Case study

TATASTEEL

TATA STEEL LIMITED

Mixed signals1y model +7.2%

Each stock's 10,000-path forecast, rendered as light.

53Score

TATA STEEL LIMITED (TATASTEEL) Stock Analysis & Case Study

Is TATASTEEL a good buy? The data-driven verdict.

TATA STEEL LIMITED (TATASTEEL) trades at ₹188,on the numbers it mixed signals, a Downstox Snapshot Score of 53/100.

On the numbers, TATA STEEL LIMITED (TATASTEEL) mixed signals, a Downstox Snapshot Score of 53/100, weighing fairly valued at 19.8× earnings, ROE of 11.7%, a 60% model probability of trading higher in a year. Below: the full bull case, bear case, sector-relative valuation, and a probability-weighted price target for 2027-2031.

Last updated . Data snapshot for research, not investment advice.

The Downstox take on TATASTEEL

Here sits the classic steel puzzle: a P/E of 22 looks like growth pricing, but ROE of 11.7% and ROCE of 12.5% are mid-cycle returns, not compounder-grade ones. The market may be paying ahead for a cyclical upturn that has not yet shown in the earnings. The 2.01% yield offers some patience, but a Piotroski score of 4 out of 8 hints at soft operating momentum right now. Watch whether margins and free cash flow start validating that multiple, or whether it stays a hope trade on the cycle.

Downstox editorial view, written by our own analysts on 23 Jun 2026. The figures quoted were accurate then; see the live ratios above for today's numbers. Information, not investment advice.

TATASTEEL fundamentals at a glance, PE, PB, ROE, ROCE, market cap, dividend yield

Market cap
₹2.34L Cr
Current price
₹188
P/E ratio
19.8×
P/B ratio
2.30×
Book value
₹82
Dividend yield
2.13%
ROCE
12.5%
ROE
11.7%
Piotroski F-Score
5/8

How TATASTEEL ranks against the 2,373 companies in our screener

Is TATASTEEL overvalued? TATASTEEL P/E vs its Metals

TATASTEEL's P/E of 19.8× sits above the Metals peer median of 15.1×, so on earnings it screens richer than peers, while its 2.13% dividend yield is above the peer median of 0.91%.

TATASTEEL P/E
19.8×
Peer median P/E
15.1×
TATASTEEL div yield
2.13%
Peer median yield
0.91%

TATASTEEL share price target 2027, 2028, 2029, 2030, 2031, a probability view

Unlike a single guessed number, this is a probability-weighted range from a 10,000-path Monte-Carlo simulation on 9.8y of TATASTEEL history (17%/yr drift, 27%/yr volatility).

YearLow (P10)Median target (P50)High (P90)Upside vs today
TATASTEEL 2027₹142₹201₹285+7%
TATASTEEL 2028₹131₹215₹354+15%
TATASTEEL 2029₹126₹231₹422+23%
TATASTEEL 2030₹123₹247₹495+32%
TATASTEEL 2031₹123₹265₹571+41%

Median (P50) is the central estimate; the P10-P90 band is the 80% confidence range. Probabilities, not promises.

What is the probability TATASTEEL goes up, or doubles?

60%
Higher in 1 year
Modelled chance the price is above today in 12 months
71%
Higher in 5 years
Modelled chance the price is above today in 5 years
29%
Doubles in 5 years
Modelled chance of reaching ₹375 within 5 years

The bull case for TATASTEEL

  • TATASTEEL's P/E of 19.8x is lower than 63% of the 2,373 NSE companies in our screener, as of 9 Aug 2026.
  • TATASTEEL's dividend yield of 2.1% ranks in the 88th percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026.
  • Upside scenario: the model's optimistic (P90) 3-year path reaches ₹422.

The bear case & risks

  • TATASTEEL's return on equity of 11.7% ranks in the 58th percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026.
  • Downside scenario: the model's pessimistic (P10) 3-year path falls to ₹126.

TATASTEEL volatility & expected range, how bumpy is the ride?

Over the last 9.8 years TATASTEEL compounded at 17%/year with annualized volatility of 27%. That volatility implies a 1-year 80% range of ₹142-₹285, the honest backbone behind any single price target.

TATASTEEL price forecast, the full 60-month probability fan

Spot Price · Today
₹0
Based on 9.8 years of daily NSE data ·0.0% annualised volatility
5-yr median forecast
₹0
P(price ↑ in 5y)
0%
1-Year Forecast
2027
₹0
Median (P50)
7.2%
80% range₹142-₹285
P(price ↑)60%
P(price 2×)1%
3-Year Forecast
2029
₹0
Median (P50)
23.0%
80% range₹126-₹422
P(price ↑)67%
P(price 2×)15%
5-Year Forecast
2031
₹0
Median (P50)
41.3%
80% range₹123-₹571
P(price ↑)71%
P(price 2×)29%

TATASTEEL price probability fan

Each band shows where 10,000 simulated paths land. The wider the fan, the more uncertainty.

