Financial Daily from THE HINDU group of publications
Friday, Nov 01, 2002

Port Info

Group Sites

Markets - Stock Markets

Tata Steel jumps on Q2 performance

Our Bureau

KOLKATA, Oct. 31

TATA Steel today moved up with heavy volumes, as the company's impressive second quarter performance enthused fund managers, institutions and brokers.

The stock improved Rs 8.60 to close at Rs 125.25 on the BSE with traded quantity of 23.09 lakh shares. The counter recorded volumes of 52.22 lakh shares on the NSE and closed at Rs 125.50. The volumes were backed by several block deals and widespread participation by the market players. About 25 per cent of the traded shares were up for delivery on the BSE while 32.30 per cent were presented for delivery on the NSE

According to Mr Darshan Mehta of, the market has taken a positive view about the stock as the earnings prospect has improved substantially. "At current price, it is definitely a value buy,' Mr Mehta added. The market players seemed to be confident that the company would be able to maintain its bottomline growth rate. Tata Steel has reported a net profit growth of 643 per cent in Q2 on a year-on-year basis.

"This could mark a good beginning. Fresh position building exercise in the counter is a likely scenario in the coming months," observed a dealer in an institutional broking firm.

According to Mr S. Sivakumar, Fund Manager of Sundaram Mutual Fund, two Tata group companies — Tata Steel and Tata Engineering — are back in market's favour because of their good results.

The market participants listed two factors as key to Tata Steel stock's revaluation. They are: absorption of five consecutive price hikes in the first two quarters of the current fiscal by the domestic market and the company's recent strides in the high-margin car-body grade steel.

Send this article to Friends by E-Mail
Comment on this article to

Stories in this Section
Bull domination

Risk management solution for NSE
Institutional selling in Digital
Reliance surges 14 pc
Tata Steel jumps on Q2 performance
Growth hopes fuel rally in Kochi Refineries
Construct Nov strangle on L&T
Record volumes in NSE derivatives
SEBI scraps demat a/c closure fee
Reliance sends market soaring
Cholamandalam rights issue to raise Rs 30 cr — Q2 profit up 60 pc
`SHCIL officials colluded to cause wrongful loss'
Meet to educate lay investors, consumers

The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | Business Line | The Sportstar | Frontline | Home |

Copyright 2002, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line