JSW Steel (JSWSTEEL.NS)
Materials · NSE · India
Fundamentals
Valuation and ratings
JSW Steel trades at ₹1,221.00, which is 124% below the ₹2,739.88 our discounted cash flow model puts on the business. On that measure alone it screens as undervalued, though a DCF is an argument rather than a measurement, and the market is frequently right about why something is cheap.
Our moat model scores it 74 out of 100, which is a wide moat. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 13.6 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About JSW Steel
JSW Steel Limited manufactures and sells iron and steel products in India and internationally. The company offers hot and cold rolled steel products, colour coated sheets, galvanized and galvalume steel, electrical steel, steel doors, zinc-magnesium-aluminium products, aluminium-zinc roofing products, tin plate, TMT bars, wire rods, special alloy steel, grinding media, prepainted colour coated steel, low-carbon steel, hot-rolled sheets, structural steel, and low relaxation pre-stressed concrete steel strands under the JSW Neosteel, JSW Neostrands, JSW Neosteel Fastbuild, JSW Trusteel, JSW Colouron+, JSW Everglow, JSW Vishwas, JSW Platina, JSW Magsure, JSW Galveco, JSW Silveron+, JSW Pragati+, JSW Vishwas+, JSW Galvos, JSW Avante, JSW ColourFrame, JSW Endura+, JSW Radiance brands. It also engages in acquisition and investment in steel related and allied businesses, and trading in steel products; real estate; production and distribution of special long steel products; management of logistic infrastructure of Piombino's port area; produces forged steel balls; manufactures plates, pipes and double jointing, slabs, and hot rolled coils; produces gaseous and liquid form of oxygen, nitrogen, argon, and other products recoverable from separation of air; mining; and construction and development of residential township. In addition, the company trades in iron ore, steel, and allied activities; and provides steel plant, coke oven and pellet plant, power plant, and scrap shredding facilities. Its products are used in automotive, general engineering, machinery, and infrastructure and construction sectors. The company was formerly known as Jindal Vijayanagar Steel Limited and changed its name to JSW Steel Limited in June 2005. JSW Steel Limited was founded in 1982 and is based in Mumbai, India.
JSWSTEEL.NS passes 6 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is JSW Steel (JSWSTEEL.NS) undervalued?
Against our discounted cash flow estimate of ₹2,739.88, JSWSTEEL.NS at ₹1,221.00 is 124% below fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is JSWSTEEL.NS's P/E ratio?
JSWSTEEL.NS trades at 13.6 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
The full research page for JSWSTEEL.NS, with financial statements, ownership detail, peer comparison and alerts, is free inside the app.
Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.