Buy JSW Steel, target price Rs 610: Motilal Oswal

Motilal Oswal has buy call on JSW Steel with a target price of Rs 610. The current market price of JSW Steel Ltd. is Rs 520.5.

JSW Steel Ltd., incorporated in the year 1994, is a Large Cap company (having a market cap of Rs 122976.09 Crore) operating in Metals - Ferrous sector.

Financials
For the quarter ended 31-12-2020, the company reported a Consolidated Total Income of Rs 22006.00 Crore, up 13.34 % from last quarter Total Income of Rs 19416.00 Crore and up 21.03 % from last year same quarter Total Income of Rs 18182.00 Crore. Company reported net profit after tax of Rs 2674.00 Crore in latest quarter.


Investment Rationale
The brokerage values JSTL at 6.5x FY22E EV/EBITDA and its investment in BPSL at 1x P/B to arrive at TP of INR610

Promoter/FII Holdings
Promoters held 44.1 per cent stake in the company as of Dec 30, 2020, while FIIs held 13.8 per cent, DIIs 6.8 per cent and public and others 35.3 per cent.