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Steel Stocks Surge: Analysts Eye Demand Upcycle
29 Apr
Summary
- HSBC initiated coverage with Buy ratings on JSW Steel and Jindal Stainless.
- JSW Steel and Jindal Stainless are expected to see 13-19% upside.
- Infrastructure and urbanisation are key drivers for steel demand.

Analysts at HSBC have launched coverage on prominent steel manufacturers, expressing optimism for the sector's future. The firm has assigned 'Buy' ratings to JSW Steel and Jindal Stainless, while maintaining a 'Hold' rating for Jindal Steel and Power. These recommendations are underpinned by expectations of a multi-year demand upswing, fueled by robust growth in infrastructure projects and accelerating urbanisation across the region.
Furthermore, HSBC has reaffirmed its 'Buy' recommendation for Tata Steel, highlighting the company's solid balance sheet, benefits from import protection measures, and anticipated margin expansion as critical sector tailwinds. The price targets set for JSW Steel, Tata Steel, and Jindal Stainless collectively indicate an expected appreciation of 13% to 19% relative to their closing prices on Tuesday.