Update shared on 08 Nov 2025
Fair value Increased 0.53%Analysts have raised their price target for CEAT from ₹4,138.58 to ₹4,160.58, citing refined estimates in fair value and updated financial assumptions as the basis for the modest upward revision.
What's in the News
- CEAT has scheduled a Board Meeting on October 17, 2025, to consider and approve unaudited financial results for the quarter and period ended September 30, 2025, appoint new directors, and address other matters. (Key Developments)
- CEAT Limited announced a USD 171 million investment in Sri Lanka's manufacturing and export sector through its subsidiary, CEAT OHT Lanka. This investment formalises the acquisition of the Michelin Group's Construction Compact Line Business and expands CEAT's global presence. (Key Developments)
- As part of the expansion, a Memorandum of Understanding guarantees job security, continuity of service, and no retrenchments for approximately 1,483 employees at the acquired Sri Lankan plants. (Key Developments)
- The agreement with the Board of Investment of Sri Lanka aims to position Sri Lanka as a competitive hub for export-led growth and reinforce CEAT’s role in the global Off-Highway Tyres (OHT) and tracks segment. (Key Developments)
Valuation Changes
- Consensus Analyst Price Target has risen slightly from ₹4,138.58 to ₹4,160.58, reflecting a modest upward adjustment in fair value estimates.
- The discount rate increased from 15.02% to 15.66%, indicating marginally higher perceived risk or cost of capital.
- Revenue growth is essentially unchanged, remaining stable at 11.23%.
- Net profit margin has fallen marginally from 5.94% to 5.91% based on updated financial assumptions.
- The future P/E ratio has risen from 21.98x to 22.56x, suggesting a slight increase in forward valuation multiples.
Disclaimer
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