Buy NMDC, target price Rs 128: HDFC Securities

HDFC Securities has buy call on NMDC with a target price of Rs 128. The current market price of NMDC Ltd. is Rs 119.2.

NMDC Ltd., incorporated in the year 1958, is a Large Cap company (having a market cap of Rs 34932.82 Crore) operating in Mining sector.

NMDC Ltd. key Products/Revenue Segments include Iron Ore, Pellet, Sale of services, Diamonds, Power and Other Operating Revenue for the year ending 31-Mar-2021.



Financials
For the quarter ended 30-06-2022, the company reported a Consolidated Total Income of Rs 4913.06 Crore, down -30.16 % from last quarter Total Income of Rs 7034.83 Crore and down -26.19 % from last year same quarter Total Income of Rs 6656.30 Crore. Company reported net profit after tax of Rs 1467.65 Crore in latest quarter.

Investment Rationale
Stock price has broken out from the bullish “Flag” pattern on the daily chart with rising volumes

Promoter/FII Holdings
Promoters held 60.79 per cent stake in the company as of 30-Jun-2022, while FIIs owned 5.89 per cent, DIIs 22.15 per cent.