On February 28, 2025, Coal India’s stock rose over 3% to ₹387.85, even as the broader market plunged. The BSE Sensex fell 700 points, and Nifty 50 dropped below 22,350.
Several factors supported Coal India’s gains:
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Strong Production and Sales – The company’s production grew 11.2%, while dispatches increased 9.1% in the first eight months of FY24. In November 2023, coal offtakes rose 6.2% year-on-year, with an 8.8% production boost.
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Robust Financial Performance – In Q3 FY24, net profit jumped 18% year-on-year to ₹9,094 crore, the highest for any third quarter since listing.
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Attractive Valuation and Dividends – Analysts highlight Coal India’s fair pricing and strong dividend payouts, making it a preferred choice for investors.
These factors boosted investor confidence, helping Coal India outperform the market downturn.