Coal India was listed on the NSE on November 4, 2010. In the last five years, its stock has given a massive return of around 200%. Will Coal India continue to provide such great returns in the future as well? Let’s explore Coal India’s growth potential and the Coal India share price target 2025 to 2050 in this article.
About Coal India
Coal India Limited (CIL) is a government-owned company founded in 1975 to manage and improve coal production in India. It is the world’s largest coal producer and plays an important role in meeting the country’s energy requirements. Coal India owns and operates many coal mines across India, supplying coal to power plants, industries, and other sectors.
Coal India Business Model
- Mining and selling coal: Coal India Limited (CIL) makes money by mining coal from mines and selling it to industries such as power plants, steel mills, and cement manufacturers.
- Washed and Processed Coal: CIL also sells processed coal, which is lower in impurities. This type of coal is priced higher than raw coal.
- Captive Mining for Private Companies: Coal India allows private companies to mine coal from its sites for a fee.
- Coal Bed Methane (CBM) Extraction: CIL generates revenue by extracting and selling methane gas from coal mines for use as fuel.
Coal India Fundamental Analysis
| Stock Name | Coal India Ltd. |
|---|---|
| NSE Symbol | COALINDIA |
| Market Cap | ₹ 2,51,347 Cr. |
| 52W High | ₹ 545 |
| 52W Low | ₹ 349 |
| Stock P/E | 7.17 |
| Book Value | ₹ 161 |
| Dividend Yield | 6.23 % |
| ROCE | 48.0 % |
| ROE | 38.8 % |
| Face Value | ₹ 10.0 |
| Industry PE | 17.5 |
| Price to book value | 2.55 |
| Debt to equity | 0.09 |
| PEG Ratio | 0.44 |
| Quick ratio | 1.29 |
| Shareholders | March 2023 | March 2024 | March 2025 |
|---|---|---|---|
| Promoters | 66.13% | 63.13% | 63.13% |
| FIIs | 7.84% | 8.41% | 7.74% |
| DIIs | 21.05% | 23.18% | 23.35% |
| Government | 0.09% | 0.11% | 0.11% |
| Public | 4.90% | 5.16% | 5.68% |
| No. of Shareholders | 13,24,238 | 15,75,608 | 22,79,035 |
Key Factors Driving Coal India Future Growth
- Rising Power Demand in India:
India’s growing economy, increasing urbanization, and electrification of rural areas are driving up power demand. Since thermal power still contributes over 70% of India’s electricity generation, Coal India, being the primary coal supplier, is expected to see sustained demand for its output. - Government Push for Energy Security:
To reduce dependency on imported coal and ensure energy self-reliance, the Indian government is focusing on increasing domestic coal production. Coal India, as a state-owned enterprise, will play a critical role in achieving this goal, with enhanced production targets and operational support. - Commercial Mining and Pricing Freedom:
Coal India has started venturing into commercial coal mining and expanding e-auction sales. This allows the company to sell coal at market-linked prices, improving margins and diversifying its customer base beyond just power plants. - Expansion into Non-Coal Segments:
To prepare for a carbon-constrained future, Coal India is diversifying into coal gasification, solar power, and coal bed methane extraction. These initiatives can open up new revenue streams and reduce dependence on thermal coal alone.
Pros of Coal India
- Strong Profit Growth: Coal India has achieved a strong profit growth of 27% CAGR over the last three years.
- High Return on Capital Employed (ROCE): Coal India has maintained an average ROCE of 57.7% over the last five years, which shows that the Coal India is using its capital efficiently to generate profit.
- High Return on Equity (ROE): Coal India has maintained an average ROE of 46.5% over the last five years, which shows that the Coal India is using shareholders funds efficiently to generate profits.
- Low PE Ratio Compared to Peers: Coal India has a PE ratio of 7.17, which is lower than the industry average of 17.5, making it relatively undervalued and potentially a good investment opportunity.
- Debt Free Company: Coal India is almost a debt free company with a debt to equity ratio of 0.09, which shows its financial stability.
- Increase in FIIs Holding: Foreign Institutional Investors (FIIs) have increased their holding to 8.16% in June 2025 from 7.74% in March 2025, which indicates growing confidence in Coal India’s future potential by the FIIs.
