India's Shyam Metalics jumps after ICICI Securities raises TP

Shyam Metalics and Energy

17/03/2023 10:05

** Shares of ferro alloys maker Shyam Metalics and Energy
 SHYE.NS  rise as much as 6.7% to 283.70 rupees, biggest
intraday pct gain since Dec. 21, 2022
    ** ICICI Securities raised target price on co to 570 rupees
from 425 rupees, citing strong growth prospects in co
    ** Ramp up, stabilisation of existing capabilities, recent
foray into stainless steel, colour-coated steel are likely to be
earnings accretive, ICICI analysts said in a note
    ** Expect earnings before interest, taxes, depreciation, and
amortization to grow over 2x by FY25 vs FY23 even assuming
decline in commodity prices - ICICI Securities
    ** Co has low capex intensity and least leveraged balance
sheet among peers and valuations are also cheap, brokerage said
    ** Stock down ~ 11% YTD after 8.6% fall last yr 

 (Reporting by Nallur Sethuraman in Bengaluru)
 ((Sethuraman.NR@thomsonreuters.com; (+91 8061822737); Reuters
Messaging: nallur.sethuraman.thomsonreuters.com@reuters.net))