PSU Stocks to BUY: Coal India (NSE: COALINDIA) is the country’s largest coal producer which has Maharatna status. As of March 2023, the company operates 322 mines.
138 are underground and 171 are open cast. It’s the world’s biggest coal producer.
The stock has seen plenty of activity over the last few months and is likely to remain so shortly as well.
This share is currently at a level of Rs 390 (Coal India Shares Price). It has given a bumper return of 70 percent in just six months.
Coal India Share Price
A local brokerage suggests buying Coal India shares with a target price of Rs 419 over the next six to nine months. At the current price of Rs 390 per share, there is a potential 10% return.
The stock has traded at a 52-week high of Rs 405 and a low of Rs 207. The company’s market value is Rs. 2.4 lakh crore..
The Ownership Structure of Coal India
| Promoter Holding | 66.13% |
| Mutual Funds | 9.85% |
| Domestic Institutions | 12.64% |
| Foreign Institutions | 6.54% |
| Retail and Others | 4.84% |
Demand of coal in Power Sector
In the power industry, demand for coal refers to the necessary coal consumption to produce electricity. Laws related to general electrical consumption, techniques of production of electricity, and energy influence this need.
Coal has traditionally been the main energy source utilized to create power because to its cheap cost and vast availability.
Acceptance of alternative energy sources, industrial activity, and economic development as well as previous coal use will determine the demand of coal for the power sector. In certain areas, coal use is dropping as more ecologically friendly substitutes take front stage. Still, in many different locations coal provides most of the energy the power sector requires.
Remember that events influencing local and global development might significantly change the dynamics of coal usage in the electrical industry. Environmental problems and attempts to lower carbon emissions have also drawn more focus in alternative energy sources for conventional coal-based electricity.
History of Coal India Share Price
As of the recent week’s close, Coal India shares are at Rs 390. The 52-week high is Rs 405, and the all-time high is Rs 447. The performance over different time frames is as follows:
- This week: +3.7%
- One month: +7.2%
- Three months: +25%
- Six months: +70%
- One year: +75%
These figures suggest a notable upward trend in the performance of Coal India shares over the specified time periods. It’s always important for investors to consider the broader market context and factors influencing the stock’s movement when analyzing such trends.
About Coal India Ltd Company
Particularly adept in manufacturing coal and other products is government-owned Coal India Ltd. (CIL). The company presents coking coal, semi-coking coal, non-coking coal, hard coal, washed and beneficiated coal, coal fines, heavy oil, coke. Only a handful of the various mining locations under which CIL works include open-cast mines, underground mines, and mixed mines.
Applications for the broad spectrum of CIL’s products encompass industries including steelmaking, fertilizer production, glass manufacturing, power utilities, cement production, ceramic manufacturing, chemical processes, paper manufacture, domestic fuel supply, and industrial facilities.
Key subsidiaries under the Coal India umbrella are South Eastern Coalfields Ltd, Mahanadi Coalfields Ltd, Northern Coalfields Ltd, Central Coalfields Ltd, Western Coalfields Ltd, Eastern Coalfields Lt, Bharat Coking Coal Lt, Central Mine Planning and Design Institute Lt, and Coal India Africana Limitada.
Beside mining, CIL provides consultancy services for mining all throughout India. Apart from its other mining operations spread around India, the business has a mining company in Mozambique. CIL headquarters are in Rajarhat, West Bengal, India.
Fundamental Analysis of Coal India Ltd
| Market Cap | ₹ 2,39,988 Cr. |
| Current Price | ₹ 389.97 |
| 52-wk High | ₹ 405 |
| 52-wk Low | ₹ 208 |
| Stock P/E | 8.57 |
| Book Value | ₹ 113 |
| Dividend | 6.23% |
| ROCE | 70.5 % |
| ROE | 56.0 % |
| Face Value | ₹ 10.0 |
| P/B Value | 3.44 |
| OPM | 25.3 % |
| EPS | ₹ 45.5 |
| Debt | ₹ 6,315 Cr. |
| Debt to Equity | 0.09 |
Competitor Comparison
| Key Parameters | Coal India Ltd | BHP Group Ltd | Hindalco Industries Ltd | Vedanta Ltd | Singareni Collieries Co Ltd |
| Headquarters | India | Australia | India | India | India |
| City | Kolkata | Melbourne | Mumbai | Hyderabad | Khammam |
| State/Province | West Bengal | Victoria | Maharashtra | Telangana | Maharashtra |
| No. of Employees | 239,210 | 37,908 | 21,440 | 8,545 | 42,733 |
| Entity Type | Public | Public | Public | Public | Government |
Coal India Ltd Share Price Target 2024 To 2030
| Year | 1st Target | 2nd Target |
