Tata Chemicals surges 59 per cent in less than a month; attains all-time high level

The stock of Tata Chemicals Limited has given approximately 59 per cent returns in less than a month. On January 29, 2021, it had closed at Rs 475.45 while today, it registered a new 52-week high of Rs 757. 

During Friday's morning session, its stock was trading higher by 3.3 per cent thereby, making a fresh 52-week high from its previous close of Rs 732.80. 

On January 28, 2021, the company had announced its results for the quarter ending December 2020. Its consolidated revenue came in at Rs 2,606.08 crore as against Rs 2,623.36 crore in Q3FY20, registering a 0.7 per cent YoY decline. EBITDA fell by 0.3 per cent YoY to Rs 471.91 crore as against Rs 473.45 crore in Q3FY20, with a corresponding margin expansion of 6 bps. EBITDA margin for the quarter stood at 18.1 per cent. PAT came in at Rs 200.72 crore as against Rs 200.23 crore in the corresponding quarter last year, with a YoY increase of 0.2 per cent. 

The company informed that healthy volume growth across the product portfolio was witnessed in the domestic market. 

The company has a plant site of over 127 acres of land in Dholera (Gujarat), which can house the manufacturing of actives, cells, and batteries up to 10 GWh p.a., as well as recycling operations. Lithium-ion cells are one of the most critical components in an electric vehicle. Additionally, it has signed a new memorandum of understanding (MoU) with Indian Space Research Organisation (ISRO) for transferring of ISRO’s lithium-ion cell technology. 

Also, during December 2020 quarter, its promoter group company i.e. Tata Sons raised its holding to 37.98 per cent from 35.47 per cent in September 2020 quarter. 

Tata Chemicals Ltd, a part of Tata Group, is engaged in the manufacturing of basic chemistry as well as speciality chemistry products. It is the world’s third-largest producer of soda ash with manufacturing facilities in Asia, Europe, Africa and North America.