Tata Steel to hit Rs 250? HSBC picks 2 metal stocks; one BUY, one HOLD

The Nifty Metal index rose on Thursday. It was up 1.41 per cent at 12,248.85. The index opened at 12,089.85 compared to its previous close of 12,078.95.

According to data available on the National Stock Exchange (NSE), the metal index remained among the top sectoral gainers in early trade.

The rise comes as domestic steel prices remain stable. This is improving sentiment in the sector.

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Broad-based gains across stocks

Most metal stocks traded in the green, as per NSE data.

Hindalco Industries rose 3.44 per cent to Rs 984.50. It was among the top gainers in the index.

National Aluminium Company gained 2.97 per cent to Rs 412.05.

Vedanta Ltd moved up 2 per cent to Rs 735.80.

NMDC Ltd added 1.62 per cent to Rs 84.25.

Steel Authority of India rose 1.12 per cent to Rs 166.25.

Among large steel players, Tata Steel gained 1.11 per cent to Rs 206.45. JSW Steel rose 0.82 per cent to Rs 1,204.10.

Other stocks also saw mild gains. Hindustan Zinc rose 0.63 per cent, while Hindustan Copper gained 0.29 per cent.

However, some stocks declined. APL Apollo Tubes fell 0.51 per cent to Rs 2,037.20. Adani Enterprises declined 0.55 per cent to Rs 2,032.60.

The overall trend remained positive despite selective profit booking.

Brokerage view supports sentiment

Global brokerage HSBC has maintained a positive view on the steel sector.

In a recent note, HSBC said domestic hot rolled coil prices have seen multiple increases through March and April.

The brokerage said further price hikes may be difficult from current levels. However, it expects prices to remain stable.

It also said it does not expect any meaningful decline in domestic steel prices.

This outlook is important for the sector. Stable prices reduce downside risks.

HSBC also highlighted that there could be upside risk to earnings estimates. This means companies may report better-than-expected profits if prices remain firm.

Tata Steel share price target 2026

HSBC has maintained a ‘Buy’ rating on Tata Steel. It has given a target price of Rs 250.

SAIL share price target 2026

On Steel Authority of India, the brokerage has maintained a ‘Hold’ rating. It has set a target price of Rs 150.

Tata Steel Q4 update

Tata Steel reported crude steel production in India at 6.25 MT in Q4FY26, up 15 per cent YoY, as per its exchange filing. On a QoQ basis, production slipped slightly from 6.34 MT in Q3FY26.

India deliveries rose 10 per cent YoY to 6.19 MT, marking the company’s best-ever quarterly volumes. For FY26, production stood at a record 23.48 MT and deliveries at 22.53 MT, supported by Kalinganagar ramp-up.

SAIL Q3 results highlights

Steel Authority of India reported net profit of Rs 374.03 crore in Q3FY26, up 163.6 per cent YoY.

Revenue from operations rose 11.7 per cent YoY to Rs 27,371.42 crore.

Total income increased over 11 per cent YoY to Rs 27,545.93 crore.

The growth was supported by higher revenues and improved operating performance during the quarter.