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Tata Steel

TATASTEEL · NSE & BSE · Metals & Mining · Steel

Current price

₹145.00

-0.50%FY24 (illustrative)

Illustrative / demo price - not live.

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About the company

One of the world's most geographically diversified steel producers, part of the Tata group.

Origin & history

Founded in 1907 by Jamsetji Tata, it built India's first integrated steel plant at Jamshedpur.

Founded

1907

Headquarters

Mumbai

Business segments

India Operations65.0%
Europe30.0%
Other5.0%

Competitive position (moat)

Integrated operations, brand trust and long-term customer relationships.

Governance

Tata group promoter with professional management.

Promoter holding

33.4%

Institutional holding

35.0%

Why it's interesting

A cyclical steel play with India growth potential and deleveraging, sensitive to global steel prices.

What to verify

  • Global steel price and demand cycle
  • European operations and carbon costs
  • Net debt and capex

Key risks

  • Steel price cyclicality
  • European operations
  • Raw material costs

Valuation snapshot

Market cap

₹1.8 L cr

Total value of all shares: price multiplied by shares outstanding.

P/E

12.0

Price to earnings: how much you pay per rupee of profit.

P/B

1.4

Price to book: how the price compares to net asset value per share.

EV/EBITDA

6.0

Enterprise value to operating profit: a valuation that accounts for debt and cash.

Dividend yield

2.0%

Annual dividend per share as a percentage of the price.

Profitability

Revenue

₹2,30,000 cr

EBITDA

₹33,000 cr

Net income

₹15,000 cr

EPS

₹12.00

EBITDA margin

14.3%

Net margin

6.5%

ROE

14.0%

ROCE

13.0%

Revenue growth

4.0%

Balance sheet health

Debt/equity

0.7

Total debt divided by shareholders' equity: how leveraged the company is.

Cash

₹20,000 cr

Cash and equivalents on the balance sheet.

Interest coverage

4.0

How many times operating profit covers interest expense.

Dividends & returns

Dividend yield

2.0%

Dividend yield is the annual payout as a share of the price. A higher yield can signal a mature, cash-generative business - or a falling price. Check the payout history before reading too much into it.

Growth trend

Revenue growth

4.0%

Revenue growth shows how fast the top line is expanding. Pair it with margin trends to see whether growth is turning into profit.

Ownership

Promoter holding

33.4%

Share held by the founding family or group.

Institutional holding

35.0%

Share held by mutual funds, insurers and foreign institutions.

Placeholders - verify in the shareholding pattern.

Key catalysts

  • India steel demand
  • Deleveraging

Red flags

  • Cyclicality
  • Europe drag

52-week range

52-week low

₹110.00

Lowest price in the 52-week range.

52-week high

₹180.00

Highest price in the 52-week range.