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| 29 November, 2020, 03:48 PM IST | E-Paper
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Tata Steel Ltd.

  • 577.358.95 (1.57%)
  • Volume: 4,62,91,248
  • Closed
  • Last Updated On: 27 Nov, 2020, 03:59 PM IST
  • Overview
  • News
  • Financials
  • Technicals
  • Peers
  • Shareholdings
  • MF
  • F&O
  • Corporate Actions
  • About

Insights

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  • Due to rise in domestic steel price, India unit of the company saw an improvement in EBITDA margins. For European operations EBITDA loss per ton narrowed.

  • While India operations would be restructured in a time bound manner. Restructuring of loss making operations in Europe requires hiving off and strategic sale in different countries. So challenges still remain in place. Once European assets are dealt with, over all debt will come down, cash burn will stop and the stock might see a re-rating.

  • The performance was expected to be better given the price increase which steel industry was able to manage during after lockdown opened. But will this sustain as global trade re-starts? There’s a question mark on that.

  • Having its captive mines for the key raw-material, iron ore is the biggest advantage and helps the company manage through difficult times.

InsightsTata Steel Ltd.

  • Second quarter- improved EBITDA margins

    Due to rise in domestic steel price, India unit of the company saw an improvement in EBITDA margins. For European operations EBITDA loss per ton narrowed.

  • Restructuring - opportunity and challenges

    While India operations would be restructured in a time bound manner. Restructuring of loss making operations in Europe requires hiving off and strategic sale in different countries. So challenges still remain in place. Once European assets are dealt with, over all debt will come down, cash burn will stop and the stock might see a re-rating.

  • Price rise - being sustainable is the key

    The performance was expected to be better given the price increase which steel industry was able to manage during after lockdown opened. But will this sustain as global trade re-starts? There’s a question mark on that.

  • Advantage backward integration

    Having its captive mines for the key raw-material, iron ore is the biggest advantage and helps the company manage through difficult times.

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Key Metrics

  • PE Ratio

    PE Ratio

    This is a ratio arrived at by dividing the current market price of a stock by its latest (annual or annualized) earnings per share. Here we have taken the TTM (trailing twelve months) adjusted earnings per share.

    (x)
    -12.83
  • EPS - TTM

    EPS - TTM

    Earnings per share (TTM) tells the profit after tax earned on a per share basis by a stock over the last twelve months or four quarters.

    (₹)
    -44.99
  • MCap

    MCap

    MCap or Market capitalization of a stock is calculated by multiplying the total number of shares outstanding of that particular stock with its current market price.

    (₹ Cr.)
    69,761.10
  • Sectoral MCap Rank

    Sectoral MCap Rank

    This is the ranking of a company within its sector based on MCap or Market capitalization. Higher the market capitalization of a company, higher the rank it is assigned.

    2
  • PB Ratio

    PB Ratio

    Price to Book represents the ratio of current market price of a stock to its book value per share. The book value itself is arrived at by dividing the net worth of a company by the total number of shares outstanding of the company at that time.

    (x)
    0.87
  • Div Yield

    Dividend Yield

    Dividend Yield calculates the amount of full year dividend declared by a company as a percentage of the current market price of a stock. All other things being equal, higher the dividend yield of the stock, the better it is for investors.

    (%)
    1.73
  • Face Value

    Face Value

    Face value of a stock is the value ascribed to the stock as per the balance sheet of the company. The dividend declared by a company is usually declared as a percentage of face value.

    (₹)
    10.00
  • Beta

    Beta

    1 Month1.55
    3 Months1.81
    6 Months1.56
    1 Year1.30
    3 Years1.57

    1.55
  • VWAP

    VWAP

    Volume Weighted Average Price represents the average price of a security over a particular time period (example one trading day) weighted by the volume traded at each price point.

    (₹)
    575.57
  • 52W H/L

    52W H/L

    This represents the 52 week high and low price of the security. It is also the 1 year high and low of the security. This represents the highest and lowest price touched by the security during the past 52 weeks or 1 year including today.

