Best Tyre Stocks in India- The Indian tyre industry is galloping full steam ahead in 2025, rendering tyre stocks one of the best investment bets this year. As India’s tyre market is going to expand from $12.84 billion in 2024 to $29.16 billion by 2030 at a CAGR of 8.21%, these firms are well-placed to gain from the country’s burgeoning automobile market. With increasing numbers of Indians purchasing cars, motorcycles, and commercial vehicles, demand for good-quality tyres is continuously escalating, bringing forth great investment opportunities for wise investors.
Why Invest in Tyre Stocks?
Tyre stocks are firms that produce, sell, and distribute tyres for motor vehicles like cars, trucks, motorcycles, and commercial vehicles. The Indian tyre sector enjoys a number of robust growth drivers making these stocks good investment choices. First, India’s fast-growing number of vehicles ensures continuous demand for original equipment as well as replacement tyres. Secondly, enhanced road infrastructure in the country boosts vehicle usage, which results in quicker tyre replacement cycles.
Government policies providing support, such as tyre import restrictions and PLI scheme incentives, benefit indigenous tyre producers. Moreover, the trend for premium and high-performance tyres, particularly for electric vehicles, presents new sources of revenues for new-age firms. While raw material prices stabilize, improvements in technology boost margins, so tyre businesses are poised for robust growth during 2025.
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10 Best Tyre Stocks in India 2025
Here are the top 10 tyre stocks that hold the best investment prospects in 2025, according to their market standing, financial health, and growth prospects:
| Company Name | Current Price (₹) | Market Cap (₹ Cr) | PE Ratio | 52-Week High (₹) | 52-Week Low (₹) | Dividend Yield (%) |
|---|---|---|---|---|---|---|
| MRF Ltd | 1,55,608 | 65,996 | 36.7 | 1,56,400 | 1,00,500 | 0.15 |
| Balkrishna Industries Ltd | 2,505 | 48,425 | 33.2 | 3,364 | 2,194 | 0.63 |
| Apollo Tyres Ltd | 494 | 31,368 | 25.3 | 565 | 365 | 1.02 |
| CEAT Ltd | 3,474 | 14,052 | 30.6 | 2,998 | 2,056 | 0.84 |
| JK Tyre & Industries Ltd | 381 | 10,436 | 22.6 | 534 | 246 | 0.78 |
| TVS Srichakra Ltd | 3,340 | 2,558 | 116.1 | 4,398 | 3,368 | 0.50 |
| Goodyear India Ltd | 980 | 2,261 | 51.1 | 1,440 | 806 | 2.44 |
| Tolins Tyres Ltd | 188 | 744 | 19.0 | 259 | 108 | 0.00 |
| PTL Enterprises Ltd | 40 | 534 | – | 47 | 35 | 4.34 |
| Tirupati Tyres Ltd | 10 | 73 | 15.7 | 14 | 9 | 0.00 |
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Brief Explanation of the 10 Best Tyre Stocks in India 2025
MRF Ltd
MRF is India’s leading tyre maker and a world leader in the tyre sector. The company makes tyres for any vehicle, ranging from two-wheelers to aircraft, earning it the status of being a one-stop tyre solution provider. With a market capitalization of ₹65,996 crores, MRF rules the Indian market and has a strong presence abroad. Even though the share price is on the higher side, the company provides stability and continuity with a great brand image.
Balkrishna Industries Ltd
Apollo Tyres is India’s second-largest tyre producer with a robust global presence. Apollo and Vredestein are the two brands under which the company functions, and the company has manufacturing bases in India and Europe. Apollo distributes tyres to more than 100 nations and supplies tyres for passenger cars, commercial vehicles, and specialty segments. The firm is spending ₹1,500 crores on capacity expansion during FY26.
Apollo Tyres Ltd
Apollo Tyres is India’s second-largest tyre manufacturer with a strong global footprint. The company operates under two brands – Apollo and Vredestein – and has manufacturing facilities in India and Europe. Apollo serves over 100 countries and offers tyres for passenger vehicles, commercial vehicles, and specialty applications. The company is investing ₹1,500 crores in capacity expansion for FY26.
CEAT Ltd
CEAT is India’s fastest-growing tyre player catering to OEM and replacement markets. CEAT is a supplier of tyres to the leading car manufacturers such as Tata Motors, Maruti, Hyundai, and Honda. CEAT has been a pioneer with products such as India’s first run-flat tyres and tyres designed for electric vehicles. The company has committed ₹900-1,000 crores capex for FY26 to grow capacity.
