Stock market analysts have maintained ‘buy’ rating on Tata Steel stock with an intraday target of Rs 595.

According to them, interested traders can purchase the stock above Rs 580 with a strict stop loss of Rs 570. If the stock market remains positive, the stock pricing becomes more attractive, and reach above Rs 600.
 
Shares of the company, on Thursday (Aug 28), closed at Rs 571.80 on the Bombay Stock Exchange (BSE). The total volume of shares traded at the BSE was 1092724. Current EPS & P/E ratio stood at 67.78 and 8.73 respectively. The share price has seen a 52-week high of Rs 969.80 and a low of Rs 557 on BSE.

The stock has good potential and it can still exhibit superb surge as the company has registered a 60.43% growth in consolidated net profit after minority interest and share of profit of associates of Rs 39,009 million for the three months period ended June 30, 2008 as against Rs 24,315 million during the corresponding period of the last year.

For the quarter, the company’s total income zoomed 39.18% to Rs 435,609.60 million from Rs 312,963.50 million for the quarter ended June 30, 2007.

The consolidated financial outcomes of the company consists of consolidated financial results of Tata Steel UK and its arms whose income constitutes 74% of the consolidated total income.

The Tata Group spends around Rs 8-10 billion annually on corporate social responsibility (CSR).

In Tata Steel, the group spends approx Rs 2 billion per year on CSR and the Tata Group as a whole expends Rs 8-10 billion per annum.

The Tata Trusts control 65.8% of the shares of Tata Sons, the holding company of the group.
 
On August 20, Tata BlueScope, a JV between Tata Steel and BlueScope Steel, has forayed into the retail market with its range of color coated steel building products.

Tata Steel, via its wholly owned arm, Tata Steel Global Holding, Singapore, on August 13, has entered into a joint venture (JV) contract with Vietnam Steel Corporation and Vietnam Cement Industries Corporation.

Moreover, Tata Steel has named raw material resources in America, Africa and Australia for acquirement to make sure that about 50% of the requirement of Corus is satisfied through captive sources.

Other stocks from the same sector that looks good for short-term as well as long-term trading includes SAIL, JSW Steel and Visa Steel.