Stock Snapshot
Price Performance
Recommendation Rationale
Moderate growth outlook supported by order inflows and international diversification, tempered by geopolitical and logistical challenges.
Basis of our Recommendation
Jindal Saw is positioned for moderate growth driven by a healthy order book and international market diversification, despite facing near-term earnings pressure from geopolitical disruptions and logistics constraints. The company's expansion plans could further enhance its growth trajectory.
Why We Like This Stock
- Healthy order book indicating demand stability
- Expansion plans into international markets
- Potential positive impacts on margins and valuation
Things To Watch Out For
- Earnings pressure from geopolitical disruptions
- Logistics constraints affecting operational efficiency
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 20,958 | 20,829 | 17,895 | 16,625 | 16,698 |
| Profit Before Tax (Cr.) | 2,221 | 2,373 | 1,076 | 1,082 | 1,131 |
| PBT Margin | 10.6% | 11.4% | 6.0% | 6.5% | 6.8% |
| Net Profit (Cr.) | 1,993 | 1,715 | 791 | 748 | 782 |
| EPS | 32.5 | 31.2 | 13.1 | 11.7 | 12.2 |
Company Overview
Show Company Profile
Jindal Saw Limited engages in the manufacture and supply of iron and steel pipes, and pellets in India and internationally. The company offers SAW pipes, such as double jointing, connector casings, hot pulled induction bends, monel sheating and anodes installation, post weld heat treatment, eddy current testing, and clad, as well as external and internal coatings, and line pipes; centrifugal casted pipes, including push up joint, double chamber restrained joint, and flanged pipes, as well as ductile iron fittings; and carbon/alloy steel seamless pipes and tubes comprising oil country tubular goods, flow line pipes, boiler pipes and tubes, and automotive tubes. It also provides stainless steel seamless and welded pipes and tubes, such as hydraulic and instrumentation tubing, condenser, heat exchanger, U-bends, coil tubing, and seamless pipes, as well as hollows and hollow bars; and welded and UHP pipes. The company operates iron ore mine and pellet plant. It also provides precision stainless steel strips and nickel alloys for use in the production of textile machinery, clocks, watches, and electrical equipment; anti corrosion and protective coating with fittings, bends, and flanges; double chamber pipes; polyurethane coated pipes; rust-free iron pipes; cold rolled strip products; transhipment and waterborne transportation services; advisory services; helical anchor manufacturing and property holding services; and tools and fittings products. The company engages in the provision of inland shipping; business process outsourcing services comprising call center, back office, and other support offices; and information technology (IT) services, including software development and support, IT maintenance, and other development services. Its products have applications in oil and gas exploration, transportation, power generation, supply of water for drinking, drainage, irrigation, and other industries. The company was incorporated in 1984 and is based in New Delhi, India.