Investors need to watch out for the timeline regarding NMDC’s commissioning and de-merger of steel plant
PRO Only Highlights
– Quarterly performance largely backed by improved realisations
– Medium-term triggers China plus and protectionist measures for tyre industry
– Valuations not inexpensive; but improved medium-term outlook
The June 2021 quarter results of NMDC (CMP: Rs 149; Market capitalisation: Rs 43593crore) were above Street expectations. In recent times, NMDC has reduced prices of iron ore lumps and fines. From the May price level, rates of iron ore lumps and fines have now been cut by Rs 500 per tonne and Rs 400 per tonne to Rs 7150 per tonne and Rs 6160 per tonne, respectively. With the imposition of a 22.5 per cent additional royalty (premium)…
