Credit Suisse downgrades Coal India to "neutral" from "outperform" but raises its target price to 380 rupees from 330 rupees.
The investment bank says Coal India "is cheap no longer" while noting "it is difficult to see volumes improving within 3-4 years."
Still, Credit Suisse says Coal India shares have uspide risk until the government`s restructuring plans are unveiled.
Prime Minister Modi is exploring breaking up Coal India and opening up the sector to foreign investment, two sources with knowledge of the matter told Reuters on May 21.
"Till government`s plans for restructuring are known, CIL can become a concept stock with upside risk," Credit Suisse said in a note on Monday.
Coal India shares are flat in trade as of 11:48 a.m.
Zee News App: Read latest news of India and world, bollywood news, business updates, cricket scores, etc. Download the Zee news app now to keep up with daily breaking news and live news event coverage.
