Production volumes are breathing again, thanks to lifting of ban on key raw materials. But below-par capacity utilisation remains a work in progress
Post recent raw material mobilization, company’s operations are in full swing. Company is sitting on sale order of 50,000 tonne and hopeful of capacity utilization of 96 percent in Q4. End market demand, particularly in aluminum industry (80 percent of sales) remains intact.
Current pricing realization can sustain in medium term on account of structural supply curtailments. This also provides positive takeaways for Himadri Speciality Chemicals.
Firstcall Research is bullish on Goa Carbon and has recommended buy rating on the stock with a target of Rs 107 in its November 27, 2012 research report.