Morgan Stanley has maintained its equal-weight rating on Coal India, assigning a target price of ₹410 per share. The stock was trading at ₹375.95 at the time of the report, indicating limited upside from current levels.
The brokerage stated that Q1 revenue was in line with expectations, but profitability metrics fell short. EBITDA missed estimates, primarily due to higher operating expenses. Additionally, realisation under Fuel Supply Agreements (FSA) and e-auctions remained weak, which further impacted earnings.
As a result, both adjusted EBITDA and profit after tax (PAT) came in below estimates, prompting Morgan Stanley to retain its cautious stance despite stable topline performance.
Disclaimer: This article is based on Morgan Stanley’s stock research report. The views and target price mentioned are theirs. This does not constitute a recommendation to buy or sell any stock. Please consult a registered financial advisor before making any investment decisions.
