Stock Snapshot
Price Performance
Recommendation Rationale
Favorable growth outlook supported by strong volume growth and operational efficiencies.
Basis of our Recommendation
Jindal Steel is positioned for robust revenue growth and margin improvement, driven by strong volume increases and a favorable product mix. Despite facing some cost pressures, the company's expansion initiatives and operational efficiencies enhance its market outlook.
Why We Like This Stock
- Strong volume growth and improved pricing in Q4FY26
- Transitioning to a more profitable product mix expected to enhance margins
- Expansion and cost-saving measures positioning the company for strong revenue growth
Things To Watch Out For
- Rising costs impacting valuation
- Challenges related to execution risk in managing product mix shifts
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 50,354 | 50,129 | 53,225 | 64,791 | 77,085 |
| Profit Before Tax (Cr.) | 6,161 | 5,468 | 5,284 | 7,911 | 10,977 |
| PBT Margin | 12.2% | 10.9% | 9.9% | 12.2% | 14.2% |
| Net Profit (Cr.) | 5,796 | 3,459 | 4,445 | 6,755 | 9,372 |
| EPS | 56.9 | 33.6 | 43.7 | 66.4 | 92.1 |
Company Overview
Show Company Profile
Jindal Steel Limited operates in the steel, mining, and infrastructure sectors in India and internationally. It offers rails; medium and heavy hot-rolled parallel flange beams and column sections; plates and coils; angles and channels; cold heading quality, electrode quality, and high carbon wire rods; round bars; fabricated sections; Jindal Speedfloor concrete flooring solutions; Jindal Panther TMT rebars; semi-finished products, including slabs, billets, blooms, beam blank, and rounds; and Jindal Panther cement comprising Portland slag cement, Portland composite cement, and ground-granulated blast-furnace slag, as well as rockhard plates, cathode bards, and track shoes. The company also operates and maintains a total captive power plant capacity of 1,634 megawatts. In addition, it operates coal and iron ore mines located at various locations in India, Australia, and Africa. The company was formerly known as Jindal Steel & Power Limited and changed its name to Jindal Steel Limited in July 2025. Jindal Steel Limited was incorporated in 1979 and is based in New Delhi, India.