Tata Steel, Coal India, SAIL, NMDC: JPMorgan revises target prices for metals & mining stocks; double downgrades NMDC

Metals and Mining stocks in India: Global brokerage JPMorgan has revised its target prices on metals and mining stocks. The brokerage expects supply creation to lag demand growth and low-cost steel producers to command better margins and market share as the cyclic expands to the FY26 peak. The brokerage says that it prefers steelmakers.

According to the analysts at the brokerage, ongoing expansions from JSW Steel and Tata Steel should be value-accretive, yielding a mid-term internal rate of return (IRR) ahead of the cost of capital.

JSW Steel remains the top pick of JPMorgan, while NMDC is the least preferred stock of the brokerage in the sector.

Here are the target prices on the counters.

JSW Steel share price target

JPMorgan has upgraded JSW Steel to overweight from neutral. The brokerage has raised the target to Rs 980 from Rs 730.

Coal India share price target

The brokerage has downgraded the state-run mining major to neutral from overweight. The brokerage has raised the target on the stock by Rs 190 to Rs 480.

SAIL share price target

The brokerage has downgraded Steel Authority of India Limited's (SAIL) stock to neutral from overweight with an increase of Rs 5 in the target price to Rs 120 from Rs 115 earlier.

NMDC share price target

JPMorgan has double-downgraded state-run iron ore producer National Mineral Development Corporation (NMDC) to underweight from overweight. However, it has raised the target to Rs 195 from Rs 156. The brokerage expects international iron ore prices to decline in FY25/26.

Tata Steel share price target

The brokerage has retained an overweight call on Tata Group steelmaker Tata Steel—the world's tenth-largest steel producer—and has raised the target to Rs 170 from Rs 150.

Hindalco share price target

The brokerage has maintained an overweight rating on Aditya Birla Group firm Hindalco Industries with a raise in target to Rs 600 from Rs 490. According to the brokerage, margins should improve, and they view Bay Minette expansion as a multi-decadal opportunity.

Vedanta share price target

JPMorgan has retained a neutral rating on the diversified metals company with a target price of Rs 280.

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