Iron Ore miners - better FY 22 is seen ahead

NMDC has raised Iron Ore Lump 65.5% prices by Rs. 500 per tonne to Rs. 5,850 per tonne w.e.f. 3-4-21. On 21st March only, NMDC had raised it by Rs. 250 per tonne to Rs. 5,350 per tonne. Read our 25th March article carried here as well on the same topic. Even Iron Fines 64% prices are raised by Rs. 250 per tonne to Rs. 4,560 per tonne w.e.f. 3-4-21. On 21st March only, NMDC had raised it by Rs. 100 per tonne to Rs. 4,310 per tonne.

This indicates good demand of iron ore by the steel makers, while 2 kg of iron ore is required for making 1 kg of steel. This will be seen pass through by the steel makers, thus seen positive for both.

So, Keep an eye on other iron ore miners as well, like Vedanta and Sandur Manganese, while SAIL has over 100% captive iron ore, as also, selling merchant iron ore as well.

This is not a buy recommendation, while stock recommendations are provided exclusively to our paid members in the Member Zone.