Buy or Sell: Coal India Share Price Target 2024, 2025, 2030, 2035 Long Term Prediction

Today, we are going to estimate the Coal India Share Price Target 2024 to 2035. Coal India is listed on the NSE under the symbol “COALINDIA” and on the BSE with the code “533278”. let’s analyze the future of Coal India shares as well, including whether it’s a good time to buy or sell them today.

Additionally, we will also take into analysis Coal India Share Recommendations from various brokerage firms, including Target’s High Price, Target’s Low Price and Recommendation at the end of the article.

Overview of Coal India


NameCoal India Limited (CIL)
IndustryCoal Mining
Founded1975
ServicesCoal production
coal-based products,
including coking coal,
semi coking coal,
non-coking coal, etc.
CountryIndia
Websitecoalindia.in
ProfileCoal India

Keep an eye on Coal India’s share price today with real-time updates, and examine its performance on the stock market through comprehensive charts that display the fluctuations in Coal India stock price.

Coal India Share Price Today


About Coal India Company


In the heart of India’s industrial prowess lies Coal India Limited (CIL), a beacon of the nation’s energy sector. Established in November 1975, CIL has grown from producing 79 million tons of coal in its inaugural year to becoming the world’s largest coal producer. With a workforce of 239,210 as of April 1, 2023, it stands as one of the largest corporate employers globally.

CIL operates through its subsidiaries across eight Indian states, encompassing 83 mining areas. Its portfolio includes 322 mines, comprising 138 underground, 171 open-cast, and 13 mixed mines, alongside managing various institutions like workshops and hospitals.

The company also boasts 21 training institutes and 76 vocational training centres, with the Indian Institute of Coal Management (IICM) serving as a premier corporate training institution.

As a Maharatna company – a title bestowed by the Government of India to only a few enterprises – CIL plays a pivotal role in India’s energy sector. It contributes 85% of the total coal production and 75% of the coal-based thermal power in India, significantly supporting the nation’s primary commercial energy needs.

In a remarkable feat, CIL recorded a production of 703.21 million tons, a 12.94% increase, and achieved its highest-ever dispatch of 694.69 million tons, a 5% increase compared to the previous year. This growth trajectory is expected to propel CIL’s coal production to 1 billion tons by 2025-26.

 Financial of Coal India


Conduct a SWOT analysis of Coal India Share based on its financials. We will break down the key elements of strengths, weaknesses, opportunities, and threats using the financial data.

Strengths

Robust Revenue Growth: Coal India has shown a consistent increase in total revenue over the years, moving from ₹829,142.6 crores in 2020 to ₹1,306,415.5 crores in the trailing twelve months (TTM) as of March 30, 2023. This indicates a strong market presence and operational efficiency.

Healthy Gross Profit: The company’s gross profit has been on an upward trajectory, indicating effective cost management and a solid business model.

Stable Net Income: The net income for common stockholders has shown resilience and growth, particularly a significant rise from ₹126,998.9 crores in 2020 to ₹280,595.9 crores in TTM, reflecting strong financial health.

Solid Asset Base: With total assets growing from ₹1,500,215.1 crores in 2020 to ₹2,112,066.5 crores in 2023, Coal India exhibits a robust asset foundation.

Weaknesses

High Operating Expenses: There’s a noticeable increase in operating expenses over the years, which could impact profit margins if not controlled effectively.

Capital Expenditure: The company has a significant capital expenditure, which is essential for its operations but also indicates a substantial cash outflow.

Fluctuating Net Interest Income: The net non-operating interest income expense shows fluctuations, which might indicate varying financial strategies or market conditions impacting financial income and expenses.

Opportunities

Expanding Market Demand: With the growing energy needs in India, Coal India has the opportunity to expand its market share and increase revenue.

Diversification: Exploring renewable energy sources and diversifying its portfolio could open new revenue streams and reduce dependency on coal.

Technological Advancements: Investing in modern mining technologies can improve efficiency and reduce operational costs.

Threats

Environmental Regulations: Stricter environmental regulations and a global shift towards cleaner energy sources could impact coal demand.

Market Competition: The entry of private players and alternative energy sources could intensify competition.

Economic Fluctuations: Economic downturns and fluctuations in global markets can impact coal prices and demand.

Brokerage Firms

Coal India Share Price Target 2024

An effective method for evaluating the Coal India share price Target is by examining research reports and analyses conducted by reputable financial institutions and brokerage firms. The latest research reports are available on Coal India.

DATEAUTHORTARGETTYPE
28 DEC 2023Motilal Oswal 430.00 Buy
22 NOV 2023Geojit BNP Paribas 359.00 Hold
21 NOV 2023Motilal Oswal380.00 Buy
13 NOV 2023Axis Direct 380.00 Buy
20 OCT 2023ICICI Securities Limited395.00 Buy
04 SEP 2023ICICI Securities Limited285.00 Buy
09 AUG 2023ICICI Securities Limited285.00 Buy
09 AUG 2023Axis Direct265.00 Buy
08 AUG 2023Sharekhan270.00 Buy
31 MAY 2023Motilal Oswal290.00 Buy

Coal India Share Price Target 2024 to 2035

We will analyze the performance of the company’s shares in recent times and provide you with a well-researched Coal India Share Price Target 2024, 2025, 2030 to 2035 based on our Research knowledge and forecasting.

Coal India Share Price Target 2024


The financial services firm Motilal Oswal published the latest research report on Coal India Share Price Target, assigning a ‘buy’ rating with a share price target of Rs. 430 from its current market price of Rs. 366.

