Shares of country's largest coal miner Coal India gained 1.7 percent intraday on June 18 after global brokerage house CLSA said it is optimistic on company's volume growth and cost, although there is no visibility on price hikes yet.
Company is optimistic on production growth despite on-the-ground challenges and expects costs to remain benign in FY20.
While maintaining buy call on the stock with a target price at Rs 290, CLSA said, "Rail links are coming up gradually after considerable delays. Demand outlook is also good given the rising power requirement."
The stock is trading at reasonable 10x FY20 PE with attractive 8 percent dividend yield, it added.
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