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    Vikshita Vitthal Gujaran in News

    19-Jun-2023 11:57 AM


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    Kotak upgrades Jindal Steel & Power to 'buy', hikes target price by 28%

    Seeing Jindal Steel and Power having the best risk reward ratio among peers in its coverage, Kotak Institutional Equities said, “We see a potential 100 percent return in three years on March 2027E basis”.

    Kotak Institutional Equities has upgraded shares of Jindal Steel and Power to ‘buy’ from ‘reduce’ and also raised its fair value to Rs 740 from Rs 580.

    “A sector-leading growth profile along with the strongest balance sheet makes a strong case for re-rating,” the brokerage firm said.

    At 9:15am, the stock opened 5.8 percent higher at Rs 576.55 on the BSE.

    The brokerage firm has compared the four listed integrated steel companies over 10 metrics, covering operational and financial parameters, and finds Jindal Steel and Power best-placed among its peers.

    Seeing Jindal Steel and Power having the best risk-reward ratio among peers in its coverage, Kotak Institutional Equities said, “We see a potential 100 percent return in three years on March 2027 (earnings) basis.”

    The brokerage firm has estimated a compounded annual growth rate of 19 percent and 17 percent in EBITDA over the next 3 and 5 years, respectively, and an EPS growth of 33 percent and 27 percent over the next 3 and 5 years.
    Source - Money Control