Tata Steel Limited (TATASTEEL)
Large CapMetals stocks · Large cap · NSE
Tata Steel Limited is a global steel producer with significant operations in India, UK, and Netherlands. The company is focused on scaling up capacity in India, driving sustainability initiatives, embracing digital transformation, and enhancing competitiveness through cost and efficiency programs.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Weak fundamentals, management trust is supportive, price trend is neutral, and recent execution is consistent.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Good · 55/100Rev +14% YoY · PAT +19% YoY · margin expansion
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹60,794 Cr | +14.3% | -3.9% |
| EBITDA | ₹9,264 Cr | +24.7% | -5.7% |
| Operating margin | 15.0% | +100 bps | -100 bps |
| PAT | ₹2,385 Cr | +18.8% | -19.6% |
| PAT margin | 3.9% | +15 bps | -77 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
Tata Steel reported robust FY2026 performance with deliveries up 3.26% YoY, revenues up 6.22% YoY, and EBITDA increasing 35.06% YoY, despite global headwinds. Profit after Tax and EPS also saw significant year-over-year growth.
While FY2026 results show strong growth in key operational and financial metrics, particularly EBITDA, the sustainability of these gains amidst 'global headwinds' and the impact of ongoing large-scale capacity expansion and decarbonization efforts warrant close monitoring. The significant cost transformation program is a positive, but its continued effectiveness is crucial.
India Capacity Expansion
Scaling up in India to capitalize on growth opportunity, targeting 40+ MTPA capacity from ~27.4 MTPA.
Downstream Product Investment
Investment in downstream products including Tubes (1.7 MTPA to 4 MTPA), Wires (0.6 MTPA to 1 MTPA), Tinplate (0.4 MTPA to 1 MTPA), and a 0.7 MTPA HRPGL complex.
Digital Platforms
Digital platforms achieved US$1 billion sales in FY2026, leveraging AI for efficiency and customer experience.
India Crude Steel Capacity
Targeting 40+ MTPA crude steel capacity in India from current ~27.4 MTPA.
NINL Expansion
4.8 MTPA expansion at Neelachal Ispat Nigam Limited (NINL).
TSM Finished Steel
2.5 MTPA finished steel expansion at Tata Steel Meramandali (TSM).
Maharashtra Greenfield Project
6.0 MTPA greenfield project in Maharashtra.
Global Headwinds
Consolidated EBITDA improved by ~320 bps YoY for FY2026 despite global headwinds.
Economic Conditions
Economic conditions affecting demand/supply and price conditions in domestic and overseas markets.
Regulatory and Environmental Changes
Changes in or due to the environment, Government regulations, laws, statutes, judicial pronouncements.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
The presentation provides annual financial and operational data for FY2025 and FY2026, making year-over-year comparison the most appropriate basis for assessing performance trends and growth.
Deliveries (million tons)
Deliveries increased to 31.97 million tons in FY2026 from 30.96 million tons in FY2025, a 3.26% YoY increase.
Revenues (Rs crores)
Revenues grew to Rs 2,32,140 crores in FY2026 from Rs 2,18,543 crores in FY2025, up 6.22% YoY.
EBITDA (Rs crores)
EBITDA improved to Rs 34,848 crores in FY2026 from Rs 25,802 crores in FY2025, a 35.06% YoY increase.
EBITDA Margin Improvement
Consolidated EBITDA improved by ~320 bps YoY for FY2026 despite global headwinds.
Sustainability Commitment
Sustainability is at the core of strategy, with a Net Zero emissions target for Tata Steel by 2045.
Continued Cost Focus
Targeted focus on cost to continue in FY2027, aiming for ~Rs 7,140 crores (~$0.8 billion) in savings.
Balance Sheet Optimization
Focus on optimizing capital structure and cost, including onshoring debt to drive efficiency.
People-Driven Impact
Enhancing culture, capability, and cost efficiency through skilling, organizational design, and employee well-being initiatives.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| EBITDA Margin | ~15.01% (FY2026) | Sustained improvement in EBITDA margin and the impact of ongoing cost efficiency programs. |
| Capacity Ramp-up in India | Targeting 40+ MTPA from ~27.4 MTPA | Timely commissioning and utilization ramp-up of new capacities at NINL, TSM, and the Maharashtra greenfield project. |
| Cost Transformation Program Achievement | ~Rs 10,868 crores delivered in FY2026 | Achievement of the targeted cost savings for FY2027 (~Rs 7,140 crores). |
| Decarbonization Progress | Net Zero emissions by 2045; UK reduction of 50 million tons CO2e over decade | Specific milestones and capital allocation towards decarbonization initiatives, especially in Europe. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
53NeutralMACD + · sector +2.7pp vs Nifty (3M)
Technical chart
TATASTEELdaily · 1Y · AUTO-5.9%Daily technical trend read
Mixed signalsSignals are conflicting — long-term trend down. RSI 56. Wait for confirmation.
- Price below SMA200 (long-term downtrend) — short-term bounces likely countertrend.
- SMA20 roughly flat — short-term momentum stalled.
- RSI(14) at 56 — rising, no extreme reading.
- MACD above signal, histogram expanding — bullish momentum building.
- 16% off 52W high · 18% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Relative Strength & Trend Stage
- Price is within 4.9% of the 30-week proxy.
- The 30-week proxy changed -0.3% over 20 sessions.
- The moving-average structure does not confirm Stage 2 or Stage 4.
Valuation & score drivers
U-Score 37 · WATCHLIST · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 37 · WATCHLIST · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
WATCHLISTWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- FCF yield is supportive at 8.8%.
- Piotroski is strong at 8/9.
- Cash flow contributes 10/10 to the score.
Main drags
- Fair-value margin of safety is negative at -9.4%.
- Valuation is weaker at 3/30; verify the latest quarterly trend.
- Quality is weaker at 5/20; verify the latest quarterly trend.
Cyclical valuation: normalized earnings, not just trailing PE
Cyclical companies can look cheapest near peak profits, so IndiaPulse flags value-trap risk separately.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Healthy Trust: Claim history is still being built. It ranks around the 90th percentile of the scored universe and 92nd percentile within Metals. No major sub-score weakness stands out.
High Trust Lite: Promoter pledge is zero.
Generally investable credibility. Look for weak sub-scores before increasing position size.
overall median 67 · Metals: 92nd pctile, median 70 · Large: 77th pctile, median 73
150 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Healthy Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter pledge is zero.
- ▸FCF yield is 8.8%.
- ▸10 years of positive FCF.
- ▸4/4 latest quarters had positive YoY revenue growth.
Trust risks
- ▸No major Trust Lite risk flags.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 19.90
- P/B
- 2.31
- EV/EBITDA
- 6.69
- Market Cap
- 235677.00Cr
Profitability
- ROE
- 11.70%
- ROCE
- 12.50%
- ROA
- 3.80%
- Dividend Y
- 2.12%
Growth (CAGR)
- Revenue 5Y
- 8.00%
- EPS 5Y
- 8.00%
- Revenue 3Y
- -2.00%
- EPS 3Y
- 10.00%
Balance Sheet
- Debt/Equity
- 0.90
- Interest Coverage
- 5.11×
- Altman Z
- 2.54
- Book Value
- 81.80
Cash Flow
- FCF Yield
- 8.77%
- FCF Positive Y
- 10/5
- OCF
- 35064.00 Cr
- EPS TTM
- 8.83
Shareholding
- Promoter Hold
- 32.94%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 45%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
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Peers
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Peers
Business-comparable peers in Metals — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.