13% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 2.5% net margin × 1.97× asset turns × 2.07× balance-sheet leverage ≈ 10.2% on equity. Margin does its share; leverage is a meaningful part of the equation.

The capstone test — ROIC − WACC: 16.7% − 12.0% = a +4.7 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. Positive but thin — value creation with little room for error.

→ Returns like these — is the balance sheet borrowing to make them? Next: debt-to-equity is 0.04.

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.⚠ unverified

Goodyear India Ltd carries total debt of ₹27.0 Cr against shareholder equity of ₹606 Cr as of Mar 26, a debt-to-equity of 0.04 — effectively unlevered. On the annual view that ratio went from 0.02 in FY22 to 0.04 in FY26. The returns elsewhere on this page are therefore earned rather than borrowed.

Mar 26: total debt of ₹27.0 Cr against shareholder equity of ₹606 Cr — a debt-to-equity of 0.04. On the annual view, debt-to-equity went from 0.02 (FY22) to 0.04 (FY26). The returns on this page are earned, not borrowed.

→ Who owns this, and are they adding or leaving? Next: the register is quiet.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

No holder of Goodyear India Ltd moved a full percentage point over the last two years — the register is quiet. Domestic institutions moved −0.3 points over the same window, to 7.8%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Foreign institutions: −0.5 points over 8 quarters to 0.3%; Domestic institutions: −0.3 points over 8 quarters to 7.8%; Promoters: +0.0 points over 8 quarters to 74.0%.

→ One last check: does the safety math agree? Next: the balance-sheet safety line.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Goodyear India Ltd: the Z-score reads 4.97. A Z-score above roughly 3 reads as safe and below roughly 1.8 as the distress zone, so this sits well clear of distress. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure.

Why it matters: a Z-score of 4.97 sits well clear of the distress zone — the balance sheet is not the risk here.

The safety line in one sentence: the Z-score reads 4.97.

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