Tata Steel Ltd
OTC:TATLY
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ROIC
Return on Invested Capital (ROIC) measures how efficiently a company generates profit from the capital it invests in its business. It shows how well the company turns invested funds into returns for investors.
Return on Invested Capital (ROIC) measures how efficiently a company generates profit from the capital it invests in its business. It shows how well the company turns invested funds into returns for investors.
Peer Comparison
| Country | Company | Market Cap | ROIC | ||
|---|---|---|---|---|---|
| IN |
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Tata Steel Ltd
NSE:TATASTEEL
|
2.6T INR |
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| ZA |
K
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Kumba Iron Ore Ltd
JSE:KIO
|
99.5B ZAR |
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| BR |
|
Vale SA
BOVESPA:VALE3
|
367B BRL |
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| US |
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Nucor Corp
NYSE:NUE
|
49B USD |
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| AU |
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Fortescue Metals Group Ltd
ASX:FMG
|
60.9B AUD |
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| AU |
F
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Fortescue Ltd
XMUN:FVJ
|
37B EUR |
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| LU |
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ArcelorMittal SA
AEX:MT
|
38.4B EUR |
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| IN |
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JSW Steel Ltd
NSE:JSWSTEEL
|
3.1T INR |
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| US |
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Steel Dynamics Inc
NASDAQ:STLD
|
32.8B USD |
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| US |
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Carpenter Technology Corp
NYSE:CRS
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21.3B USD |
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| KR |
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Posco Holdings Inc
KRX:005490
|
31.4T KRW |
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Market Distribution
| Min | -143 138.6% |
| 30th Percentile | 2.9% |
| Median | 7.1% |
| 70th Percentile | 12% |
| Max | 717.9% |
Other Profitability Ratios
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.
See Also
ROIC is calculated by dividing the NOPAT by the Avg Invested Capital.
The current ROIC for Tata Steel Ltd is 5.5%, which is above its 3-year median of 4.9%.
Over the last 3 years, Tata Steel Ltd’s ROIC has decreased from 8.2% to 5.5%. During this period, it reached a low of -60.5% on Dec 31, 2023 and a high of 43.2% on Jun 30, 2024.