JK Tyre & Industries Ltd
JK Tyre is a leader in India’s radial tyre technology and produces a diversified portfolio of tyres. The company practices innovation and sustainability with robust R&D efforts. JK Tyre developed Smart Tyre technology and produces for domestic as well as export markets. With a modest PE multiple of 22.6, the stock provides decent value to investors.
TVS Srichakra Ltd
TVS Srichakra deals in two-wheeler and three-wheeler tyres for both domestic and export markets. TVS Srichakra has a dominant position in the replacement motorcycle and scooter tyre market. TVS Srichakra is a significant player in the two-wheeler tyre space despite volatile profits in the recent past. The company derives benefits from India’s two-wheeler base.
Goodyear India Ltd
Goodyear India is the Indian subsidiary of tyre major Goodyear. The company deals in premium and high-performance tyres for passenger cars. With a strong brand name and quality, Goodyear charges premium prices in India. The company yields a decent dividend return of 2.44% for yield-conscious investors.
Tolins Tyres Ltd
Tolins Tyres is a lesser player that produces tyres for commercial vehicles and passenger vehicles. The company has been free of debt and enjoys good financial ratios. With a low PE ratio of 19.0, Tolins provides value investment option in the tyre industry. The company, however, does not pay any dividends at present.
PTL Enterprises Ltd
PTL Enterprises is a small-cap tyre firm that has recorded impressive returns in the past. The firm has recorded 155.86% returns in 5 years, which is among the best-performing small tyre firms. With a dividend yield of 4.34%, PTL provides decent income to investors. The firm deals in niche areas of the tyre industry.
Tirupati Tyres Ltd
Tirupati Tyres is a small-cap share that has recorded incredible growth in the last few years. The company recorded a staggering 1,608.48% return in 5 years and stands as the best among small tyre shares. In spite of being small-sized with a market cap of only ₹73 crores, the company boasts robust fundamentals. Tirupati specializes in niche segments of tyres and has recorded great revenue growth.
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Investment Considerations
- Growth Drivers for Tyre Industry: The Indian tyre market is driven by several growth drivers that underpin long-term investment opportunities. Growth in vehicle ownership, particularly in the rural sector, generates constant tyre demand. Government infrastructure plans and road construction spur commercial vehicle usage, leading to higher demand for tyres. Increased focus on electric vehicles provides new avenues for players manufacturing EV-specialised tyres.
- Key Risk Factors: Tyre shares also have some risks that investors need to take note of. Volatility in raw materials, particularly rubber and crude oil, may affect profit margins. Strong competition from domestic and foreign players continues to stress prices. Slowdowns in the economy may decrease vehicle sales and tyre replacement.
- Market Outlook: The Indian tyre industry is expected to grow at a CAGR of 11-12% through 2047 based on domestic consumption and export orders. Technology innovation in segments such as smart tyres, puncture-free tyres, and EV tyres will influence premium pricing. Organisations emphasizing innovation and quality are expected to outshine in the long term.
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Conclusion
Indian tire industry offers fantastic investment opportunities for 2025 and beyond with the market likely to more than double by 2030. The above 10 stocks are the top investment bets across various market segments ranging from large-cap leaders such as MRF and Balkrishna Industries to high-growth small-cap bets such as Tirupati Tyres.
Conservative investors can take comfort in MRF and Apollo Tyres, with stability and steady performance that are supported by commanding market positions. Growth investors can look at Balkrishna Industries and CEAT, which are adding capacity and targeting premium segments. Value investors may find JK Tyre and Tolins Tyres, which are available at reasonable valuations.
The secret to tyre stock investment success lies in the fact that the sector will benefit from India’s long-term story of automotive growth. Those companies which invest in technology, uphold quality parameters, and keep pace with shifting market trends such as electric vehicles are destined to be winners. With encouraging government policies and increasing domestic demand, tyre stocks present an attractive theme of investment for 2025.
Investors need to diversify between various firm sizes and focus areas instead of being concentrated in a single stock. The growth opportunity in the sector along with sensible valuations of most stocks makes it an appealing addition to long-term investment portfolios. While India’s auto sector continues its growth path, these tyre firms are poised to generate good returns to long-term investors.
Disclaimer: This is for informational purposes only and should not be regarded as investment advice. Investment in stocks involves market risks. Kindly do extensive research and consult a financial consultant before investing.
