Tata Steel hits one-month high, stock surges over 30% in ten-days

The stock has rallied 32% in past ten trading sessions as compared to nearly 5% fall in benchmark S&P BSE Sensex.

Tata Steel has surged 6% to Rs 262 on PTI reports Tata Steel Thailand said it foresees a high demand for its products due to the country's planned $70 billion investment in major infrastructure projects.

The stock opened at Rs 248 and hit a low of Rs 263 on BSE. A combined 6.58 million shares have changed hands on the counter so far on BSE and NSE.

Meanwhile, shares of the steel-making arm of the Tata group has outperformed the market by surging 32% in past ten trading sessions as compared to nearly 5% fall in benchmark S&P BSE Sensex.  The metal sector index was up 13% during the same period.

The stock was in focus after reporting a better-than-expected operating profit of Rs 3,700 crore for the quarter ended June 30, 2013 driven by strong performance in Europe and India.

Improvement in profitability of Tata Steel Europe (TSE) highlights that restructuring initiatives have started delivering. The Indian operations continue to benefit from strong volume growth. However, subdued demand and weak prices present a challenge in the near term, says analyst at IIFL Institutional Equities in a report.