Steel Authority of India

Global Overcapacity And Costly Upgrades Will Shrink Steel Margins

AnalystLowTarget

Not Invested

Community Contributor

Published

27 Jun 25

Updated

14 Dec 25

Views

n/a

AnalystLowTarget's Fair Value

n/a

8.7%

1.3%

8.7%

1.3%

You can edit this narrative until Dec 15 8:10 PM. Then, changes will post as Updates.

Author's Valuation

₹9044.7% overvalued

AnalystLowTarget Fair Value

Narrative

Updates1

Shared on 14 Dec 25

Fair value Increased 5.88%

SAIL: Future Earnings Multiple Will Likely Compress From Cyclical Steel Headwinds

Analysts have nudged their price target on Steel Authority of India higher, lifting fair value by ₹5 to ₹90 as they grow more optimistic about a return to positive revenue growth, stronger profit margins, and a more reasonable future earnings multiple, despite a slightly higher discount rate. Analyst Commentary While the latest target price increase signals improving confidence in Steel Authority of India, not all market participants are convinced that the current trajectory justifies a sustained re-rating.

AnalystLowTarget Fair Value

₹90

44.7% overvalued

Future estimation in

Growth p.a.

Decrease

Increase

Current revenue growth rate

4.10%

Metals and Mining revenue growth rate

17.40%

Risk Level (Discount Rate)

Our default considers factors like the company's size, volatility, profitablity and country of operation.

Decrease

Increase

Current discount rate

15.31%

Calculation

₹40.26b

Earnings '28

13.93x

PE Ratio '28

₹560.78b

Market Cap '28

₹560.78b

Market Cap '28

4.06b

No. shares '28

₹137.98

Share Price '28

₹137.98 Share Price '28

Discounted to 2025 @ 15.31% p.a.

₹89.99

Fair Value '25