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Tata Steel Ltd
SWB:HWHG

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Tata Steel Ltd
SWB:HWHG
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Price: 17.8 EUR 0.56%
Market Cap: €20.3B

P/OCF

8.6
Current
14%
More Expensive
vs 3-y average of 7.6

Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.

P/OCF
8.6
=
Market Cap
€2.7T
/
Operating Cash Flow
₹304.7B

Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.

P/OCF
8.6
=
Market Cap
€2.7T
/
Operating Cash Flow
₹304.7B

Valuation Scenarios

Tata Steel Ltd is trading above its 3-year average

If P/OCF returns to its 3-Year Average (7.6), the stock would be worth €15.65 (12% downside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-27%
Maximum Upside
+166%
Average Upside
58%
Scenario P/OCF Value Implied Price Upside/Downside
Current Multiple 8.6 €17.8
0%
3-Year Average 7.6 €15.65
-12%
5-Year Average 6.3 €13.01
-27%
Industry Average 17.6 €36.26
+104%
Country Average 23 €47.34
+166%

Forward P/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward P/OCF

Peer Comparison

All Multiples
P/OCF
P/E
All Countries
Close
Market Cap P/OCF P/E
IN
Tata Steel Ltd
SWB:HWHG
2.7T EUR 8.6 28.7
ZA
Kumba Iron Ore Ltd
JSE:KIO
98.1B ZAR 3.6 6.7
BR
Vale SA
BOVESPA:VALE3
339.1B BRL 7.1 25.2
US
Nucor Corp
NYSE:NUE
50.9B USD 16 29.8
AU
Fortescue Ltd
XMUN:FVJ
37.9B EUR 6 11.7
AU
Fortescue Metals Group Ltd
ASX:FMG
62.2B AUD 5.7 11
LU
ArcelorMittal SA
AEX:MT
37.3B EUR 9 13.7
IN
JSW Steel Ltd
NSE:JSWSTEEL
3.1T INR 10.9 41.2
US
Steel Dynamics Inc
NASDAQ:STLD
32.5B USD 22.9 24.2
KR
Posco Holdings Inc
KRX:005490
35.5T KRW 7.8 53.9
CN
Baoshan Iron & Steel Co Ltd
SSE:600019
141.1B CNY 3.3 15

Market Distribution

Lower than 100% of companies in India
Percentile
0th
Based on 2 204 companies
0th percentile
0.7
Low
0.5 — 14
Typical Range
14 — 39.7
High
39.7 —
Distribution Statistics
India
Min 0.5
30th Percentile 14
Median 23
70th Percentile 39.7
Max 28 676

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.

HWHG Intrinsic Value
21.89 EUR
Undervaluation 19%
Intrinsic Value
Price €17.8
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