NMDC to bank on price hikes now
- NMDC estimates the capital expenditure in FY24 to be in the range of ₹1,800-2,000 crore, which is higher than its initial target
Investors in the NMDC Ltd stock have little to crib about. Its shares have gained nearly 39% in 2023 so far. The state-owned iron ore producer’s steady progress towards its volume target in FY24 has pleased investors. NMDC aims to clock volume in the range of 47-49 million tonnes this fiscal year. In the first seven months of FY24, volume was 23.5 million tonnes, up by 19% year-on-year. This means the ask is lower now. To achieve the mid-point of its guided range, NMDC must record a lower growth of nearly 14% in the remaining months.