Antique Stock Broking maintains buy on MOIL, target price Rs 197

Antique Stock Broking has maintained buy rating on MOIL with a target price of Rs 197 for long term. The stock ended down 1% at Rs 120.6 on Thursday when the Sensex ended 1.59% down at 36,472.93.

Company Financials

For the quarter ended 30-06-2019, the company has reported standalone sales of Rs 280.07 crore, down -35.85 % from last quarter sales of Rs 436.59 crore and down -10.67 % from last year same quarter sales of Rs 313.53 crore. The company has reported net profit after tax of Rs 90.68 crore in the latest quarter.


Investment Rationale

MOIL is the largest producer of manganese ore in the country and has access to 34% of the country's manganese ore reserves, said Antique. In FY19 the company achieved its highest production in the past ten years at 1.3 MT, said Antique. The brokerage expects demand to remain strong in FY20/21 on account of a healthy growth of 7-7.5% in domestic steel consumption.