NSE Symbol: JINDALSTEL | BSE Code: 532286
Jindal Steel (JSPL) Stock Trends - 2018
As the market opened for trading in January 2018, the JSPL share price stood at Rs.204.50. It touched an all-time high of Rs.290.75 on 23rd January and stabilized at Rs.266.45 by the end of the month. The stock price remained more or less stable in February but went downhill in March and closed the quarter at Rs.219.10.
In the next quarter, the stock price rose Rs.252.10 over the course of April and remained stable in may. However, it fell to Rs.228.80 in June, rose to Rs.245.90 and then closed the quarter at around Rs.223.
In July, the stock prices initially dropped to Rs.182.75 but soon recovered to Rs.205.45. It went up to Rs.222.75 in August. Although the share prices increased to Rs.237.85 in the middle of September, it soon dropped below the Rs.200 mark as the quarter closed at the end of the month.
On 1 January 2016, the stock market opened with Jindal Steel share price at Rs.94.20. It dropped drastically to Rs.60 and recovered slightly to end the month at Rs.64.20. In February, the stock price further declined to Rs.53.40.It recovered slightly in March and stood around Rs.60 at the closing of the quarter.
The stock price opened at Rs.63.50 in April and increased to Rs.76.80, but dropped again before closing at Rs.69.80 at the end of the month. The share prices fluctuated from Rs.70.70 to around Rs.63 in May. It remained steady at Rs.62.10 in June and ended the month on at Rs.66.50.
The JSPL share price was Rs.70.65 in the beginning of July, which significantly increased over the course of the month and ended at Rs.83.50. It went further up in August, opening at Rs.89.25. There were slight fluctuations during the month and came down to around Rs.85 by the end of August. Jindal steel and power share price dropped below Rs.75 by the end of September.
Throughout October, the price of the stock revolved around Rs.78 but fell below Rs.70 by the end of November. In the last month of 2016, the stock hovered around Rs.65 and closed the month at Rs.69.20.
January 2017 witnessed a significant rise of Jindal steel share price to Rs.80, which further shot up to Rs.125.45 in February. The quarter closed at Rs.121.25.
In the next quarter, the stock price opened at Rs.123.25 in April, fell to Rs.114 in may and stood at Rs.120.30 at the end of June.
In July, the stock prices increased from Rs.123.45 to Rs.153.40 but declined to Rs.137.10 in August. Although it shot up again to Rs.142.70 in September, it dropped again and closed the quarter 8 points lower.
October saw a giant leap in the JSPL share price from Rs.134.65 to Rs.163.10, which went further up to touch the Rs.170 mark in November. In the initial days of December, the stock stood at Rs.168.15. However, it soon started increasing rapidly and moved above the Rs.200 mark by the end of the month.
Jindal Steel and Power Ltd. is a renowned company, dealing in steel, power, mining and infrastructure industrial powerhouse. It is a part of the famous OP Jindal Group which is worth $18 billion. Jindal Steel and Power Ltd. has grown to become a $3.3 billion conglomerate. The company caters to various markets across the globe. It manufactures the world’s longest rails. Jindal Steel and Power Ltd. is the first company in India to manufacture large-size parallel flange beams. It operates the world’s largest coal-based sponge iron plant. It boasts of a capacity of making 3 million tonnes per annum of steel at the Raigarh plant in Chhattisgarh. Besides the plant in Raigarh, this company has also set up a bar mill and a wire rod mill at Patratu in Jharkhand, a structural mill at Raigarh, and a steel melting workshop at Angul in Odisha. The company was incorporated in 1979. It was initially called Pipe Unit Jindal Limited and was established at Hisar in 1969 by O.P. Jindal. Later, the Jindal Group’s management was split and Naveen Jindal became the Chairman of Jindal Steel and Power Ltd. This company operates in India, Oman, Bolivia, Mauritius and Africa, and also has over 15,000 staff members. JSPL share price fluctuates at every moment and thus it is very important for all potential investors to keenly study the performance of the company’s shares before investing in it.
The company’s net sales turnover was reported in March 2018 was slightly over Rs.17000 cr. This is a significant rise over last year's net sales turnover in March, which was reported to be Rs.13848.10 cr.
Jindal Steel and Power Ltd. reported its Earnings Before Income Tax on March 2018 to be Rs.2063.39 cr but the company’s Profit After Tax reported a loss of Rs.361.61 cr in March 2018.
This iron and steel producing company has its key products/ revenue segments as sponge iron, which contributed Rs.15665.46 cr to the total sales. The company's other operating revenue was at Rs.350.30 cr, export incentives contributed Rs.68.87 cr, while scrap contributed Rs.10.05 cr to sales value in March 2018.
The June 2018 quarter reported the consolidated sales at Rs.9539.60 cr, which increased by 11.93% over the previous quarter sales of Rs.8522.79 cr and by 70.12% over the last year's sales in the same period which stood at Rs.5607.57 cr.
The net profit after tax of the company was Rs.109.89 cr in the June 2018 quarter.
The total revenue of Jindal Steel and Power Ltd. for the previous financial year (2017-18) has increased by 23% to Rs.85.99 billion, which is much more than the record of Rs.69.93 billion in the end of FY 2016-17.
The earnings of the company before taxes, interest, depreciation and amortization margin has improved by 25% compared to 23% during the same quarter of the previous year.
In the current financial calendar year, Jindal Steel and Power Ltd. has outperformed the market by 28% as against a 3.7% rise in Sensex. Over the past one year, it has surged by 130% against 18% in the benchmark index. Despite the decline in Jindal Steel share prices, the company has outperformed the market.
Jindal Steel and Power recorded its profits at Rs.1.10 billion in June 2018 quarter in the backdrop of higher revenues.
Moreover, it has recently bagged an order for supplying nearly 1,00,000 tonnes of rails under a global tender by the Indian Railways.
The management team of the company is capable of executing strategies and take decisions accordingly.
In the last three years, the Jindal Steel and Power share price has been on an upward trajectory although it incurred losses in several quarters.
Everyone must be aware that the share market is a highly risky business and the only way to determine whether an investment is promising or not is by studying the market performance trend of the company's shares. As of the current trends of Jindal Steel and Power Ltd., it seems a viable option for investment.