Steel Authority of India Limited (SAIL) shares gained over 7% to hit a 52-week high of ₹143.20 on the Bombay Stock Exchange (BSE) on Wednesday. The stock gained about 10% in two trading days, ahead of the announcement of the company’s financial results for the second quarter (Q2 FY26).
Trading volume for the stock was recorded at 90.32 million equity shares, which represents 2.2% of the company’s total equity, combined on NSE and BSE. The stock has also outperformed its previous 52-week high of ₹139.95, which it has touched earlier this year.
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According to a voting poll by CNBC-TV18, the results are as follows:
Operating profit (EBITDA): Expected to fall by 32% Year-on-Year (YoY) to ₹1,995 crores from ₹2,913 crores.
Net profit: Projected to plunge by 85% YoY from ₹897 crores in Q2 FY25 to ₹136 crores.
Revenue from operations: Expected to increase 0.6% to ₹24,822 crores from ₹24,675 crores in Q2 FY25.
Margins: Estimated to contract from 11.81% to 8.04%.
However, the stock’s momentum is being supported by other factors. The broader BSE Metal index was also trading in the green, up nearly 2% which indicates strong sectoral buying.
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In a recent report, InCred Equities upgraded SAIL to an 'ADD' rating, citing a stable pricing environment and a belief that steel prices are unlikely to fall meaningfully from current levels, as mentioned in a statement by Business Standard.
These positive reports, combined with reasonable valuations, have made the stock a tactical play for some investors betting on a long-term recovery and stable domestic demand driven by infrastructure spending.
SAIL shares closed the day at Rs140.55, gained about 8.39 points or 6.35%. The company's official Q2 results, which will be released later today, will determine if the market's optimism was justified or premature.
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