Tata Steel Soars 13% in Three Days
Steel stocks have seen strong buying interest over the last few days with Tata Steel gaining over 12 per cent in last three days. JSW Steel gained nearly 5 per cent over the same time as compared to a 2.5 per cent gain in the Nifty.
The steel sector has underperformed for the last three years due to a sharp correction in raw material prices globally. Domestic growth concerns have also weighed on sentiments. India recorded its second straight year of sub-5 per cent growth in 2013-14.
However, the tide seems to turning in favour of steel companies now.
According to Nirmal Bang Institutional Equities, a sustained fall in raw material prices is unlikely as they have declined to a level where a large portion of Chinese supply is likely to remain unviable. This will lead to stability in international steel prices.
The brokerage says a revival in investment demand, post the decisive mandate in the general election, will lead to strong demand in domestic market and the overcapacity in domestic steel sector is likely to be absorbed by strong demand.
Nirmal Bang Institutional Equities has revised its target on Tata Steel and JSW Steel from Rs 526 and Rs 1,276 to Rs 632 and Rs 1,473, respectively.
Citi has also maintained a buy on Tata Steel with a target price of Rs 600.
-
Signature Play: The Classic Cocktail Is Dead. Or Is It?
Classic cocktails are disappearing from India's cocktail menus. But they're still being ordered, taught to bartenders and borrowed from. So, who's really having the last drink?
-
A New Samvat Wishlist: Inclusive Prosperity And Human Development
India has strengthened its economic foundations through infrastructure, digital access and enterprise. Its next growth chapter must deepen productivity, create better livelihoods and widen participation in prosperity.
-
Love, Sex Aur Dhokha: The Audacious Plot To Spy On Jensen Huang
A Taipei dinner, a Singapore chip buyer and a suspected Chinese asset: inside the alleged spy operation that got close to NVIDIA's Jensen Huang.
-
Ten Things I Learnt This Samvat
Patience can be a trap. Cheap stocks can stay cheap. Leverage can wipe you out. What did Samvat 2082 teach us? Niraj Shah writes on 10 lessons from the year gone by.
-
Talking Points This Week: Tech Nerves, FII Buying, And A Faraway Banking Shock
The global markets are not shining this Diwali. The exception in the large markets is, India.
-
Midterm Rally Lasted A Day. The Hard Reality Of A Divided US May Last Two Years | Opinion
Between a contested AI boom, a debt ceiling that arrives in 2027 and a president with every incentive to act alone, the next two years may prove more volatile than the first day's rally suggests.
-
Blue Wave Will Derail the AI Trade but Won't Dismantle the AI Era | Unhedged Position
The Democrats' sweep of the US Congress will see politics collide with economic forces both over the long and short term.
-
It's Time To Take The GST Council's Bet On Trust Global
Payment records can prove India's services exports, and clear, proportionate rules can bring foreign digital sellers into the tax net.
-
Opinion | India at 38: From Innovation Overperformer to Innovation Powerhouse
India now has 453 VC-backed deep science startups, 18 of them late-stage, after 117 percent growth since 2020. Laurus Labs, at USD 9.3 billion, is the most valuable deep science company in any middle-income economy outside China.