    (₹)
    582.35 / 250.85

Returns

  • 1 Day1.57%
  • 1 Week8.34%
  • 1 Month40.47%
  • 3 Months35.26%
  • 1 Year37.02%
  • 3 Years-17.82%
  • 5 Years149.66%

Financials

  • Income (P&L)
  • Balance Sheet
  • Cash Flow
  • Ratios
  • MD&A
  • Insights

    • PAT: Entering the Green

      Company has posted a profit of Rs 1565.41 cr in Sep 30, 2020 quarter after 3 consecutive quarter of losses. (Source: Consolidated Financials)
    • Quarterly Topline Performance

      Company witnessed QoQ revenue growth of 52.67%, which is highest in the last 3 years. (Source: Consolidated Financials)
    Quarterly | AnnualSep 2020Jun 2020Mar 2020Dec 2019Sep 2019
    Total Income37,376.1324,481.0935,085.8635,613.3434,762.73
    Total Income Growth (%)52.67-30.23-1.482.45-3.97
    Total Expenses33,261.1825,835.4634,753.0634,247.9832,920.34
    Total Expenses Growth (%)28.74-25.661.474.030.87
    EBIT4,114.95-1,354.37332.801,365.361,842.39
    EBIT Growth (%)--506.96-75.63-25.89-48.26
    PAT1,565.41-4,416.56-1,481.34-1,084.623,405.43
    PAT Growth (%)----131.85379.30
    EBIT Margin (%)11.01-5.530.953.835.30
    Net Profit Margin (%)4.19-18.04-4.22-3.059.80
    Basic EPS (₹)13.23-39.01-13.37-9.4329.25
    Quarterly | AnnualSep 2020Jun 2020Mar 2020Dec 2019Sep 2019
    Total Income16,548.229,459.9314,282.7915,313.4914,974.65
    Total Income Growth (%)74.93-33.77-6.732.26-7.96
    Total Expenses12,752.486,998.1313,574.4912,114.8812,365.86
    Total Expenses Growth (%)82.23-48.4512.05-2.03-5.91
    EBIT3,795.742,461.80708.303,198.612,608.79
    EBIT Growth (%)54.19247.56-77.8622.61-16.55
    PAT2,204.871,193.27-436.831,803.833,837.81
    PAT Growth (%)84.78--124.22-53.00149.37
    EBIT Margin (%)22.9426.024.9620.8917.42
    Net Profit Margin (%)13.3212.61-3.0611.7825.63
    Basic EPS (₹)18.809.98-4.2415.3033.00
    Quarterly | Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Total Revenue1,41,660.141,59,089.361,33,065.201,12,826.891,06,752.14
    Total Revenue Growth (%)-10.9619.5617.945.69-23.91
    Total Expenses1,38,327.781,43,287.371,21,728.671,06,036.681,07,899.35
    Total Expenses Growth (%)-3.4617.7114.80-1.73-21.68
    Profit after Tax (PAT)1,556.5410,218.3313,434.33-4,240.80-382.78
    PAT Growth (%)-84.77-23.94---
    Operating Profit Margin (%)7.7714.8812.7410.562.89
    Net Profit Margin (%)1.116.4810.16-3.77-0.35
    Basic EPS (₹)11.8687.75128.12-42.89-6.92
    Quarterly | Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Total Revenue60,840.0973,015.7960,380.4848,407.4842,101.04
    Total Revenue Growth (%)-16.6820.9324.7314.98-0.63
    Total Expenses52,525.5356,674.3150,375.9442,347.1734,391.97
    Total Expenses Growth (%)-7.3212.5018.9623.13-3.80
    Profit after Tax (PAT)6,743.8010,533.194,169.553,444.554,900.95
    PAT Growth (%)-35.98152.6221.05-29.72-23.89
    Operating Profit Margin (%)18.7727.1421.4918.2223.99
    Net Profit Margin (%)11.1514.916.997.1712.82
    Basic EPS (₹)57.1190.4138.5731.7448.67

