Saturday, November 1, 2008

Jindal Steel & Power robust Q2 September 2008

Jindal Steel & Power spurted 12.47% to Rs 775 at 11:33 IST on BSE, as net profit surged 62.18% to Rs 450 crore in Q2 September 2008 over Q2 September 2007.
The stock hit a high of Rs 784 and a low of Rs 712 so far during the day. The stock has a 52-week high of Rs 3356 on 4 January 2008 and a 52-week low of Rs 517.30 on 27 October 2008.
The stock gained 23.52% to Rs 689.05 on 29 October 2008, from a recent low of Rs 557.85 on 27 October 2008, ahead of the results. The stock surged 15.03% to Rs 689.05 on 29 October 2008.
The company’s current equity is Rs 15.47 crore. Face value per share is Rs 1.
The current price of Rs 775 discounts the company’s Q2 September 2008 annualized EPS of Rs 116.35, by a PE multiple of 6.66.
The sharp surge in net profit was despite a large provision of Rs 110.62 crore on account of foreign exchange loss in Q2 September 2008. Total income rose 75.41% to Rs 2231.05 crore in Q2 September 2008 over Q2 September 2007.
Jindal Steel & Power is the lowest cost coal-based sponge iron producer in the country with captive coal and iron ore mines in Chhattisgarh and Orissa, respectively. Sponge iron is an intermediary product used in the making of steel.

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