What's Going On With Tata Steel Shares Today?

Tata Steel’s share price saw its three-session gaining streak halted in early trade on Wednesday as the company posted its Q4 results.

What Happened: The company’s consolidated revenue from operations stood at ₹62,961.54 crore, down 9.2% from the ₹69,323.50 crore revenue the steel giant booked in the corresponding quarter last year. The drop in revenue was partly because of the slowdown in the European markets. The company’s Europe business saw revenues slump 16.5% YoY to ₹22,036.15 crore.

See Also: When Will Tata Power Share Price Go Up?

EBITDA for the quarter stood at ₹7,225 crore, a steep drop from the year-ago period when the company reported EBITDA of ₹15,891 crore. Profits also slumped 84% YoY to ₹1,566 crore. However, the company still managed to beat street estimates, as many analysts expected the company to report an over 90% drop in profits at around ₹1,000 crore. The company also declared a ₹3.60/share dividend.

The Tata Group company’s Q4 numbers have garnered a largely positive reaction from analysts. JP Morgan maintained its ‘overweight’ rating for the stock with a price target of ₹150. Global brokerage firm CLSA also maintained its ‘outperform’ rating for the stock as it sees the Tata Steel share price going up to ₹125. Morgan Stanley remained ‘equalweight’ on the company and assigned a price target of ₹110.

Price Action: Tata Steel’s share price was down 0.09% to trade at ₹110.20 as the markets opened on Wednesday.

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