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500228 Fair Value & Analysis

Materials · IN · Market cap ₹2.8T (≈ $30.1B) · ISIN INE019A01038

What is 500228 really worth?

5 500228 500228 · BSE
Price₹1,325
Fair Value₹1,079
Upside−18.6%
Quality58/100

A solid business, but trading 23% above our fair value of ₹1,079.

Strengths

Moderate debt · generates free cash flow

Risks

!Mixed Growth (revenue 5y +17.9 %/yr)
!Thin margins · 0.0% net margin
!The models disagree: range ₹621.71 to ₹1,937
Evidence: High Range ₹621.71 – ₹1,937

Fair value as of: Aug 22, 2026

From 24 valuation models · updated 14 days ago

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The model range is unusually wide (₹621.71 to ₹1,937). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • Solid but not exceptional quality (58/100) and above fair value, neither a clear bargain nor a standout compounder.

Price vs Fair Value (5 years)

₹1,339 ₹504.98 Fair Value ₹1,079 Apr 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 22, 2026.

How to read this chart

60‑month range ₹504.98 – ₹1,339 · fair‑value band ₹621.71 – ₹1,937 · the ₹1,325 price screens above the ₹1,079 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 22, 2026.

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Analysis

500228 (500228) currently trades at ₹1,325, while our model-based Fair Value estimate is ₹1,079, implying the stock looks roughly 22.8% overvalued today. The Quality Score stands at 58/100 (solid quality), in the Materials sector. Bull case: the Growth Earnings group reads highest at a median of ₹1,711 per share, and 8 of the 24 models we run sit above the ₹1,325 price. Bear case: the Asset-Based group reads lowest at ₹309.17, and 16 of the 24 models stay below the price. Evidence for this calculation is high.

Net debt stands at ₹761B. The stock trades on a trailing P/E of 72.3 (as of Jul 4, 2026). Fundamentals as of Aug 22, 2026

Our scenario range runs from ₹621.71 (bear case) to ₹1,937 (bull case); at ₹1,325, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades near its 52-week high and 30% above its 52-week low. For context, the median of 10 Materials peers we cover trades at −29% fair-value upside, at −19%, 500228 screens cheaper than that median.

Fair Value models

This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly ₹16.67 per share, which is 1.5 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF ₹485.76 ₹1,033 ₹2,021 75
Growth DCF ₹484.31 ₹999.22 ₹1,922 74
5Y EBITDA Exit ₹691.92 ₹1,418 ₹2,330 73
All 24 models by family
DCF Models
FCF DCF ₹485.76 ₹1,033 ₹2,021 75
Owner Earnings ₹906.82 ₹1,807 ₹3,431 72
5Y Revenue Exit ₹613.98 ₹1,258 ₹2,138 70
5Y EBITDA Exit ₹691.92 ₹1,418 ₹2,330 73
5Y P/E Exit ₹870.87 ₹1,784 ₹2,831 68
10Y Revenue Exit ₹537.87 ₹1,145 ₹2,084 63
10Y EBITDA Exit ₹620.73 ₹1,264 ₹2,247 65
10Y P/E Exit ₹741.74 ₹1,538 ₹2,674 61
Earnings-Based
Graham-Dodd ₹699.87 ₹3,166 ₹4,342 64
Lynch FV ₹827.08 ₹1,182 ₹1,536 61
PEG = 1.0 ₹827.08 ₹1,182 ₹1,536 57
EPV ₹569.06 ₹699.07 ₹814.63 71
Multiples
P/E Multiple ₹1,312 ₹1,750 ₹2,187 63
P/S Multiple ₹944.50 ₹1,259 ₹1,574 58
P/B Multiple ₹1,038 ₹1,384 ₹1,730 55
EV/EBIT ₹811.52 ₹1,138 ₹1,464 66
EV/EBITDA ₹863.86 ₹1,208 ₹1,552 67
EV/Revenue ₹680.96 ₹1,045 ₹1,408 53
Asset-Based
NCAV (Graham) ₹230.72 ₹309.17 ₹461.45 54
Growth DCF
Growth DCF ₹484.31 ₹999.22 ₹1,922 74
Rev-Margin DCF ₹613.98 ₹1,237 ₹2,034 70
Economic Profit
Residual Income ₹711.14 ₹950.14 ₹4,815 64
ROIC Compounder ₹621.80 ₹933.07 ₹1,344 70
Growth Earnings
Growth-Adj P/E ₹1,198 ₹1,711 ₹2,225 67

Widest divergence: Growth Earnings (₹1,711) versus Asset-Based (₹309.17). Highest evidence: FCF DCF (75).

