SAL Steel Intrinsic Value

SALSTEEL • Metals & Mining
Current Stock Price
₹29.80
Primary Intrinsic Value
₹5.96
Market Cap
₹253.3 Cr
-12.9% Downside
Median Value
₹25.95
Value Range
₹6 - ₹47
Assessment
Trading Above Median Value
Safety Margin
-14.8%

SALSTEEL Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
Book Value Method asset ₹5.96 ₹5.36 - ₹6.56 -80.0% Book Value/Share: ₹4.59, P/B: 1.0x
Revenue Multiple Method revenue ₹47.44 ₹42.70 - ₹52.18 +59.2% Revenue/Share: ₹59.29, P/S: 0.8x
EBITDA Multiple Method earnings ₹11.92 ₹10.73 - ₹13.11 -60.0% EBITDA: ₹15.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹25.95 ₹20.76 - ₹31.14 -12.9% CF Growth: 2.7%, Discount: 15%
Method Types: Earnings Asset DCF Growth Dividend Conservative

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Valuation Comparison Chart

SALSTEEL Intrinsic Value Analysis

What is the intrinsic value of SALSTEEL?

Based on our comprehensive analysis using 4 different valuation methods, the estimated intrinsic value of SAL Steel (SALSTEEL) is ₹25.95 (median value). With the current market price of ₹29.80, this represents a -12.9% variance from our estimated fair value.

The valuation range spans from ₹5.96 to ₹47.44, indicating ₹5.96 - ₹47.44.

Is SALSTEEL undervalued or overvalued?

Based on our multi-method analysis, SAL Steel (SALSTEEL) appears to be trading above median value by approximately 12.9%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 1.28 Industry Standard: 2.0+ Below 1.5 Measures short-term liquidity capacity
Debt to Equity Ratio 8.67 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity -33.3% Industry Standard: 15%+ Below 10% Measures shareholder return efficiency
Operating Margin 5.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 1.49x Industry Standard: 1.0x+ Above 1.0x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹-21 Cr ₹-30 Cr Negative Cash Flow 3/10
March 2024 ₹26 Cr ₹19 Cr Positive Free Cash Flow 8/10
March 2023 ₹8 Cr ₹7 Cr Positive Free Cash Flow 8/10
March 2022 ₹22 Cr ₹22 Cr Positive Free Cash Flow 8/10
March 2021 ₹24 Cr ₹24 Cr Positive Free Cash Flow 8/10