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Tata Steel Ltd
LSE:TTST

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Tata Steel Ltd
LSE:TTST
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Price: 22.6 USD 2.26% Market Closed
Market Cap: $629.4m

P/FCFE

88.4
Current
601%
More Expensive
vs 3-y average of 12.6

Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.

P/FCFE
88.4
=
Market Cap
$2.7T
/
Free Cash Flow to Equity
₹29.8B

Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.

P/FCFE
88.4
=
Market Cap
$2.7T
/
Free Cash Flow to Equity
₹29.8B

Valuation Scenarios

Tata Steel Ltd is trading above its 3-year average

If P/FCFE returns to its 3-Year Average (12.6), the stock would be worth $3.22 (86% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-91%
Maximum Upside
No Upside Scenarios
Average Downside
62%
Scenario P/FCFE Value Implied Price Upside/Downside
Current Multiple 88.4 $22.6
0%
3-Year Average 12.6 $3.22
-86%
5-Year Average 8.4 $2.14
-91%
Industry Average 62.5 $15.98
-29%
Country Average 49.7 $12.72
-44%

Forward P/FCFE
Today’s price vs future free cash flow to equity

Not enough data available to calculate forward P/FCFE

Peer Comparison

All Multiples
P/FCFE
P/E
All Countries
Close
Market Cap P/FCFE P/E
IN
Tata Steel Ltd
LSE:TTST
2.6T USD 88.4 28.7
ZA
Kumba Iron Ore Ltd
JSE:KIO
100.1B ZAR 6.4 6.9
BR
Vale SA
BOVESPA:VALE3
346.5B BRL 12.5 25.2
US
Nucor Corp
NYSE:NUE
51.7B USD -587.7 29.8
LU
ArcelorMittal SA
AEX:MT
37.5B EUR -351.7 15
AU
Fortescue Metals Group Ltd
ASX:FMG
61.6B AUD 10 11.2
AU
Fortescue Ltd
XMUN:FVJ
36.9B EUR 10.1 11.4
US
Steel Dynamics Inc
NASDAQ:STLD
33.2B USD 61.2 24.2
IN
JSW Steel Ltd
NSE:JSWSTEEL
3.1T INR 30.2 41.2
KR
Posco Holdings Inc
KRX:005490
34.9T KRW 434.1 53.1
US
Carpenter Technology Corp
NYSE:CRS
21.4B USD 69 49

Market Distribution

Lower than 91% of companies in India
Percentile
9th
Based on 1 683 companies
9th percentile
9.5
Low
0.6 — 27.4
Typical Range
27.4 — 92
High
92 —
Distribution Statistics
India
Min 0.6
30th Percentile 27.4
Median 49.7
70th Percentile 92
Max 57 010.1

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.

TTST Intrinsic Value
27.04 USD
Undervaluation 16%
Intrinsic Value
Price $22.6
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