Motilal Oswal has buy call on with a target price of Rs 140. The current market price of NMDC is Rs 117.55.
NMDC Ltd., incorporated in the year 1958, is a Large Cap company (having a market cap of Rs 34478.58 Crore) operating in Mining sector.
NMDC Ltd., incorporated in the year 1958, is a Large Cap company (having a market cap of Rs 34478.58 Crore) operating in Mining sector.
Financials
For the quarter ended 31-12-2020, the company reported a Consolidated sales of Rs 4355.10 Crore, up 95.31 % from last quarter Sales of Rs 2229.89 Crore and up 44.86 % from last year same quarter Sales of Rs 3006.38 Crore Company reported net profit after tax of Rs 2108.05 Crore in latest quarter.
Investment Rationale
Margin should rise further in 4QFY21 as the spot price (even after the correction in Feb’21) is still ~17% higher than its 3QFY21 average. Moreover, volume should get a boost in FY22 from the restart of Donimalai mines.
Promoter/FII Holdings
Promoters held 69.7 per cent stake in the company as of Dec 30, 2020, while FIIs held 4.5 per cent, DIIs 20.5 per cent and public and others 5.4 per cent.