    All figures in Rs Cr, unless mentioned otherwise

  • Insights

    • Trailing Behind 4-year Average ROA

      Company witnessed ROA of 0.62% in last FY which is lower than its 4-year average ROA of 2.42% along with asset turnover ratio of 55.83. (Source: Consolidated Financials)
    Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Total Assets2,50,419.452,33,582.392,09,757.941,73,333.241,77,511.44
    Total Assets Growth (%)7.2111.3621.01-2.3511.68
    Total Liabilities1,74,256.551,62,292.851,47,950.801,33,912.221,32,997.95
    Total Liabilities Growth (%)7.379.6910.480.697.61
    Total Equity73,887.9069,014.5459,532.1437,146.0242,238.49
    Total Equity Growth (%)7.0615.9360.27-12.0627.79
    Current Ratio (x)0.950.971.221.010.95
    Total Debt to Equity (x)1.591.371.512.321.94
    Contingent Liabilities26,907.8826,941.2622,182.6819,082.0817,730.24
    Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Total Assets1,50,392.561,37,498.361,25,114.341,11,465.411,23,208.15
    Total Assets Growth (%)9.389.9012.24-9.536.51
    Total Liabilities73,554.4464,768.6561,324.5059,531.4050,456.43
    Total Liabilities Growth (%)13.565.623.0117.997.96
    Total Equity74,563.1270,454.7161,514.8449,659.0170,476.72
    Total Equity Growth (%)5.8314.5323.87-29.545.72
    Current Ratio (x)0.650.671.350.870.68
    Total Debt to Equity (x)0.530.380.410.560.41
    Contingent Liabilities32,650.3234,622.4328,359.6125,991.1638,595.95

    All figures in Rs Cr, unless mentioned otherwise

  • Insights

    • Debt Coverage Capability

      Company will take 5.62 years to pay off its debt obligations with latest operating cash flow of Rs 20168.72 cr. (Source: Consolidated Financials)
    • Decrease in Cash from Investing

      Company has used Rs 14530.35 cr for investing activities which is an YoY decrease of 51.41%. (Source: Consolidated Financials)
    Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Net Cash flow from Operating Activities20,168.7225,335.958,023.3910,824.3611,455.35
    Net Cash used in Investing Activities-14,530.35-29,901.82-12,025.63-9,075.59-9,253.82
    Net Cash flow from Financing Activities-1,694.62-672.706,639.94-2,579.36-4,729.12
    Net Cash Flow4,462.04-5,204.092,933.02-1,244.65-2,068.08
    Closing Cash & Cash Equivalent7,732.342,975.537,783.504,832.296,109.05
    Closing Cash & Cash Equivalent Growth (%)159.86-61.7761.07-20.90-29.36
    Total Debt/ CFO (x)5.623.6011.057.617.04
    Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Net Cash flow from Operating Activities13,453.6615,193.1111,791.4511,166.647,567.68
    Net Cash used in Investing Activities-17,634.66-16,349.98-12,273.35-3,956.40-5,405.22
    Net Cash flow from Financing Activities4,629.79-2,887.174,165.58-7,279.71-1,631.04
    Net Cash Flow448.79-4,044.043,683.68-69.47531.30
    Closing Cash & Cash Equivalent993.64544.854,588.89905.21953.23
    Closing Cash & Cash Equivalent Growth (%)82.37-88.13406.94-5.04125.92
    Total Debt/ CFO (x)2.921.752.142.503.79

    All figures in Rs Cr, unless mentioned otherwise

  • Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Return on Equity (%)2.1815.3322.92-11.93-0.92
    Return on Capital Employed (%)5.7513.5910.929.642.37
    Return on Assets (%)0.624.376.40-2.44-0.21
    Interest Coverage Ratio (x)1.443.063.062.340.73
    Asset Turnover Ratio (x)55.8367.5063.0064.7859.90
    Price to Earnings (x)19.885.844.87-11.05-81.30
    Price to Book (x)0.430.891.121.320.75
    EV/EBITDA (x)7.184.866.457.1812.67
    EBITDA Margin (%)13.8019.5317.2515.617.88
    Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Return on Equity (%)9.0414.956.776.936.95
    Return on Capital Employed (%)9.4917.1212.879.898.97
    Return on Assets (%)4.487.663.333.093.97
    Interest Coverage Ratio (x)3.746.794.563.256.28
    Asset Turnover Ratio (x)40.1851.3547.6443.0531.01
    Price to Earnings (x)4.595.6715.7013.626.33
    Price to Book (x)0.410.851.060.940.44
    EV/EBITDA (x)4.523.735.206.015.29
    EBITDA Margin (%)25.2532.5227.7425.6029.05
  • MANAGEMENT DISCUSSION AND ANALYSIS (FY 2019-20)

    • Covid Impact on broader demand matrix

      In Europe, we maintained production levels in FY 2019-20 in line with FY 2018-19. After slower than expected growth in 2019, steel demand is estimated to contract significantly in the Financial Year 2020-21. According to the World Steel Association (‘WSA’), it is possible that the impact on steel demand in relation to the expected contraction in GDP may turn out to be less severe than that seen during the erstwhile global financial crisis.

