Soaring fortunes

INVESTING INSIGHT

The stocks of companies engaged in steel production have soared in the last three months on the Bombay Stock Exchange (BSE) as steel prices shot up in the wake of increased global and domestic demand.

The profits of steel companies were also robust in the first quarter further causing prices to spike. The companies have however eased prices in order to help rein in inflation.

The share price of Essar Steel witnessed a meagre gain from Rs 15.05 on June 1, to today's close of Rs 27.25, up 81.06 per cent on the Bombay Stock exchange (BSE).

During the same period the stock price of Jindal Vijaynagar Steel increased from Rs 7.98 to Rs 10.70 up 34.08 per cent and Raipur Alloys gained from Rs 29.70 to Rs 41.30, up 39.05 per cent.

The stocks of Steel Authority of India Limited increased from Rs 29.50 to Rs 39.25, up 33.05 per cent.

Tata Steel moved up from Rs 201.59 to Rs 249.60, a rise of 23.81 per cent. Sunflag Iron and Steel appreciated as well from Rs 5.69 to Rs 7.26, a gain of 27.59 per cent while Bellary Steels rose from Rs 1.57 to Rs 2.54, up 61.78 per cent.

The share price of Ahmedabad Steelcraft on the contract fell from Rs 9.11 to 9.05, down 0.65 per cent, while Steel Strips Wheels rose from Rs 34.29 to Rs 49.70, a rise of 44.94 per cent.

Southern Iron & Steel closed around Rs 5.51 in June and rose to Rs 14.92 up 170.78 per cent.