A STUDY ON EQUITY RESEARCH ON THE INDIAN STEEL SECTOR

Group A-4 PGP/SS/09-11 IIPM

. • To give a quality recommendations to the investors. • To understand how to use technical and fundamental analysis in real scenario.OBJECTIVE OF THESTUDY • To study and gain knowledge about equity. based on technical and fundamental analysis.. investments etc. of securities. • To find out target price.

INDUSTRIAL ANALYSIS .

INTRODUCTION • India is the fifth-largest producer of crude steel in the world (2008).5 million tonnes.7 per cent between 2004-05 and 2008-09. • The production of total finished steel (alloy and nonalloy) registered a compound annual growth rate of 6.3 per cent during the period. • The steel sector is expected to generate additional employment of about four million by 2020. with a production volume of 54. • while consumption increased at a faster rate of 9. .

• India’s per capita steel consumption was recorded at 46 kg in 2008.• The value of steel exports declined between 2007 and 2009 due to the increase indomestic consumption and relatively lower demand from importing countries. . • The domestic demand for steel is estimated to grow at an annual average rate of more than 10 per cent in the next five years.

Jindal steel and power .

to Jindal Steel & Power Ltd. appointed as Whole time Director of the Company w. .f. • Shri M.e.Company profile • The name of the Company has been changed from Orbit Strips Ltd. Gupta.L. on 12th June. 1st May for a period of five years.

PRODUCTS • • • • Rail way sector Parallel Flange Sections Plates & Coils Semi-Finished Products .

SHAREHOLDING PATTERN .

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80 695.Relative Valuation Particulars Weights P/B P/E P/EBIT P/sales 20% 50% 10% 20% 501.37 100.47 78.23 188.67 FV MP 393.43 26.00 .86 264.66 393.16 376.

GORDON VALUATION .

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82% .DCF MODEL Assumptions: WACC CAGR of Net Sales 15.53% 14.

32 MP= 695.FV= 1108.00 .

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we recommend them to buy/hold the stock as the future prospects of the company appear attractive. . we recommend them to sell the stock due to the downward movement of the share price. • For long term investors.Recommendations & Conclusion • For short term & mid term investors.

SAIL .

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