HSBC Overweight on Coal India Limited

HSBC is OverWeight on Coal India Limited as it expects production improvement to drive the stock.

The Stock is up 6% over last 3 months on back of better operational performance and the YTD production is up 6.5%.

It feels, the company will likely to meet its original FY13 production (464MT) and offtake (470MT) targets. This should be a catalyst for stock.

HSBC has raised target price to INR415 (from INR400) as we roll forward our valuation period and reiterate our Overweight rating.

Source : Equity Bulls

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