Parag Parikh Mutual Fund buys Coal India: Value or trap?
The race to analyse each of these stocks in detail has already begun, and today we’ll be throwing our own hat in the ring.
Of all the stocks PPFAS has purchased of late, the one that has raised the most eyebrows is Coal India. On the face of it, this seems like a good buy. The stock is down almost 30% from its 52-week high and has an attractive dividend yield of 6.4% at its current price. What’s more, the balance sheet remains rock-solid with almost zero debt.
Results in recent years have also been quite good, with the company consistently notching profits in excess of ₹30,000 crore as opposed to the ₹16,000-17,000 crore it used to earn earlier.
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