Recommendation from Iron & Steel and Wood & Wood Products Sector

The scrips in this column have been recommended with a 15-day investment horizon in mind and carry high risk. Therefore, investors are advised to take into account their risk appetite before investing, as fundamentals may or may not back the recommendations.

JTL INDUSTRIES LTD.
BSE CODE 534600
CMP - ₹220.10
Volume 49,785
Face Value ₹2
Target ₹239 - ₹243
Stoploss ₹212 (CLS)

J TL Industries stands out as a major player in the production of electric resistance welded (ERW) steel pipes, ranking among India's largest section pipe and tube manufacturers. With a robust capacity exceeding 6,00,000 metric tonnes annually, the company specialises in a diverse range of products, including ERW pipes, galvanised steel pipes, solar module mounting structures, and large-diameter steel tubes and pipes. Leveraging a client-focused approach, JTL Industries has expanded its global presence with a comprehensive portfolio of over 1,000 SKUs, spanning five continents. Domestically, the company has established a strong foothold with a network of more than 800 distributors. It has marked a significant achievement by surpassing its previous sales records, achieving an extraordinary sales volume of 3,41,846 metric tonnes. Furthermore, the company has witnessed substantial growth in the sales of valueadded products, with a remarkable surge of 34.5 per cent, rising from 74,243 metric tonnes in FY23 to 99,818 metric tonnes in FY24. Therefore, considering the company's evident growth potential, we recommend BUY.

Rushil Decor Ltd
CMP - ₹298.35
BSE CODE 533470
Volume 1,445
Face Value ₹10
Target ₹322 - ₹328
Stoploss ₹286 (CLS)

Founded in 1993, Rushil Decor has emerged as a leader in the Indian decorative high-pressure laminates market. With a presence spanning more than 51 countries worldwide, the company has evolved into one of India's foremost manufacturers of laminates and complementary products. Assessing the financial performance, revenues for the quarter surged by 9 per cent year-on-year, totalling ₹233.4 crore, propelled by robust demand and enhanced market penetration in Tier 2 and 3 areas.Throughout the quarter, operational facilities maintained an average capacity utilisation of 90 per cent. As a result, there was a notable uptick in volume, with MDF experiencing a 13 per cent increase and laminates recording a 7 per cent rise year-on-year. This quarter witnessed a substantial upsurge in exports, now constituting around 28 per cent of the total revenues. The company implemented impactful branding initiatives aimed at bolstering brand visibility across retail outlets and markets. Given the promising future prospects, we recommend BUY.