Probability Fan
TATASTEEL simulated paths · 60 months · 10,000 trials
P10-P90 (80%)P25-P75 (50%)Median (P50)

Probability of key outcomes

What are the odds TATASTEEL hits common targets within the simulated horizon?

0%
P(↑ 1Y)
Above today's price in 1 year
0%
P(↑ 5Y)
Above today's price in 5 years
0%
P(2×)
Doubles within 5 years
0%
P(↓)
Falls below today in 5 years

Full multi-horizon detail on the TATASTEEL price target & forecast page.

TATASTEEL Piotroski F-Score: 5/8, how financially strong is it?

5/8

The Piotroski F-Score grades financial strength on profitability, leverage and efficiency checks. Downstox scores the eight checks it can verify from published filings, so 8 is full marks. TATASTEEL scores 5/8, mixed financial health.

TATASTEEL MTF margin & leverage across 10 brokers

Margin Trading Facility lets you buy TATASTEEL with part of the capital. Lower margin % = higher leverage. Rates compared across 10 brokers (no competitor publishes this):

BrokerMargin requiredApprox. leverage
Upstox24.87%4.0×
Zerodha24.20%4.1×
Groww24.21%4.1×
Dhan23.00%4.3×
Kotak NeoCHEAPEST21.37%4.7×
Paytm Money21.49%4.7×
Pocketful28.64%3.5×
Anand Rathi28.35%3.5×
Bajaj Broking24.00%4.2×
Share India28.41%3.5×

Compare every broker on the TATASTEEL MTF page.

TATASTEEL vs peers,Metals comparison

StockP/EDiv yieldMarket cap
TATASTEEL (this stock)19.8×2.13%₹2.34L Cr
VEDL9.9×12.20%₹1.09L Cr
JINDALSTEL36.4×0.18%₹1.13L Cr
HINDALCO11.4×0.47%₹2.38L Cr
JSWSTEEL26.4×0.55%₹3.18L Cr
SAIL15.1×0.91%₹72,937 Cr
NATIONALUM10.4×3.02%₹69,976 Cr

Fundamentals from Screener.in, as of 9 Aug 2026

About TATA STEEL LIMITED: sector, index & market-cap context

TATA STEEL LIMITED (TATASTEEL) is a large-cap NSE-listed company in the Metals sector, and a constituent of the Nifty 50 index, with a market capitalisation of ₹2.34L Cr. See more stocks on our screener.

How the TATASTEEL Snapshot Score & forecast are built

The Downstox Snapshot Score is a transparent, rules-based read of TATA STEEL LIMITED's public fundamentals plus a statistical forecast, not an analyst opinion. It rewards low-to-fair valuation, high ROE/ROCE, a strong Piotroski F-Score, a dividend, low volatility and a favourable probability of upside; it penalises rich valuations, weak capital efficiency, a low F-Score and high volatility. The price target is a 10,000-path Monte-Carlo simulation on real historical volatility, a distribution, not a single guess. The bull and bear cases are generated from the same data, so you always see both sides.

This is information, not investment advice. Do your own due diligence and consult a SEBI-registered adviser before investing.

TATASTEEL analysis, FAQs

Is TATA STEEL LIMITED (TATASTEEL) a good buy?

On the numbers, TATA STEEL LIMITED (TATASTEEL) mixed signals, a Downstox Snapshot Score of 53/100, weighing fairly valued at 19.8× earnings, ROE of 11.7%, a 60% model probability of trading higher in a year. This is a data snapshot for research, not investment advice.

Is TATASTEEL overvalued or undervalued?

TATASTEEL trades at 19.8× earnings versus a peer median of 15.1×, so it screens richer than its Metals peers.

What is the TATASTEEL share price target for 2031?

TATASTEEL's probability-weighted 2031 median target is ₹265, with an 80% range of ₹123-₹571 (10,000-path Monte-Carlo).

What is the probability TATASTEEL doubles in 5 years?

The modelled probability of TATASTEEL reaching ₹375 (2×) within 5 years is 29%.

What is the bull case for TATASTEEL?

TATASTEEL's P/E of 19.8x is lower than 63% of the 2,373 NSE companies in our screener, as of 9 Aug 2026. TATASTEEL's dividend yield of 2.1% ranks in the 88th percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026.

What are the risks in TATASTEEL?

TATASTEEL's return on equity of 11.7% ranks in the 58th percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026.

More on TATASTEEL