Taken from MoneyControl.com
“Tata Sponge Iron has reported a standalone sales turnover of Rs 198.42 crore and a net profit of Rs 24.31 crore for the quarter ended Dec ’13. Other income for the quarter was Rs 8.73 crore.
For the quarter ended Dec 2012 the standalone sales turnover was Rs 199.78 crore and net profit was Rs 20.58 crore, and other income Rs 7.62 crore”
As of Jan 31, 2014, the Company had Rs 370 Crs of cash (Dreams Broking Jan 31, 2014 report). For a market cap of Rs 635 Crs and FY 13 PAT of Rs 75 Crs, the company trades at 8.5 P/E(x). With Rs 370 Crs of cash, the enterprise valuation (M.Cap+Cash+Debt) comes to Rs 1000 Crs or Rs 650/share.
Roadblock – The issues relating to the Coal Scam and the East Radhikapur Orissa coal block still remain.
thepokaranmoneymanager 