Jindal Stainless Q3 Results Review - Strong Performance Despite Weak Pricing: Prabhudas Lilladher

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Prabhudas Lilladher Report.Jindal Stainless Ltd. reported strong consolidated operating performance in Q3, driven by strong volume growth and improvement in subsidiaries performance. We believe that Jindal Stainless will benefit from rising SS demand over next few years led by-India’s focus on infrastructure,continuous evolution in new age sectors andoverall stronger domestic economy. Next phase of expansion will be announced in Q4 FY24, which will drive volume growth beyond FY26. Jindal Stainless has delivered robust operating performance in the rising raw material scenario over last two years and continues to deliver in falling raw material pricing scenario too. .We believe that Jindal Stainless deserves to trade at higher multiples, as the company has maintained its per ton Ebitda guidance for next few quarters. With 15% plus compound annual growth rate in stainless steel volumes over FY23-26E, we expect revenue/Ebitda/profit after tax growth of 14%/26%/29% respectively. At current market price, the stock is trading at 7.9 times/6.5 times enterprise value of FY25E/FY26E Ebitda. Maintain ‘Accumulate’ rating with revised target price of Rs 660 (earlier Rs 583) valuing at seven times EV of March-26E Ebitda (earlier 6.5 times) on consistency of Ebitda per ton compared to its peers in carbon steel..Click on the attachment to read the full report:.Reliance Industries Q3 Results Review - Inline; Downgrade The Stock To 'Hold': Systematix.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Jindal Stainless Q3 Results Review - Strong Performance Despite Weak Pricing: Prabhudas Lilladher

Volumes grew 9.4% YoY to 512 kt as maintenance shutdown was undertaken for technology upgradation; demand from end user industries remains strong.

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