Coal India - Volume Growth Outlook Remains Robust: Motilal Oswal

With a robust volume outlook, healthy e-auction premiums and lower costs, the brokerage's outlook for the company remains positive.

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Motilal Oswal Report

Coal India Ltd. targets to achieve a production of 838 million tonne in FY25, with dispatches under e-auction at ~15% of total volumes.

With a robust volume outlook, healthy e-auction premiums and lower costs, the outlook for the company remains positive.

We maintain our revenue/Ebitda estimates for FY25/FY26. The stock is trading at 4.7 times FY26E enterprise value/Ebitda.

We reiterate our Buy rating with a target price of Rs 600/share, valuing the stock at six times FY26E EV/Ebitda.

Coal India remains our top pick in the metals and mining sector.

Click on the attachment to read the full report:

Motilal Oswal Coal India Update.pdf
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