Having said that, expectations from Q4 are brighter, aided by improved steel prices and the quarter being seasonally the strongest one. Steel companies’ stocks are up in the range of 13-30% over the past year, getting a fillip from the interim safeguard duty. While JSW Steel looks fully priced at an enterprise value of 10 times FY27 estimated Ebitda, Tata Steel, Steel Authority of India Ltd and JSL are trading at 7-8 times their Ebitda, as per Bloomberg. Despite the robust demand outlook, balanced market supply dynamics, and, in turn, the steel price trend would determine the stocks’ trajectory ahead.
