LONDON (Commodity online):Tata steel Ltd (BSE: TATASTL: 500470, NSE : TATASTEEL) has gained in both BSE and NSE despite the Union Bank of Switzerland (UBS) downgrade of the company to 'neutral'.
Tata Steel Europe (formerly Corus) was downgraded to "neutral" by UBS due to lower margin in Corus and low sales in India.
On account of low steel price and high raw material price , the Swiss bank has cut down the price target of the company to Rs 460 from Rs 860. USB does not expect an recovery in the company's operation in Europe especially Corus.
"We believe Tata Steel's stock price is not attractive at the current levels," said UBS , reported by Reuters.
In London Stock exchange (LSE), the stocks of Tata Steel traded around Rs 419.50 or $ 8.55 on 7th Oct.
Meanwhile, In BSE, Tata Steel stocks up 2.48% to Rs 430 and in NSE, the company traded up 2.67% to Rs 430.90 in afternoon trade on 10th Oct.