| 2024 | ₹390 | ₹443 |
| 2025 | ₹456 | ₹485 |
| 2026 | ₹519 | ₹532 |
| 2027 | ₹565 | ₹605 |
| 2028 | ₹622 | ₹681 |
| 2029 | ₹700 | ₹729 |
| 2030 | ₹731 | ₹750 |
Coal India Ltd Shareholding Pattern
| Promoters Holding | Percentages |
| Dec 2022 | 66.13% |
| Mar 2022 | 66.13% |
| June 2023 | 66.13% |
| Sept 2023 | 67.03% |
| Dec 2023 | 67.13% |
| FII Holding | Percentages |
| Dec 2022 | 7.86% |
| Mar 2022 | 7.84% |
| June 2023 | 9.30% |
| Sept 2023 | 7.80% |
| Dec 2023 | 8.59% |
| DII Holding | Percentages |
| Dec 2022 | 21.18% |
| Mar 2022 | 21.05% |
| June 2023 | 22.30% |
| Sept 2023 | 24.07% |
| Dec 2023 | 23.06% |
| Govt. Holding | |
| Dec 2022 | 0.09% |
| Mar 2022 | 0.09% |
| June 2023 | 0.10% |
| Sept 2023 | 0.10% |
| Dec 2023 | 0.10% |
| Public Holding | |
| Dec 2022 | 4.74% |
| Mar 2022 | 4.90% |
| June 2023 | 5.18% |
| Sept 2023 | 4.91% |
| Dec 2023 | 5.10% |
Read More
Projected Tata Technologies Share Price Targets for 2024-2050
Coal India Ltd Share: Last 5 Years’ Financial Condition
To better comprehend the market performance, it’s essential to examine the share’s outlook in previous years. However, investors should exercise caution, considering the associated risks and prevailing market conditions, before making any investment decisions.
Last 5 Years’ Sales:
| 2019 | ₹99,586 Cr |
| 2020 | ₹96,080 Cr |
| 2021 | ₹90,026 Cr |
| 2022 | ₹109,715 Cr |
| 2023 | ₹142,081 Cr |
Last 5 Years’ Net Profit:
| 2019 | ₹17,464 Cr |
| 2020 | ₹16,700 Cr |
| 2021 | ₹12,702 Cr |
| 2022 | ₹17,378 Cr |
| 2023 | ₹28,002 Cr |
Last 5 Years’ Debt-To-Equity Ratio:
| 2019 | 0.08 |
| 2020 | 0.02 |
| 2021 | 0.16 |
| 2022 | 0.08 |
| 2023 | 0.07 |
Last 10 Years’ Profit Growth:
| 10 Years: | 5% |
| 5 Years: | 32% |
| 3 Years: | 19% |
| Current Year: | 7% |
Last 10 years’ Return on Equity (ROE):
| 10 Years: | 43% |
| 5 Years: | 52% |
| 3 Years: | 47% |
| Last Year: | 56% |
Last 10 Years’ Sales Growth:
| 10 Years: | 7% |
| 5 Years: | 10% |
| 3 Years: | 13% |
| Current Year: | 13% |
FAQ
Frequently Asked Questions (FAQ) for Coal India Limited (NSE: COALINDIA) Shares:
What is Coal India Limited?
Coal India Limited (COALINDIA) is the largest coal producer in India and holds the Maharatna status. It operates numerous mines, both underground and open cast, making it the world’s largest coal producer.
How is Coal India’s Stock Performance?
As of the latest available information, the stock is trading at Rs 390. Over the last six months, it has shown significant activity and provided a return of 70 percent.
What Factors Influence Coal India’s Stock Price?
Coal India’s stock price can be influenced by various factors, including demand for coal, government policies, global economic conditions, and the company’s financial performance.
What are the Risks Associated with Investing in Coal India Shares?
Risks include changes in regulatory policies, environmental concerns affecting the coal industry, and volatility in stock prices due to market sentiment and economic conditions.
How Can I Stay Informed about Coal India’s Performance?
Stay updated through financial news, official company announcements, and quarterly reports. Regularly check stock market platforms for real-time stock prices and relevant news.
Has Coal India Declared Dividends?
Check the company’s financial reports for dividend declarations. Dividend payments can be influenced by the company’s profitability and financial decisions.
What are the Key Drivers of Coal India’s Business?
The demand for coal, government energy policies, and global energy trends are key drivers. Changes in these factors can impact the company’s performance.
Is Coal India Affected by Environmental Regulations?
Yes, as a coal producer, Coal India may be impacted by environmental regulations and evolving global efforts to transition to cleaner energy sources.
Should I Consider Coal India for Long-Term Investment?
Consider your investment goals, risk tolerance, and the long-term outlook for the coal industry. Diversify your portfolio and consult with a financial advisor for personalized advice.
Where Can I Find More Information about Coal India Shares?
Access official company reports on the Coal India website, follow financial news sources, and use reputable stock market platforms for real-time information.
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Conclusion
This page provides a complete reference on Coal India Ltd shares. The necessary facts and forecasts are produced by our research of business foundations and history, experiences, knowledge, and various technical studies combined with careful analysis.
We spend much time on the future opportunities and share’s growing capability. For y our next investment decisions, these concepts should be beneficial.
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