JSWSTEEL vs SAIL
Side-by-side comparison of JSW Steel Ltd. and Steel Authority of India Ltd.. Descriptive only — not investment advice.
JSW Steel Ltd.
Metals
Quality Score: 50/100
Steel Authority of India Ltd.
Metals
Quality Score: 41/100
At a glance
| Metric | JSWSTEEL | SAIL |
|---|---|---|
| Quality Score | 50/100 | 41/100 |
| P/E (trailing) | 14.1 | 28.5 |
| Forward P/E | 17.6 | 14.6 |
| ROE | +27.3% | — |
| Profit margin | +12.0% | +2.5% |
| Debt-to-equity | 94.16 | 57.76 |
| Dividend yield | +0.55% | +0.80% |
| 1Y price return | +32.2% | +70.5% |
| From 52w high | -3.3% | -5.1% |
| Analyst rating1 = Strong Buy, 5 = Strong Sell | 2.30 | 3.35 |
Highlighted value = better on the metric (lower for P/E, D/E, drawdown, analyst rating; higher elsewhere). Descriptive only.
Snapshots
JSW Steel trades at ₹1,284, up 32.21% over 12 months and within 3.31% of its 52-week high, with RSI at 50.72 (neutral) and price above both the 50-DMA (₹1,249) and 200-DMA (₹1,180). Trailing PE of 14.08 is the lowest among tracked sector peers, while ROE of 27.26% and profit margin of 12.03% lead the group. A debt-to-equity of 94.16 and a one-time earnings distortion from a BPSL JV gain are the dominant fundamental caveats.
Steel Authority of India (SAIL) trades at ₹199.08, up 70.48% over the past year and within 5.06% of its 52-week high, with the stock above both its 50-DMA (₹167.04) and 200-DMA (₹144.60). The company carries a debt-to-equity ratio of 57.76 with a rising debt trend, a 2.55% net profit margin, and a fundamental consistency score of 0. Forward PE compresses to 14.56 from a trailing 28.50, reflecting consensus expectations of a significant earnings step-up.
Pros
- ✓Trailing PE of 14.08 ranks 1st (lowest) of 6 tracked sector peers, placing JSW Steel at the cheapest valuation in the group on this metric.
- ✓ROE of 27.26% and profit margin of 12.03% are the highest readable figures among the 6 sector peers (next-best ROE is Hindustan Zinc at 76.94%, though that peer carries a quality score of 72 vs JSWSTEEL 45).
- ✓Price is above both the 50-DMA (₹1,249) and 200-DMA (₹1,180), with a 52-week drawdown of only 3.31%, reflecting sustained price strength over the past year.
- ✓Revenue has grown at a 5-year CAGR of 14.2%, demonstrating consistent top-line expansion even across varied steel-cycle conditions.
- ✓Revenue has grown at 11.8% CAGR over 5 years and earnings at 167.6% CAGR over 5 years, indicating cyclical operating leverage when steel demand conditions are favourable.
- ✓Price is above both the 50-DMA (₹167.04) and 200-DMA (₹144.60), with a 52-week drawdown of only 5.06%, reflecting sustained momentum over a multi-month period.
- ✓SAIL quality score of 50 ranks 1st within its 5-peer comparable group (peer range: 22–48), suggesting relative operational standing within this sector cohort.
- ✓The company obtained a court-ordered stay on the active steel antitrust investigation, temporarily limiting near-term legal disruption to operations.
Cons
- ✗Debt-to-equity of 94.16 is extremely elevated for a cyclical metals business; FCF was positive in only 3 of tracked years and the consistency score of 47/100 indicates limited balance-sheet buffer against a commodity downturn.
- ✗The 991.8% five-year earnings growth figure is distorted by a one-time BPSL JV gain in Q4 FY26; forward PE of 17.64 exceeds trailing PE of 14.08, with the market pricing in an earnings step-down from the current elevated year.
- ✗ROE exceeded 15% in only 1 of the tracked years despite the current headline of 27.26%, suggesting the return profile is not structurally persistent across the business cycle.
- ✗News flow is skewed negative (3 negative, 3 neutral, 0 positive from 6 recent items), with a broker downgrade citing a valuation premium and a third-party analysis questioning the quality of reported earnings.
- ✗Debt-to-equity ratio of 57.76 is extremely elevated for a non-financial company, with a rising debt trend, FCF positive in only 2 of tracked years, and a fundamental consistency score of 0 — structural balance sheet fragility is a defining characteristic.
- ✗Net profit margin of 2.55% leaves minimal buffer for input cost increases, volume shortfalls, or interest expense growth given the high leverage position.
- ✗ROE data is unavailable and roeYearsAbove15 stands at 1 — sustained high-return capital cycles have not been demonstrated across the earnings history captured in available data.
- ✗Trailing PE of 28.50 is above peers HINDALCO (14.77) and JSWSTEEL (14.01); SAIL commands a premium multiple despite weaker profitability metrics relative to these competitors.
Want the full analysis for either stock?
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Comparison reflects current public data; consult a registered adviser before any investment decision.