MUMBAI: Analysts have retained their positive ratings on Tata Steel after the company assured at a meeting on Thursday that Cyrus Mistry’s exit from the chairmanship of holding company Tata Sons will not have any impact on strategic plans for European steel business.
The senior management’s comments that the plan to sell UK downstream steel assets and form a JV with ThyssenKrupp remain on track were a relief after days of uncertainty, said analysts. CLSA and Credit Suisse have maintained their target price of `500 on Tata Steel, implying a 23.6% upside.On Friday, the stock ended up 2% at Rs 404.45 on the BSE after having lost 7% and Rs 2,800 crore in market capitalisation in the preceding three sessions.
Bloomberg data showed that the rating tally of 34 `buy’, 10 `hold’ and nine `sell’ recommendations remained unchanged after the analyst meet.
Tata Group stocks performance after Mistry joined
|Tata Metaliks Ltd.||389.50||327.70||530.26|
|Tata Elxsi Ltd.||1294.85||1065.30||464.08|
|Tata Communications Ltd.||635.30||398.45||168.23|
|Tata Sponge Iron Ltd.||594.35||283.90||91.45|
|Tata Consultancy Services Ltd.||2398.70||1131.20||89.25|
|Indian Hotels Company Ltd.||115.45||52.35||82.96|
|Tata Motors Ltd.||537.00||226.95||73.20|
|Tinplate Company of India Ltd.||84.10||31.95||61.27|
|Tata Chemicals Ltd.||544.65||194.95||55.75|
|Rallis India Ltd.||219.70||69.45||46.22|
|Titan Company Ltd.||373.55||92.40||32.87|
|Tata Investment Corporation Ltd.||587.80||124.15||26.78|
|Tata Steel Ltd.||405.45||-23.10||-5.39|
|Tata Coffee Ltd.||128.15||-12.07||-8.60|
|Tata Global Beverages Ltd.||139.95||-20.50||-12.78|
|Tata Power Company Ltd.||78.30||-30.95||-28.33|
|Tata Teleservices (Maharashtra) Ltd.||7.15||-3.57||-33.31|