Is Steel Authority of India a Good Buy After Its Q1 FY27 Results?
- September 4, 2026
- Posted by: Kunal Singla
- Category: Market
Steel Authority of India share price around Rs 198. 5.7% below 52-week high of Rs 210. Q1 FY27 revenue Rs 26,451 crore, up 1.4% YoY. PAT Rs 1,644 crore, up 120.8%. PE 19x.
Quick Answer
Steel Authority of India’s Q1 FY27 results were strong, with revenue at Rs 26,451 crore and PAT climbing 121% to Rs 1,644 crore. The stock trades at a PE of 19x against an industry average near 24x, which leaves room for a re-rating if this growth continues. The Steel Authority of India share price near Rs 198 reflects that optimism, so investors weighing whether Steel Authority of India is a good buy today should focus on whether this pace of growth can be sustained rather than just this quarter’s print.
The Steel Authority of India share price has been under the spotlight this results season after the company reported its first-quarter numbers for FY27. Steel Authority of India is India’s largest state-owned steel producer, and its Q1 FY27 print, for the quarter ended June 30, 2026, gives investors a fresh data point to test whether the stock still deserves a place in a portfolio at current levels.
Revenue for the quarter came in at Rs 26,451 crore, up 1.4% year on year, while profit after tax came in at Rs 1,644 crore, up 120.8% from a year earlier. That combination of numbers is exactly what this article breaks down, along with what it means for the Steel Authority of India share price from here.
This piece works through the quarter’s financial highlights, the business factors behind the numbers, where the Steel Authority of India share price stands against its 52-week range and valuation multiples, and the key risks worth watching before treating this as a buy, hold or a stock to avoid for now.
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Steel Authority of India Q1 FY27 Financial Highlights
| Metric | Q1 FY27 | Q1 FY26 | YoY Change |
|---|---|---|---|
| Revenue | Rs 26,451 crore | Rs 26,084 crore | 1.4% |
| EBITDA | Rs 4,358 crore | Rs 2,931 crore | 48.7% |
| Operating Margin | 16.2% | 11.6% | NA |
| Profit Before Tax | Rs 2,187 crore | Rs 968 crore | 125.9% |
| Net Profit / (Loss) | Rs 1,644 crore | Rs 745 crore | 120.8% |
Steel Authority of India Q1 FY27 Performance Analysis
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Revenue growth of 1.4% for the quarter came from steady demand across the company’s core business, keeping the topline trend intact for the integrated steel manufacturing sector.
The bigger story is on profitability. PAT grew 121% to Rs 1,644 crore, comfortably ahead of revenue growth, which points to margin expansion or a favourable base effect. This is the kind of quarter that supports the premium the Steel Authority of India share price already commands, though investors should check whether the growth is repeatable or was helped by one-off factors.
On a sequential basis, revenue moved down 15.1% sequentially from Rs 31,165 crore in the March 2026 quarter and net profit moved down 10.4% sequentially from Rs 1,835 crore in the prior quarter, giving a fuller picture of the trend behind the Steel Authority of India share price than the year on year comparison alone.
Key Business Factors in Q1 FY27
Revenue Trend
Steel Authority of India’s revenue grew 1.4% year on year this quarter, taking the quarterly base to Rs 26,451 crore in an integrated steel manufacturing business that remains sensitive to demand and pricing cycles that ultimately feed through to the Steel Authority of India share price.
Margin Movement
EBITDA rose 48.7% to Rs 4,358 crore, and operating margin moved to 16.2% from 11.6% a year earlier, a sign that cost control or pricing held up during the quarter.
Balance Sheet Position
Steel Authority of India’s debt-to-equity ratio stands at 0.53, a level worth monitoring given the quarter’s margin trend.
Valuation Context
The stock trades at a PE of 19.0x, below the industry average of 23.9x, which is worth factoring into any read of whether the Steel Authority of India share price is expensive or reasonably priced.
Dividend Details
No interim dividend was declared alongside Steel Authority of India’s Q1 FY27 results. The stock currently carries a trailing dividend yield of 1.20%, based on dividends paid over the last year. Investors tracking the Steel Authority of India share price for income should watch the company’s announcements around its next annual results for any dividend decision.
