Shares of rose 2 per cent in early trade on Wednesday, supported by renewed buying interest and positive brokerage commentary.
The stock traded at ₹448.05 on the at 11.24 am, after climbing to an intraday high of ₹451.80 compared with the previous close of ₹443.55. The counter had earlier touched its 52-week high of ₹461.55 on January 29, 2026.
Global brokerage Jefferies maintained a buy rating on Coal India and raised its target price to ₹485 from ₹450, citing improving earnings visibility and favourable demand conditions. The brokerage noted that after a 21 per cent earnings per share decline over FY24–26E, the company’s earnings trajectory is expected to improve with a 9 per cent compound annual growth rate over FY26–28.
Jefferies said a recovery in power demand, driven by expectations of an intense summer and weak rainfall, is likely to support higher coal volumes. It also highlighted that firm global coal prices may improve e-auction realisations for the company.
Despite a steady rise in captive coal production, Coal India has broadly retained its dominant 60 per cent share in India’s overall coal demand.
Domestic brokerage JM Financial, however, maintained a more cautious stance after meeting the company’s management. The brokerage said the long-term coal demand outlook remains intact and Coal India is targeting annual growth of about 5 per cent over the medium term.
JM Financial noted that both fuel supply agreement prices and e-auction prices have stabilised after the recent surge and are likely to remain steady, barring temporary spikes caused by supply-side constraints. Early trials aimed at replacing imported coal, which has an annual requirement of 40–45 million tonnes, with domestic supplies have shown encouraging results.
The brokerage added that the company is working to boost supplies to non-power sector consumers such as sponge iron manufacturers in eastern India and cement producers to improve overall offtake. While private commercial coal mining is expanding rapidly, it is expected to stabilise at around 300–320 million tonnes by FY29. Coal gasification remains another area of strategic exploration for future growth. JM Financial maintained a reduce rating on the stock with a target price of ₹420.