Apollo Tyres Limited, India’s leading tire manufacturer, had marked a prominent growth in the past decade. The company made various strategic acquisitions and significant investment to diversify its product and geographic mix.
Although, the company has doubled between 2007 and 2010, but the share price of the company only delivered 12 percent return between 2010 and 2012, which was not as appreciated as the company growth.
After this return, an investor from Gurgaon, India in March 2012, were examining the latest financial information of the company to determine that whether it would be a good investment? To identify and value this significant growth, but undervalued stock, the investor utilizes the free cash flow discounting valuation technique. The author, Varun Dawar, has affiliation with Institute of Management Technology, Ghaziabad.
Related Case Solutions & Analyses:
Carrefour China Building a Greener Store
Recognizing Revenues and Expenses: When Is Income Earned
Germany in the 1990s: Managing Reunification
Lorex Pharmaceuticals
Determinants of Investment
Saudi Arabia: Ready for Takeoff?
Valuing Wal-Mart Stock
BCE Inc.: In Play
TRX, Inc.: Initial Public Offering
Aussie Pies (D)