Steel Authority of India Share Price Outlook for FY27
The Q1 FY27 print sets a reasonably high bar for the rest of the year. If Steel Authority of India can sustain this pace of revenue and profit growth, the current valuation gets easier to justify. The main swing factor is whether this quarter’s momentum reflects a durable trend or a favourable one-off, something the next two quarters should clarify.
For the Steel Authority of India share price to hold its current premium through FY27, the company will likely need to keep posting growth at or near this quarter’s pace, since any slowdown would put pressure on a stock priced for continued strength.
Steel Authority of India Stock Performance
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The Steel Authority of India share price was trading around Rs 198 as results season played out in late August 2026, roughly 5.7% below its 52-week high of Rs 210 and well above its 52-week low of Rs 124. Promoter holding stood at 65.0% as of the June 2026 quarter.
The Steel Authority of India share price has room to re-rate further if the growth shown this quarter continues, though much of the good news may already be reflected in the stock near current levels. On profitability ratios, the company reports a return on equity of 6.35% and a book value of around Rs 146 per share, both useful reference points when judging whether the current price is reasonable.
Key Risks
Leverage Risk
A debt-to-equity ratio of 0.53 means the company’s earnings are more sensitive to interest rate and refinancing conditions than a lower-debt peer.
Sector and Demand Risk
As an integrated steel manufacturing business, Steel Authority of India’s results remain tied to sector-specific demand, pricing and regulatory cycles that can shift from quarter to quarter and move the Steel Authority of India share price well before the next result.
Execution Risk
Sustaining this quarter’s trend into the rest of FY27 depends on management execution on costs, pricing and demand, none of which are guaranteed.
Conclusion
Steel Authority of India’s Q1 FY27 results were genuinely strong, with revenue at Rs 26,451 crore and PAT up 121% to Rs 1,644 crore. That said, at a PE of 19.0x, the Steel Authority of India share price is not inexpensive, so this looks like a quality business trading at a full price rather than a bargain. Existing investors have little to worry about from this print, while new investors asking whether Steel Authority of India is a good buy should weigh the strong quarter against the valuation before adding at current levels. The Steel Authority of India share price remains the number to track heading into the next quarterly update.
Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
Frequently Asked Questions on Steel Authority of India Q1 FY27 Results
What were Steel Authority of India’s Q1 FY27 results?
Ans. Steel Authority of India reported Q1 FY27 revenue of Rs 26,451 crore, up 1.4% year on year, and PAT of Rs 1,644 crore, up 120.8% year on year.
Is Steel Authority of India a good buy after its Q1 FY27 results?
Ans. Steel Authority of India’s core numbers improved this quarter, though at a PE of 19.0x the stock is not inexpensive, so this suits investors comfortable paying up for quality. Investors should form their own view based on their own risk appetite and time horizon.
What is the Steel Authority of India share price today?
Ans. The Steel Authority of India share price was trading around Rs 198 in late August 2026, about 5.7% below its 52-week high of Rs 210 and well above its 52-week low of Rs 124.
What is Steel Authority of India’s revenue and profit for Q1 FY27?
Ans. Steel Authority of India reported revenue of Rs 26,451 crore and a net profit of Rs 1,644 crore for the quarter ended June 30, 2026.
Did Steel Authority of India declare a dividend with its Q1 FY27 results?
Ans. No interim dividend was declared alongside Steel Authority of India’s Q1 FY27 results. Investors should track the company’s next annual results for any dividend announcement.
What is Steel Authority of India’s PE ratio and is it expensive?
Ans. The Steel Authority of India share price trades at a trailing PE of 19.0x, against an industry average of 23.9x. Investors should compare this with the company’s growth rate before judging value.
What are the key risks for Steel Authority of India investors right now?
Ans. A debt-to-equity ratio of 0.53 means the company’s earnings are more sensitive to interest rate and refinancing conditions than a lower-debt peer. Sustaining this quarter’s trend into the rest of FY27 depends on management execution on costs, pricing and demand, none of which are guaranteed.
What is Steel Authority of India’s promoter shareholding?
Ans. Promoter holding in Steel Authority of India stood at 65.0% as of the June 2026 quarter.