    • Reorganizing Indian subsidiaries

      We are well on course of reorganising India subsidiaries into four segments: Mining, Long Products, Downstream and Infrastructure & Utilities. We made progress on the Tata Steel Kalinganagar phase two expansion, with a focus on the pellet plant and cold rolling mill. We, through our subsidiary company, acquired the steel business of Usha Martin Limited. The integration of Tata Steel BSL Limited is progressing well.

    • Insulating revenues from steel cyclicality

      Steel industry is cyclical in nature. In order to insulate revenues from steel cyclicality, the company is focusing on the branded retail business and downstream product portfolio. The Company has embarked on building a Services & Solutions (‘S&S’) business which offers steel-based solutions for end user needs and which are seeing significant growth

Financial InsightsTata Steel Ltd.

  • Income (P&L)
  • Balance Sheet
  • Cash Flow
    • PAT: Entering the Green

      Company has posted a profit of Rs 1565.41 cr in Sep 30, 2020 quarter after 3 consecutive quarter of losses. (Source: Consolidated Financials)

    • Quarterly Topline Performance

      Company witnessed QoQ revenue growth of 52.67%, which is highest in the last 3 years. (Source: Consolidated Financials)

    • Trailing Behind 4-year Average ROA

      Company witnessed ROA of 0.62% in last FY which is lower than its 4-year average ROA of 2.42% along with asset turnover ratio of 55.83. (Source: Consolidated Financials)

    • Debt Coverage Capability

      Company will take 5.62 years to pay off its debt obligations with latest operating cash flow of Rs 20168.72 cr. (Source: Consolidated Financials)

    • Decrease in Cash from Investing

      Company has used Rs 14530.35 cr for investing activities which is an YoY decrease of 51.41%. (Source: Consolidated Financials)

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Technicals

  • Buy / Sell Signals
  • Price Analysis
  • Pivot Levels & ATR
  • Chart
  • Stock doesn't have any Buy/Sell Signals.

  • 46%
    Positive Movement since
    1st Jan 2005 on basis
    53%
    Negative Movement since
    1st Jan 2005 on basis
    Exclude
  • Pivot Levels

    R1R2R3PIVOTS1S2S3
    Classic585.45593.55612.85574.25566.15554.95535.65

    Average True Range

    5 DAYS14 DAYS28 DAYS
    ATR20.0718.4516.98

Peer Comparison

  • Stock Performance
  • Ratio Performance
  • Insights

    • Stock Returns vs Nifty 100

      Stock gave a 3 year return of -18.6% as compared to Nifty 100 which gave a return of 21.2%. (as of last trading session)
    • Stock Returns vs Nifty Metal

      Stock generated -18.6% return as compared to Nifty Metal which gave investors -21.68% return over 3 year time period. (as of last trading session)
    • 1D
    • 1W
    • 1M
    • 3M
    • 6M
    • 1Y
    • 5Y
  • Insights

    • Stock Returns vs Nifty 100

      Stock gave a 3 year return of -18.6% as compared to Nifty 100 which gave a return of 21.2%. (as of last trading session)
    • Stock Returns vs Nifty Metal

      Stock generated -18.6% return as compared to Nifty Metal which gave investors -21.68% return over 3 year time period. (as of last trading session)

    Ratio Performance

    NAMEP/E (x)P/B (x)ROE %ROCE %ROA %Rev CAGR [3Yr]OPMNPMBasic EPSCurrent RatioTotal Debt/ Equity (x)Total Debt/ CFO (x)
    Tata Steel-12.830.432.185.750.627.807.770.7011.860.951.595.62
    JSW Steel57.431.2011.019.273.059.7311.145.4616.780.841.454.15
    JSPL-61.090.26-0.336.03-0.1220.3810.86-1.08-1.080.690.953.22
    SAIL13.220.235.108.981.6711.5311.943.125.130.911.23-82.89
    Gallantt Ispat13.550.515.966.704.6135.027.505.692.142.680.231.69
    Add More
    Annual Ratios (%)

    Choose from Peers

    • Prakash Inds.
    • Technocraft Ind
    • Steel Exchange
    • Manaksia Steels
    • Adhunik Industries

    Choose from Stocks

    Peers InsightsTata Steel Ltd.

