metals
Tata Steel
TATASTEEL · Nifty 50
₹199.01
Price 2026-06-17
At a Glance
Fundamental
85/100
STRONG
Trust
95/100
Verification
Coverage
89/100
HIGH
Quick Take
Tata Steel scores 85/100 on fundamentals (strong). Tata Steel: PE below historical average. BROAD EXPANSION regime.
Fundamental Score: 85/100 · STRONG · 1 signals detected
DuPont Analysis
ROE 10.6% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 10.57% is moderate margin-driven and stable. Net margin of 4.7% × asset turnover of 0.76x × leverage of 2.9x.
What This Means
Net margin of 4.7% means the company keeps ₹4.7 as profit for every ₹100 of revenue. This is a low-margin business. Asset turnover of 0.76x means the company efficiently uses its assets to generate revenue. Leverage of 2.9x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.
Margin Structure
Gross
59.4%
Operating
10.1%
Net
4.7%
Gross margin 59.4% → operating margin 10.1% → net margin 4.7%. Margins are stable.
Financial Health
Earnings Quality
STRONGCash flow covers net income 3.2x — earnings are HIGH QUALITY. The company converts profit to cash efficiently.
Debt Sustainability
ADEQUATEInterest covered 3.2x — adequate buffer. Debt is manageable. Debt/EBITDA at 2.6x is moderate.
Free Cash Flow
STRONGFCF margin at 8.9% — moderate. Generating cash after investments.
Peer Comparison
Tata Steel is compared against 10 peers in the metals sector.
Key Watchpoints
Breaks above ₹209 (+5%)
Trend reversal confirmation
Breaks below ₹189 (-5%)
Further downside risk
PE reverts to 5Y median of 22.9
Valuation normalization
Metals sector entering leadership
Sector rotation signal
Detected Patterns
Risk Flags
Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.
Company not overvalued on revenue basis.
⚠️ 1 critical + 0 warning flags. Exercise caution.
Data Quality
News Correlation
50 articles scanned for fundamental themes