October 26, 2018 / 5:31 AM / in 22 days

BUZZ-India's JSW Steel hits 2-month low; brokerages cut TP

** Shares of JSW Steel Ltd fall as much as 4.5 pct to 337.4 rupees, their lowest since Aug 24

** Steel maker’s Q2 net profit more than doubled to 21.26 bln rupees ($290.44 mln) on higher steel production

** At least three brokerages cut target prices on co’s stock citing concerns over debt and margins

** Jefferies cuts TP to 307 rupees from 336 rupees citing high EBITDA - 2 pct ahead of estimates due to slightly better average selling price

** Co’s net debt rose sharply, hence, the rise in debt forecast - Jefferies

** Nomura slashes stock’s TP to 445 rupees from 484 rupees due to increased debt on forex translation

** Investors are concerned about steel margins being around peak-potential property slowdown in China. We think steel margins could last for longer, Citi analysts say

** Citi also cuts target price to 410 rupees from 420 rupees

** More than 3.3 mln shares change hands, 0.5 times their 30-day moving avg of 7.1 mln shares

** Nineteen of 32 brokerages rate the stock “buy” or higher, eight “hold” and three “sell”; their median PT is 377.5 rupees - Refinitv data

** Stock down about 40 pct this year, as of last close

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