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Tata Steel Ltd
BSE:500470

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Tata Steel Ltd
BSE:500470
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Price: 210.95 INR -0.99% Market Closed
Market Cap: ₹2.6T

EV/EBIT

16.5
Current
4%
More Expensive
vs 3-y average of 15.9

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
16.5
=
Enterprise Value
₹3.3T
/
EBIT
₹196.8B

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
16.5
=
Enterprise Value
₹3.3T
/
EBIT
₹196.8B

Valuation Scenarios

Tata Steel Ltd is trading above its 3-year average

If EV/EBIT returns to its 3-Year Average (15.9), the stock would be worth ₹203.32 (4% downside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-11%
Maximum Upside
+41%
Average Upside
7%
Scenario EV/EBIT Value Implied Price Upside/Downside
Current Multiple 16.5 ₹210.95
0%
3-Year Average 15.9 ₹203.32
-4%
5-Year Average 14.7 ₹187.99
-11%
Industry Average 16.7 ₹214.47
+2%
Country Average 23.3 ₹298.3
+41%

Forward EV/EBIT
Today’s price vs future ebit

Today's Enterprise Value EBIT Forward EV/EBIT
₹3.3T
/
Jan 2026
₹196.8B
=
16.5
Current
₹3.3T
/
Mar 2026
₹230.8B
=
14.3
Forward
₹3.3T
/
Mar 2027
₹315.3B
=
10.5
Forward
₹3.3T
/
Mar 2028
₹348.9B
=
9.4
Forward

Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.

Peer Comparison

All Multiples
EV/EBIT
P/E
All Countries
Close
Market Cap EV/EBIT P/E
IN
Tata Steel Ltd
BSE:500470
2.6T INR 16.5 28.5
ZA
Kumba Iron Ore Ltd
JSE:KIO
102B ZAR 3.4 7
BR
Vale SA
BOVESPA:VALE3
367B BRL 6.7 26.6
US
Nucor Corp
NYSE:NUE
49B USD 20.1 28.2
AU
Fortescue Metals Group Ltd
ASX:FMG
60.9B AUD 7.6 11.1
AU
Fortescue Ltd
XMUN:FVJ
37B EUR 7.7 11.4
LU
ArcelorMittal SA
AEX:MT
38.4B EUR 19.7 14.1
IN
JSW Steel Ltd
NSE:JSWSTEEL
3.1T INR 21.4 40.9
US
Steel Dynamics Inc
NASDAQ:STLD
32.8B USD 21 23.9
US
Carpenter Technology Corp
NYSE:CRS
21.3B USD 36.3 48.8
KR
Posco Holdings Inc
KRX:005490
31.4T KRW 22.3 47.7

Market Distribution

In line with most companies in India
Percentile
33nd
Based on 2 572 companies
33nd percentile
16.5
Low
0.4 — 15.7
Typical Range
15.7 — 34.7
High
34.7 —
Distribution Statistics
India
Min 0.4
30th Percentile 15.7
Median 23.3
70th Percentile 34.7
Max 48 145.1

Tata Steel Ltd
Glance View

Tata Steel Ltd., a jewel in the crown of the Tata Group, has carved a formidable path in the global steel industry, merging tradition with modernity. Founded in 1907 by visionary industrialist Jamsetji Tata, the company laid the foundation of India's industrialization, even when the aspirations of a steel plant seemed audacious. Nestled in the mineral-rich region of Jamshedpur in Eastern India, Tata Steel has grown from a regional player into a daunting global force through strategic expansions, acquisitions, and relentless innovation. With operations spanning across Europe, having acquired the Corus Group in 2007, and with manufacturing facilities in countries like Singapore, Vietnam, and Thailand, Tata Steel seamlessly weaves together its legacy with forward-thinking strategies to craft a sprawling enterprise. Tata Steel's impeccable business model rests on vertically integrated operations, from mining to finished products, ensuring a tight grip on quality and cost control. It strategically sources its raw materials from its own mines, significantly buffering itself against volatile commodity markets. The revenue streams flow from its diversified product portfolio, offering flat steel products used in automotive and shipping sectors, to long steel products used in construction and infrastructure projects. Furthermore, Tata Steel's emphasis on sustainability, demonstrated by its adoption of advanced technologies to reduce carbon emissions, positions it as a pioneer in environmental responsibility. By marrying operational excellence with sustainable innovation, Tata Steel forges not only steel but also pathways to enduring profitability.

TATASTEEL Intrinsic Value
242.23 INR
Undervaluation 13%
Intrinsic Value
Price ₹210.95
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