    • Stock Returns vs Nifty 100

      Stock gave a 3 year return of -18.6% as compared to Nifty 100 which gave a return of 21.2%. (as of last trading session)

    • Stock Returns vs Nifty Metal

      Stock generated -18.6% return as compared to Nifty Metal which gave investors -21.68% return over 3 year time period. (as of last trading session)

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    Shareholding Pattern

    • QOQ Change
    • Total Shareholdings
    • Showing Shareholding as on 30 Sep 2020
      Category31 Dec 201931 Mar 202030 Jun 202030 Sep 2020
      Promoters33.1234.4134.4134.41
      Pledge3.513.373.373.37
      FII15.3412.3911.8411.45
      DII29.2629.6629.7929.87
      Mutual Funds14.1214.3113.5613.06
      Others22.2823.5423.9624.27
    • Showing Shareholding as on 30 Sep 2020
      CategoryNo. of SharesPercentage% Change QoQ
      Promoters41,43,58,65734.41 %0.00
      Pledge1,39,80,0003.37 %0.00
      FII13,78,66,98911.45 %-0.39
      DII35,96,36,67629.87 %0.08
      MF15,72,60,43413.06 %-0.50
      Others29,22,64,67724.27 %0.31

    MF Ownership

    MF Ownership as on 31 October 2020

    F&O Quote

    • Futures
    • Options
      • Expiry

      Price

      578.807.15 (1.25%)

      OpenHighLowPrev CloseContracts TradedTurnover (₹ Lakhs)
      571.95583.90565.10571.6523,5522,30,786.38

    Corporate Actions

    • Board Meeting/AGM
    • Dividends
    • Others
    • Meeting DateAnnounced onPurposeDetails
      Nov 13, 2020Nov 06, 2020Board MeetingQuarterly Results
      Aug 20, 2020Jul 07, 2020AGMBook closure from Aug 8, 2020 to Aug 20, 2020
      Aug 13, 2020Aug 10, 2020Board MeetingQuarterly Results
      Jun 29, 2020Jun 26, 2020Board MeetingAudited Results & Dividend
      Apr 24, 2020Apr 22, 2020Board MeetingOthers
    • TypeDividendDividend per ShareEx-Dividend DateAnnounced on
      Final100%10.0Aug 06, 2020Jun 29, 2020
      Final100%2.5Aug 06, 2020Jul 07, 2020
      Final130%3.25Jul 04, 2019Apr 25, 2019
      Final100%2.504Jul 05, 2018May 16, 2018
      Final100%10.0Jul 05, 2018Apr 16, 2018
    • All TypesEx-DateRecord DateAnnounced onDetails
      RightsJan 31, 2018Feb 01, 2018Dec 19, 2017Rights ratio: 4 share for every 25 held at a price of Rs 510.0
      RightsJan 31, 2018Feb 01, 2018Dec 20, 2017Rights ratio: 2 share for every 25 held at a price of Rs 615.0
      RightsOct 29, 2007Nov 05, 2007Apr 17, 2007Rights ratio: 1 share for every 5 held at a price of Rs 300.0
      RightsApr 20, 1992May 20, 1992Mar 30, 1992Rights ratio: 2 share for every 5 held at a price of Rs 80.0
      SplitsOct 23, 1989-Jan 03, 1996Split: Old FV100.0| New FV:10.0

    About Tata Steel Ltd.

    Tata Steel Ltd., incorporated in the year 1907, is a Large Cap company (having a market cap of Rs 69520.27 Crore) operating in Metals - Ferrous sector. Tata Steel Ltd. key Products/Revenue Segments include Steel & Steel Products which contributed Rs 57167.71 Crore to Sales Value (94.59 % of Total Sales), Power which contributed Rs 1647.86 Crore to Sales Value (2.72 % of Total Sales) and Other Operating Revenue which contributed Rs 1620.40 Crore to Sales Value (2.68 % of Total Sales)for the year ending 31-Mar-2020. Show More

    • Executives
    • Auditors
    • AM

      Aman Mehta

      Independent Director
      AS

      Anand Sen

      President
      CC

      Chanakya Chaudhary

      Vice President
      DK

      Deepak Kapoor

      Independent Director
      Show More
    • Price Waterhouse & Co Chartered Accountants LLP

    Key Indices Listed on

    Nifty 50, S&P BSE Sensex, Nifty 100, + 33 more

    Address

    Bombay House,24, Homi Mody Street,Fort,Mumbai, Maharashtra - 400001

    Tata Steel Share Price Update

    Tata Steel Ltd. share price moved up by 1.57% from its previous close of Rs 568.40. Tata Steel Ltd. stock last traded price is 577.35

    Share PriceValue
    Today/Current/Last577.35
    Previous Day568.40

    Trending in Markets

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