what I understand is steel products are having nearly zero margin as of now (all steel cos reported loss) because of high coal prices.
The money they are making right now is because of high grade pellets only.
The biggest plus is they got nod to increase pellet capacity near the end of last quarter.
So, this quarter should be 15-17 EPS.
Iron ore is zooming today, expect it to cross 100 USD soon.
Next quarter can be 25 EPS (solar plant, beneficiation plant will also be ready + 100% high grade pellet).
So, it is trading at 4 PE at bottom of cycle plus it has 500 cr cash plus the mining capacity will be 2x in 3 yrs, and 4x in 6 yrs.
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