Bhushan steel on a bull’s run

Bhushan Steel, the midcap stock is in the news as the share on an intraday basis has gained as much as over Rs 5. The shares which are trading at Rs 41.90 have gained as much 15 per cent as at 10.11 am.

The share on a 6-month basis is down by 0.04 per cent. The stocks 52 week high/low stands at Rs 75.50/32.50. The company has recorded a negative EPS this quarter, However the trend seems to be common amongst its core competitors. The P/E ratio for Q4FY16 stands at -0.29 whereas the industry P/E is 13.

The company has a large amount of debt in proportion to its equity (3.5 times more), and is a highly leveraged company. The company's consolidated debt stands at Rs 31,839 crores and has risen by 18 per cent from the previous year. 

The company in Q4FY16 has reported a net loss of Rs 670.47 crores. The company’s revenue stands at Rs. 2,537.86 crores, up 3.16 per cent (YoY) but down 20.04 per cent (QoQ).

Bhushan steel is an Indian based steel manufacturing company. This company is mainly into the production of auto- grade steel. The company is also engaged in producing cold rolled closed annealed, galvanised coil and sheet, high tinsel steel strapping, colour coated coil, wire rod, sponge iron, billets, galume sheets and coil.