Cost headwinds to rise; DI pipe thesis intact We lower our TP to Rs1330 (Rs1440 previously) and re-iterate BUY rating on Tata Metaliks (TML). We have lowered FY23 estimates to account for delay in commissioning of phase 2 of DI pipe expansion (now expected in 3Q/4QFY23). The performance in 3QFY22 was subdued due to inflation in coking coal/ coke and iron ore cost, further deteriorated due to instability of blast furnace post the maintenance shutdown. Operating profit is expected to remain weak in 4QFY22 mainly due to coking coal cost pressure. We expect a turn-around starting 1QFY23 when the high price Ductile Iron (DI) pipe contracts kick in along with...