Cons of Coal India
- Decrease in DIIs Holding: Domestic Institutional Investors (DIIs) have reduced their holding to 22.66% in June 2025 from 23.35% in March 2025, indicating a decline in DIIs’ confidence in the company’s future growth prospects.
Coal India Ltd Balance Sheet
| Particulars | March 2023 | March 2024 | March 2025 |
|---|---|---|---|
| Equity Capital | 6,163 | 6,163 | 6,163 |
| Reserves | 54,680 | 76,567 | 92,942 |
| Borrowings | 4,331 | 6,523 | 9,146 |
| Other Liabilities | 156,222 | 147,217 | 151,948 |
| Total Liabilities | 221,396 | 236,470 | 260,198 |
| Fixed Assets | 64,547 | 75,668 | 89,361 |
| CWIP | 17,622 | 18,960 | 15,889 |
| Investments | 7,139 | 7,110 | 7,591 |
| Other Assets | 132,087 | 134,731 | 147,357 |
| Total Assets | 221,396 | 236,470 | 260,198 |
By the end of 2025, the Coal India share price is expected to be around ₹550 in normal conditions. In a bear market, it might be ₹500, and in a bull market, it may go up to ₹650.
| Coal India Share Price Target 2025 | Rupees (₹) |
|---|---|
| 1st Target | 500 |
| 2nd Target | 550 |
| 3rd Target | 650 |
In 2026, the Coal India share price is expected to be around ₹700 in a normal situation. In a bear market, it might be ₹600, and in a bull market, it may cross ₹850.
| Coal India Share Price Target 2026 | Rupees (₹) |
|---|---|
| 1st Target | 600 |
| 2nd Target | 700 |
| 3rd Target | 850 |
According to our analysis, the Coal India share price is expected to be around ₹800 in 2027. In a bear market, it might be ₹750, and in a bull market, it may cross ₹1100.
| Coal India Share Price Target 2027 | Rupees (₹) |
|---|---|
| 1st Target | 750 |
| 2nd Target | 800 |
| 3rd Target | 1100 |
According to our analysis, the Coal India share price may trade near ₹1000 by 2028; bearish conditions could pull it down to ₹900, while a strong bull run might lift it to ₹1400.
| Coal India Share Price Target 2028 | Rupees (₹) |
|---|---|
| 1st Target | 900 |
| 2nd Target | 1000 |
| 3rd Target | 1400 |
In a normal situation, the Coal India share price is projected to be approximately ₹1300 in 2029. In a bear market, the value may be as low as ₹1100, while in a bull market, it may rise to ₹1800.
| Coal India Share Price Target 2029 | Rupees (₹) |
|---|---|
| 1st Target | 1100 |
| 2nd Target | 1300 |
| 3rd Target | 1800 |
In a normal situation, the Coal India share price is projected to be approximately ₹1600 in 2030. In a bear market, the value may be as low as ₹1250, while in a bull market, it may rise to ₹2350.
| Coal India Share Price Target 2030 | Rupees (₹) |
|---|---|
| 1st Target | 1250 |
| 2nd Target | 1600 |
| 3rd Target | 2350 |
By 2035, the Coal India share price is projected to be around ₹3500 under normal conditions. In adverse markets, the price could fall to ₹2500, while favorable conditions might push it up to ₹7050.
| Coal India Share Price Target 2035 | Rupees (₹) |
|---|---|
| 1st Target | 2500 |
| 2nd Target | 3500 |
| 3rd Target | 7050 |
Under normal conditions, the Coal India share price might hit ₹10,000 by 2040. A bearish trend could lower it to ₹5000, whereas a bullish surge could raise it to ₹21,200.
| Coal India Share Price Target 2040 | Rupees (₹) |
|---|---|
| 1st Target | 5000 |
| 2nd Target | 10,000 |
| 3rd Target | 21,200 |
In 2050, the Coal India share price is expected to be around ₹50,000 in a normal situation. In a bear market, it might be ₹20,000, and in a bull market, it may go up to ₹1,25,000.
| Coal India Share Price Target 2050 | Rupees (₹) |
|---|---|
| 1st Target | 20,000 |
| 2nd Target | 50,000 |
| 3rd Target | 1,25,000 |
Disclaimer
This article is for educational purposes only. It is not a stock recommendation and should not be treated as such. Please ask your financial advisor before making any investment decision.
Also Read: ONGC Share Price Target 2025 to 2050
