Investor fears of an earnings growth in the metals and mining space is at its worst in a decade, leading to a sharp fall in the valuation of stocks in the sector.
The S&P BSE Metal Index is currently trading at a trailing price-to-earnings (P/E) multiple of 4.5x - the lowest in over a decade.
The combined market capitalisation (m-cap) of the 10 stocks that are part of the BSE Metal index is down 30 per cent in the past three months as investors fear a big decline in metal companies' margins and profits in 2022-23 (FY23) due to a combination of price decline and lower volumes. This makes the BSE Metal Index the biggest underperformer in the recent sell-off in the broader market.
Esta historia es de la edición July 07, 2022 de Business Standard.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 8500 revistas y periódicos.
Ya eres suscriptor ? Conectar
Esta historia es de la edición July 07, 2022 de Business Standard.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 8500 revistas y periódicos.
Ya eres suscriptor? Conectar
Brokerages bullish on ICICI Bank stock after Q4 results
Bank's market cap zoomed past 8 trillion mark and settled at ₹8.14 trillion
Choose Aadhaar-based KYC: Once done, you may invest across fund houses
Keep Aadhaar, registered mobile number and scanned documents handy before starting online procedure
Sebi probing Linde India for RPT violation
The Securities and Exchange Board of India (Sebi) on Monday directed Linde India to comply with the norms of materiality thresholds for future related party transactions (RPTS) based on the aggregate value of transactions, amid an ongoing investigation by the regulator.
Hopes of universal bank tag lift AU SFB
Shares of AU Small Finance Bank (SFB) rallied more than 6 per cent on Monday after analysts said the lender meets all eligibility criteria laid down by the Reserve Bank of India (RBI) for obtaining a universal banking licence.
Silver ETF AUM tops ₹5,000 cr
Last month, Gold ETF AUM had topped ₹30,000 crore
Street disappointed with SBI Card's Q4 performance
SBI Cards & Payment Services reported mixed results for the January-March quarter (Q4) of FY24.
Fee outgo: BSE mcap plunges by ₹6,000 cr
Analysts see price hike in options segment to offset costs
Backed by banking stocks, benchmarks gain 1%
The Sensex and the Nifty 50 on Monday gained over 1 per cent each, driven by sharp increases in banking stocks following better-thanexpected quarterly profits from index heavyweight ICICI Bank.
Tone and substance
Subtle shifts in the texture of Sino-US ties
India's West Asia security dynamics
Despite its stakes in the region, its policy doesn't aim for long-term regional stability
