Shares of Coal India today fell 2.5% as offtake adjusted for power demand worried investors.
The company’s operational performance has improved materially over last eight months but lacks support from power sector demand, says Ambit.
It says FY16 offtake estimates might be at risk if electricity boards’ financing issues are not resolved and power demand does not pick up in the second half of FY16.
Monthly production has missed target for four consecutive months since April.
The government's plan to sell 10 per cent stake also weighs.