Tata Steel slips despite good Q3 numbers

Tata Steel slipped 1.96% to Rs 803 at 10:18 IST on BSE despite reporting 34.22% rise in consolidated net profit in Q3 December 2007 over Q3 December 2006

Meanwhile, BSE Sensex was up 404.51 points or 2.51% to 16,527.66.

On BSE, 2.98 lakh shares were traded in the counter. The scrip had an average daily volume of 7.13 lakh shares in the past one quarter.

The stock hit a high of Rs 838 and a low of Rs 800.05 so far during the day. The stock had a 52-week high of Rs 969.80 on 29 October 2007 and a 52-week low of Rs 372.13 on 2 April 2007.

The company’s current equity is Rs 730.58 crore. Face value per share is Rs 10.

The current price of Rs 803 discounts Q3 December 2007 annualized EPS of Rs 70.17 by a PE multiple of 11.44.

Tata Steel reported 34.22% rise in consolidated net profit to Rs 1,415.54 crore on 428.61% spurt in total income to Rs 32,096.03 crore in Q3 December 2007 over Q3 December 2006. The results were announced before trading hours today, 12 March 2008.

On 17 January 2008, Tata Steel entered into a joint venture agreement with Al Bahja Group for the development of Uyun limestone deposits at Salalah in the Sultanate of Oman.

On 3 January 2008, the company signed a joint venture agreement with the Steel Authority of India for incorporation of a joint venture company, for coal mining activities in Jharkhand, India.

On 30 November 2007, the company signed an agreement with Riversdale Mining to develop a hard coking and thermal coal project at key coal exploration tenements held by Riversdale in Mozambique.

Tata Steel, the world's sixth-largest steel maker, is engaged in manufacture and distribution of steel, welded steel tubes, cold rolled strips, bearings and other related products and services.