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Key figures & financial health

P/E ratio 72.3 as of Jul 4, 2026
P/S ratio 8.86 P/E × margin
EPS (TTM) ₹24.63 price ÷ EPS = P/E 72.3
Net margin 12.3% FY2025
Return on equity 741% TTM
Return on assets (EBIT) 9.1% avg 5y
More key figures
Balance sheet & cash flow
Free cash flow ₹105B FY2025
Net debt ₹761B FY2025 · ≈ 7.2 yrs of FCF

Figures from reported company fundamentals · as of Aug 22, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 58/100

Of which business quality 56 · Market factors (momentum, volatility) 68

Profitability 58
Margins and returns on capital today
Quality Growth 56
Are margins and returns improving?
Cashflow 36
Earnings quality: real cash, not paper profit
Fin. Strength 63
Balance sheet, leverage, solvency risk
Investment 50
Disciplined investing over empire-building
Low Volatility 81
Calm price path (market factor)
Momentum 53
Price trend over the last 3–12 months (market factor)
52W Momentum 81
Distance to the 52-week high (market factor)
Net Issuance 79
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

500228 reported revenue of ₹1.8T in FY2025 versus ₹1.5T in FY2021, a compound +5.6%/yr. Reported net income was ₹223B in FY2025, compounding +1.9%/yr from FY2021.

Growth Quality 81/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
₹1.8T
Latest YoY
+7.8%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+3.1%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+17.9%
Avg. revenue growth/yr (10Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+14.8%
Value creation/yr (5Y, in INR) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year. Measured in INR: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
+22.7% (22.7 + 0.0)
Revenue +5.6%/yr
FY21 ₹1.5T
FY22 ₹1.7T
FY23 ₹1.8T
FY24 ₹1.7T
FY25 ₹1.8T
Net income +1.9%/yr
FY21 ₹207B
FY22 ₹41.4B
FY23 ₹88.1B
FY24 ₹35.0B
FY25 ₹223B

500228 screens 23% overvalued. Compare with Nucor Corporation →

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Cite: Fair Value Calculator (2026). "500228 Fair Value". https://www.fairvalue-calculator.com/stock/500228

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Steel stocks, each showing price versus our Fair Value estimate (as of Aug 22, 2026).

Stock Price Fair Value vs Fair Value
Nucor Corporation NUE $250.50 $116.05 −54%
ArcelorMittal S.A MT €64.60 €46.04 −29%
JSW Steel Limited JSWSTEEL ₹1,296 ₹1,119 −14%
Steel Dynamics, Inc STLD $234.67 $127.14 −46%
Tata Steel Limited TATASTEEL ₹186.80 ₹145.39 −22%
Reliance, Inc RS $387.59 $217.81 −44%
Baoshan Iron & Steel Co 600019 ¥5.91 ¥8.07 +37%
POSCO Holdings PKX $63.13 $85.21 +35%
Jindal Steel & Power Limited JINDALSTEL ₹1,114 ₹429.44 −61%
Lloyds Metals and Energy Limited LLOYDSME ₹1,891 ₹793.69 −58%

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Frequently asked questions

Is 500228 overvalued or undervalued?
As of Aug 22, 2026, our model estimates a fair value of ₹1,079 versus a price of ₹1,325, about −19% upside (overvalued).
What is the fair value of 500228?
Our model-based fair value for 500228 is ₹1,079 (as of Aug 22, 2026), built from audited fundamentals. The current price: ₹1,325.
What is the quality score of 500228?
500228 has a Quality Score of 58/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the net profit margin of 500228?
The net profit margin of 500228 is about 0.0%, meaning it keeps roughly 0.0% of revenue as net income. Based on the latest reported figures.
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