JPMorgan raised its target price for Coal India Ltd (CIL) - the world's largest miner of dry fuel by output - to Rs 265 from Rs 238. The brokerage maintained its 'overweight' rating on the state-run coal behemoth.
It expects the operating environment to remain strong for Coal India over the coming quarters.
JPMorgan raised its earnings per share estimates for Coal India by seven percent. It has built-in conservative e-auction premiums of 50 percent for the year ending March 2023 and 40 percent for the financial year 2023-24.
The brokerage sees a consensus earnings upgrade cycle for the state-run company ahead.
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Coal India shares have rewarded investors with a return of close to 28 percent in the past year, as against the benchmark Nifty50 index's 18 percent gain.
Earlier this month, Coal India Chairman Pramod Agrawal said the company should become a net-zero carbon emitter in the next 3-4 years.
Analysts in a CNBC-TV18 poll had estimated the miner's quarterly net profit at Rs 4,195 crore and revenue at Rs 27,625 crore.
(Edited by : Akanksha Upadhyay)
First Published: Mar 17, 2022 12:45 PM IST