Sarda Energy and Minerals Ltd.
NSE: SARDAENSarda Energy and Minerals Ltd.: A 30-second snapshot
Sarda Energy and Minerals (SARDAEN) is a Metals-sector company trading at ₹544.7, up 22% over the past year, with a PE of 18.15 and a profit margin of 18.54%. However, the balance sheet carries a debt-to-equity ratio of 37.71 with a rising debt trend, while both 5-year revenue (-3.3% CAGR) and earnings (-3.6% CAGR) have contracted. The stock sits below its 50-DMA (₹555.08) but above its 200-DMA (₹534.13), with RSI at 39.24 and a 14.86% drawdown from the 52-week high.
P/E
18.2
Forward P/E
—
ROE
—
Debt / Equity
37.71
Profit Margin
+18.5%
Div. Yield
+0.3%
5Y ROE > 15%
2/5
5Y FCF > 0
4/5
Quality
38/100
News
3 headlines · 1 positive · 0 negative
Sarda Energy & Minerals Board Meeting Scheduled on May 23, 2026 to Approve FY26 Audited Results and Dividend - scanx.trade
scanx.trade
ETFs Investing in Sarda Energy & Minerals Limited Stocks - TradingView
TradingView
Mukul Agrawal's top holdings: Nuvama, J&K Bank, Radico, Neuland & more — Should you buy? - Business Today
Business Today
Recent context
- ·The board has scheduled a meeting on May 23, 2026 to approve FY26 audited results and consider a dividend — the outcome will provide updated financials and clarify the dividend for the year (current trailing yield: 0.28%).
- ·News coverage is sparse at 3 articles with neutral overall sentiment; SARDAEN appeared in a roundup of top holdings attributed to investor Mukul Agrawal, adding some visibility in retail investor circles.
- ·The stock sits between key technical levels: support cluster at ₹477.8–₹453.1 (7.7%–16.8% below current price) and resistance cluster at ₹562.05–₹605.85 (3.2%–11.2% above current price).
Strengths
- +Profit margin of 18.54% is notable for a capital-intensive metals company, suggesting operational cost discipline relative to peers in the sector.
- +PE of 18.15 sits between the cheaper large-cap peers (JSW Steel at 14.0, Hindalco at 14.7) and the more expensive ones (Tata Steel at 29.5, Adani Enterprises at 36.9), placing SARDAEN in the mid-range of sector valuation.
- +Stock has returned +22% over 12 months, outperforming the 3-month trend (+8.38%), and remains above the 200-DMA — the longer-term price trend has been positive over the measurement period.
- +FCF was positive in 4 of the tracked years, indicating that the company has periodically generated cash beyond capital expenditure requirements.
Weaknesses
- −Debt-to-equity of 37.71 is exceptionally high for a non-financial metals company, and the debt trend is flagged as rising — this is the most prominent balance sheet risk in the dataset.
- −Quality score of 31 out of 100 ranks 4th of 6 identifiable sector peers; only 2 of tracked years cleared the 15% ROE threshold and ROE for the current year is unavailable, indicating limited evidence of sustained returns on equity.
- −Five-year revenue CAGR of -3.3% and earnings CAGR of -3.6% both negative; consistency score of 27 further reflects irregular financial performance over the medium term.
- −RSI at 39.24 and the stock trading below the 50-DMA (₹555.08), combined with a 14.86% drawdown from the 52-week high, indicate the stock has pulled back meaningfully from its recent peak.
Open questions
- ?Does the elevated D/E ratio of 37.71 reflect a structural feature of SARDAEN's business model (e.g., asset-heavy steel/energy integration), or has leverage increased beyond what the operating cash flows can comfortably service?
- ?How does the 18.54% profit margin compare to SARDAEN's own historical margins, and has it been expanding or compressing over the past five years as revenue declined?
- ?With FY26 results due May 23, what trajectory in revenue and earnings would be consistent with the current PE of 18.15, and how does that compare to the 5-year CAGR trend?
- ?Is the positive 12-month price return (+22%) driven by re-rating of the valuation multiple, improvement in underlying fundamentals, or broader sector tailwinds — and which of those factors is likely to persist?
Peer comparison: Metals
Ranks 4 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| SARDAEN | Sarda Energy and Minerals Ltd.You're viewing | 18.2 | — | 31 |
| Industry avg | across 5 peers | 23.8 | +17.4% | 37 |
| JSWSTEEL | JSW Steel Ltd. | 14.0 | +27.3% | 45 |
| TATASTEEL | Tata Steel Ltd. | 29.5 | +11.2% | 42 |
| HINDALCO | Hindalco Industries Ltd. | 14.7 | — | 38 |
| ADANIENT | Adani Enterprises Ltd. | 36.9 | +13.7% | 22 |
| DUMMYVEDL1 | Dummy Vedanta Ltd. 1 | — | — | — |
Technical state
Current price
₹544.70
SMA 50
₹555.08
SMA 200
₹534.13
RSI (14)
39.2 (neutral)
From 52w high
-14.9%
1Y return
+22.0%
3M return
+8.4%
50-DMA
Below
200-DMA
Above
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- highDebt-to-equity of 37.71 is exceptionally elevated for a non-financial metals company; the debt trend is flagged as rising, and both 5-year revenue growth (-3.3% CAGR) and 5-year earnings growth (-3.6% CAGR) are negative, raising questions about debt serviceability relative to earnings trajectory.
- highQuality score of 31 out of 100 ranks 4th of 6 peers in the Metals sector; ROE data is unavailable, and only 2 of tracked years cleared the 15% ROE threshold, pointing to structurally weak returns on equity over the medium term.
- mediumFive-year revenue CAGR of -3.3% and earnings CAGR of -3.6% indicate shrinking top-line and bottom-line over the medium term; consistency score of 27 is low, and FCF-positive years total 4 out of the available period.
- lowOnly 3 news articles were captured for this stock (sparse coverage); the board meeting scheduled May 23, 2026 to approve FY26 audited results and dividend is the primary near-term catalyst visible in the data.
Cross-section contradictions
- Stock is up 22% over 1 year and trades above the 200-DMA (SMA200 534.13 vs current 544.7), yet 5-year earnings and revenue growth are both negative and the quality score ranks near the bottom of the peer group — price appreciation is diverging from the underlying fundamental trajectory.
- Profit margin of 18.54% is relatively healthy for a metals company, yet this coexists with a debt-to-equity of 37.71 and a rising debt trend, suggesting margins have not translated into balance sheet strength or capital-efficient returns.
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.
Fundamentals & technicals: refreshed 25 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 17 May 2026 · rotates through NIFTY 500 every ~5 days