Moneycontrol
Last Updated : Aug 17, 2018 03:26 PM IST | Source: Moneycontrol.com

Metal stocks gain on rally in global commodities; Tata Steel, JSPL jump 2-3%

Among the many sectors that are trading in the green, the Nifty Metal index has managed to gain over 1.5 percent taking cues from a rally in global commodity prices

Sandip Das @Im_Sandip1
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The Nifty and Sensex extended their respective morning gains with the benchmark indices up 84 points and 289 points, respectively.

Among the many sectors that are trading in the green, the Nifty Metal index has managed to gain over 1.5 percent taking cues from a rally in global commodity prices. The stocks that gained the most include NALCO which jumped 3 percent, Jindal Steel & Power up close to 3 percent, and NMDC and Tata Steel up 2 percent each.

Soumen Chatterjee, Head of Research at Guiness Securities recommends buying JSW Steel. He believes the stock is trading at a reasonable valuation of 10 times of its trailing earnings. The management expects steel demand growth at 7-7.5 percent in FY19 and margin to improve further in FY19 even if steel prices remain around current level.

Ashwani Gujral of ashwanigujral.com has a buy on Tata Steel with a stop loss of Rs 560 per share and a target of Rs 585.
First Published on Aug 17, 2018 11:49 am
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