Recommendation from Mining & Chemicals Sectors
The scrips in this column have been recommended with a 15-day investment horizon in mind and carry high risk. Therefore, investors are advised to take into account their risk appetite before investing, as fundamentals may or may not back the recommendations.
MOIL Limited
CMP - ₹ 193.30
BSE CODE 533286
Volume 66,432
Face Value ₹ 10Target ₹ 212
Stoploss ₹ 180 (CLS)
MOIL is a Schedule ‘A’ Miniratna Category-I company. It was originally incorporated as Manganese Ore (India) Limited in the year 1962. Subsequently, name of the company was changed from Manganese Ore (India) Limited to MOIL Limited during the financial year 2010-11. Focusing on the quarterly performance of the company, it recorded net sales of ₹ 363.36 crore in Q3FY22, a 35.73 per cent jump in Q3FY22 from ₹ 267.70 crore in Q3FY21. Operating profit in Q3FY22 stood at ₹ 190.42 crore as compared to ₹ 95.36 crore in Q3FY21, an incredible rise of 99.69 per cent. The net profit witnessed an increase of 141.1 per cent in Q3FY22 to ₹ 123.88 crore as compared to ₹ 51.38 crore in Q3FY21. The company posted a phenomenal performance this year as a result of better product planning and marketing strategy, and increase in production. Hence, we recommend BUY.
Thirumalai Chemicals Limited
CMP - ₹ 289.35
BSE CODE 500412
Volume 2,12,084
Face Value ₹ 1
Target ₹ 320
Stoploss ₹ 272 (CLS)
Thirumalai Chemicals Limited (TCL) ranks among the largest producers in the world of Phthalic Anhydride, Malic Acid, Maleic Anhydride and Fumaric Acid. A responsible care company, safety, integrity and people are their main pillars. REACH-certified products adhere to the highest standards of health and safety. TCL has a presence in more than 34 countries. It has wellplanned and widespread infrastructure with regional offices in major cities of India. Analysing the quarterly performance, net sales for Q3FY22 stood at ₹ 541.16 crore as opposed to ₹ 317.78 crore in Q3FY21, an increase of 70.29 per cent. The operating profit climbed to ₹ 119.11 crore in Q3FY22, up by 58.75 per cent as compared to ₹ 75.03 crore in Q3FY21. Net profit soared up by 106.23 per cent in Q3FY22 to ₹ 75.46 crore from Q3FY21 which was ₹ 36.59 crore. The company’s robust balance-sheet and very low net debt and good cash flows have helped the company post consistent results over the past few quarters. Hence, we recommend BUY.
(Closing price as of Apr 05, 2022)