Robust Volume Growth

COAL’s commitment to volume growth is critical in meeting the burgeoning demand for coal in the power sector. This demand is driven by the government’s emphasis on ensuring a reliable 24×7 electricity supply.

COAL’s long-term commitment, evident through Fuel Supply Agreements (FSAs), positions it to target a production of 780 million tonnes (mt) in FY24, with a further increase to 850mt in FY25.

E-Auction as a Performance Catalyst

Approximately 10% of COAL’s total volume is sold through auction-determined prices. The e-auction segment is expected to sell around 72mt in FY24, showing a gradual increase over the following years.

Notably, the e-auction premium has rebounded recently, indicating a resurgence in demand and a rise in international prices. This premium is anticipated to hover around 80-100% in the upcoming months, contributing significantly to COAL’s revenue.

Capital Expenditure

COAL has escalated its capital expenditure (capex) to enhance its evacuation infrastructure. From a modest INR 65-85 billion until FY20, the capex soared to INR 186 billion in FY23. With an earmarked ~INR 165 billion capex for FY24, COAL is set to develop its infrastructure across various verticals.

This robust capex strategy is expected to exceed budget estimates, further bolstering the company’s growth trajectory.

Supply to Power Sector

COAL supplies about 90% of its production to the power sector, including Captive Power Plants (CPPs). The ongoing commitments via FSAs and Bridge Linkage Commitments (BLCs) ensure steady sales, projected to be around 610mt in FY24E. Dispatches to coal-fired plants are also on an upward trend, providing a clear growth trajectory.

Growing Railway Capacities

COAL is investing in enhancing its railway capacities and First Mile Connectivity Projects (FMCP). These initiatives are poised to augment its evacuation capacity significantly, ensuring higher volumes and operational efficiencies. The strategic expansion in railway connectivity and FMCPs underlines COAL’s commitment to improve its logistical framework and cost efficiencies.

Cost-Control and Productivity

A significant aspect of COAL’s strategy is its focus on cost-control and increasing productivity. The company has been proactive in phasing out unviable mines and reducing its workforce, contributing to a leaner and more efficient operational model.

Long-term Visibility

The dependence on thermal power plants is expected to increase in the coming years, despite the growth in renewable energy capacities. COAL, given its pivotal role in the thermal power sector, enjoys long-term growth visibility, underpinned by the government’s target for electricity generation and the anticipated increase in thermal power capacity.

Forecast and Analysis

Based on these strategic moves and market trends, COAL is forecasted to maintain stable volume growth. The stock currently trades at an EV/Adj. EBITDA of 4.2x for FY26E. Rolling forward our estimates to FY26, we reiterate our BUY rating on the stock with a target price (TP) of INR 430, premised on 5x FY26E EV/EBITDA.

Coal India Share Price Target 2025


For Coal India’s share price target for 2025, we believe it should be in the range of ₹500-₹550. This is because the company is expected to sell around 88mt through e-auctions in FY26, which will propel its performance. Additionally, the company’s revenue is expected to improve in line with the increase in volumes, and its adjusted EBITDA is expected to grow at a healthy pace after bottoming out in FY24E.

Coal India Share Price Target 2030


For Coal India’s share price target for 2030, we believe it should be in the range of ₹800-₹900. This is because the company is well placed to capitalize on the growth opportunity ahead, as domestic power demand is expected to grow at 1.1x GDP and reach 1,750bu of power generation in FY24. Additionally, the dependence on thermal power plants is expected to mount in the coming years, which will drive higher thermal coal demand from Coal India.

Coal India Share Price Target 2035


For Coal India’s share price target for 2035, we believe it should be in the range of ₹1,200-₹1,400. This is because the company is expected to continue to perform well in the mining sector, and its revenue and adjusted EBITDA are expected to grow at a healthy pace. Additionally, the company’s cash and cash eq. per share is expected to remain elevated, which will provide a strong foundation for future growth.

YearMinimum Target (₹)Maximum Target (₹)
2024₹430₹450
2025₹500₹550
2030₹800₹900
2035₹1200₹1400

Analyst Recommendations

Coal India Buy or Sell


Daily Low / High


Competitors of Coal India


NameP/EMar Cap Rs.Cr.
Coal India8.28231748.61
Vedanta19.3896108.44
NMDC12.2561337.43
Lloyds Metals26.6430206.73
KIOCL22410.62
GMDC12.7812941.00
Sandur Manganese28.027881.31
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How to Buy Coal India Share


  • Click on the “Open an Account
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  • Login to Your Account
  • Search for Coal India
  • Place an Order.

Coal India Share Price Target 2024?

– Based on our analysis, the maximum share price target for Coal India in 2023 could be ₹450.

Coal India Share Price in 2010?

– According to Google historical data, the price of Coal India on 5 Nov 2010 was ₹348.30

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I would like to remind you that I am not authorized by SEBI to provide any financial advice or recommendations. As you know, Share price prediction is not an exact science, That’s why I am conducting in-depth research and using different AI tools to predict share prices. My purpose is only educational, and I am using AI to see what the future of the stock might look like.

Disclaimer– These Share Price Targets for “Coal India Share Price Target” are only provided for informational purposes only. It does not constitute a recommendation to buy, sell, or hold Coal India stock. Investors should conduct their own research and analysis and consult with financial experts before making any investment decisions— Sharedhan.com

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Harry Prajapati
Harry Prajapati

Harry Prajapati is the creator of sharedhan.com. In 2006, he named the website "Sharedhan," which means share market wealth, to reflect its aim of providing information on making wealth through the share market. He has been a lifelong editor and writer with over 10 years of experience as a stock market & Business blogger.

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