Showing posts with label tata steel. Show all posts
Showing posts with label tata steel. Show all posts
Tuesday, March 3, 2009
Tata Steel
I would still like to stick to my recommendation of Tata Steel. Tata Steel announced its recent quarter results recently and it surprised the markets with a rise in net profits. There were apprehensions and market speculations that Tata Steel could have gone into the red because of losses at Corus UK. However, Tata Steel has managed to buck the trend. This is inspite of the meltdown and the falling prices of steel the world over. Demand from China has slown considerably. Tata Steel is presently available at Rs. 155 ($3) per share and it is available at a very attractive price. I am still bullish on the stock.
Monday, December 15, 2008
Major Indian Financial Newspaper Recommends Tata Steel
News Flash:
A day after I recommended Tata Steel as a great buy at current market price, we had The Economic Times also recommending the stock as a buy:
http://economictimes.indiatimes.com/Features/Investors_Guide/Tata_Steel_and_SAIL_Nerves_of_steel/articleshow/3838089.cms
Disclaimer: I would like to tell you that I do not know the author of the said article.
A day after I recommended Tata Steel as a great buy at current market price, we had The Economic Times also recommending the stock as a buy:
http://economictimes.indiatimes.com/Features/Investors_Guide/Tata_Steel_and_SAIL_Nerves_of_steel/articleshow/3838089.cms
Disclaimer: I would like to tell you that I do not know the author of the said article.
Saturday, December 13, 2008
Buying Stocks for Dividends: Tata Steel
I guess you folks are going to scream at me for being so old-fashioned.
Tata Steel [BSE: 500470 NSE: TATASTEEL]
Tata Steel has been one of my favorite stocks. In January 2007, when the Corus deal was announced the stock promptly fell to it's three year low at Rs. 407 a share. Right now, after rising a bit in the last few sessions, the current market price is Rs. 218 a share. Last year's tax free dividend [tax free for Indians] was handsome and should generate around 7% return on the current market price. With bank interests hovering in the region of 10% with a top 30% tax rate, they too come to around 7%. Tata Steel's year high is around Rs. 950 and if it reaches Rs. 407, which was it's three year low in January 2007, it can still generate a return of Rs. 190 or 90% from it's current price. So, a 90% return in the next two years is handsome and if the company can maintain some of it's dividends, we can still witness around 100% return in the next two years.
One should not forget that Tata Steel is the world's fifth biggest steel producer and it is the world's cheapest steel producer as well.
Tata Steel [BSE: 500470 NSE: TATASTEEL]
Tata Steel has been one of my favorite stocks. In January 2007, when the Corus deal was announced the stock promptly fell to it's three year low at Rs. 407 a share. Right now, after rising a bit in the last few sessions, the current market price is Rs. 218 a share. Last year's tax free dividend [tax free for Indians] was handsome and should generate around 7% return on the current market price. With bank interests hovering in the region of 10% with a top 30% tax rate, they too come to around 7%. Tata Steel's year high is around Rs. 950 and if it reaches Rs. 407, which was it's three year low in January 2007, it can still generate a return of Rs. 190 or 90% from it's current price. So, a 90% return in the next two years is handsome and if the company can maintain some of it's dividends, we can still witness around 100% return in the next two years.
One should not forget that Tata Steel is the world's fifth biggest steel producer and it is the world's cheapest steel producer as well.
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