AI Summary
✦ ClarthaSarda Energy & Minerals is an integrated steel producer serving Indian and international markets. Pellets, sponge iron, billets, and wire rods drive steel revenue, while ferro alloys and HB wires add downstream products. Coal and iron-ore mining support raw-material security, alongside hydro, thermal, and solar power generation. Q1 FY27’s record EBITDA indicates operating leverage and supports the reported margin improvement. Revenue grew 22.6%, while profit increased 58%, showing earnings growth ahead of sales. However, debt/equity of 35.2x implies severe leverage, which can amplify ROE but increases refinancing and cyclicality risk; ROE is unavailable. At 15.5x earnings, valuation appears fair relative to growth, but the premium requires sustained steel spreads and disciplined capital allocation. The key open question is whether record EBITDA reflects a durable cost advantage or favorable commodity conditions.
Price Forecast
Probabilistic Range
Probabilistic lognormal cone using 1Y realized volatility and analyst-target drift when available.
Revenue Forecast
₹ CrEPS Forecast
₹ / shareMulti-factor synthesis of 5 key dimensions
Analyst coverage unavailable
Fundamentals
Fundamentals institutional score is 30 using growth durability 30.0.
Valuation
Valuation institutional score is 53 using relative multiple z-scores where peer dispersion is available.
Analyst Consensus
No usable analyst target or recommendation data was available.
Technical Structure
Technicals institutional score is 50 using EMA-20 continuation within 5% tolerance; VCP range/volume contraction proxy.
Market Sentiment
Recent news flow is balanced or not decisive enough to tilt the tape. Based on 2 recent ticker-linked news items.
Signal Summary
Market intelligence remains Mixed. Available evidence provides partial support, while fundamentals and valuation remain considerations.
Composite weights: Fundamentals 25%, Valuation 20%, Analyst Consensus 20%, Technical Structure 20%, Market Sentiment 15%.
Key Data Points
Important Note: This is market intelligence, not investment advice. Always conduct your own research and consider your financial goals and risk tolerance.
Valuation Metrics
Trading 10.2% above historical median. Valuation is stable — currently in the strongly overvalued zone (z-score: +0.73). Confidence: 68%.
Live forward EPS implies next-12-month EPS of ₹47.33. Applying the stock's normalized valuation corridor produces a fair range of ₹366.33 to ₹750.65, with base value near ₹666.88 (+33.3% vs current price).
Live forward estimate anchored to the company's historical valuation corridor.
Forward EPS
₹47.33
Forward P/E
10.6x
Base Fair Value
₹666.88
Fair Range
₹366.33 - ₹750.65
Upside To Base
+33.3%
Estimate Source
Live forward EPS
Growth Estimate
+5.4%
5Y Average
8.95
Current
15.52
Overvalued
15.86
Undervalued
7.74
5Y Average
5.66
Current
9.82
Overvalued
9.32
Undervalued
2.11
5Y Average
2.61
Current
2.39
Overvalued
3.00
Undervalued
2.22
Peers & Comparison
Sector: Materials · Theme: Iron & Steel
| Company | Rev. Growth | Margin | P/E | vs Avg | 52W Perf. |
|---|---|---|---|---|---|
GODAWARI POW & ISP LTD GPILIron & Steel | +34.8% | 13.9% | 18.7x Undervalued | -91% vs avg | +19.6% |
JAYASWAL NECO INDUSTR LTD JAYNECOINDIron & Steel | +27.7% | 7.4% | 16.1x Undervalued | -92% vs avg | +54.0% |
GALLANTT ISPAT LIMITED GALLANTTIron & Steel | — | 11.1% | 30.2x Undervalued | -85% vs avg | -23.7% |
JINDAL STAINLESS LIMITED JSLIron & Steel | +10.5% | 7.4% | 18.5x Undervalued | -91% vs avg | +2.7% |
KIOCL LIMITED KIOCLIron & Steel | -10.6% | 2.7% | 1397.9x Premium | +596% vs avg | +16.8% |
LLOYDS ENTERPRISES LTD LLOYDSENTIron & Steel | +47.1% | 16.1% | 45.1x Undervalued | -78% vs avg | +20.3% |
BANSAL WIRE INDUSTRIES L BANSALWIREIron & Steel | +24.4% | 3.2% | 35.2x Undervalued | -82% vs avg | -9.4% |
JAI BALAJI INDUSTRIES LTD JAIBALAJIIron & Steel | +9.8% | 2.2% | 44.6x Undervalued | -78% vs avg | -34.2% |
SARDA ENERGY & MIN LTD trades at a discount (15.5x vs peer avg 200.8x), suggesting potential undervaluation relative to the Iron & Steel cohort. Peers include GODAWARI POW & ISP LTD, JAYASWAL NECO INDUSTR LTD, GALLANTT ISPAT LIMITED — selected based on business model, industry classification, market cap similarity, and business theme alignment.
Financials
Real statement data for revenue, earnings quality, conversion, and balance-sheet coverage. Monetary values are shown in Rs crore.
Latest revenue
₹918 CrDec 2025Latest net profit
₹163 CrDec 2025Latest EPS
₹4.63Dec 2025Net margin
17.0%Dec 2025Performance
Bars show revenue and net profit. The line shows net margin.
- Revenue
- Net income
- Net margin %
Earnings
Revenue is shown in crores. EPS is rupees per share.
- Revenue
- EPS
Revenue to profit conversion
Bridge from operating numbers to profit for the latest reported period.
Latest reported period: Dec 2025
Debt level and coverage
Debt, cash and free cash flow compared on the same crore scale.
- Debt
- Free cash flow
- Cash & equivalents
Results
| Metric | Mar 2023 | Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sales | 816 | 760 | 646 | 657 | 670 | 662 | 763 | 1,047 | 1,013 | 1,307 | 1,092 | 918 |
| Expenses | 610 | 619 | 540 | 527 | 534 | 470 | 567 | 740 | 751 | 781 | 760 | 709 |
| Operating Profit | 189 | 126 | 90.53 | 114 | 119 | 177 | 164 | 259 | 206 | 475 | 281 | 156 |
| OPM % | 23.15% | 16.53% | 14.01% | 17.41% | 17.82% | 26.76% | 21.57% | 24.73% | 20.32% | 36.35% | 25.69% | 16.97% |
| Other Income | 17.41 | 80.19 | 37.13 | 37.41 | 30.32 | 63.26 | 34.59 | 6.56 | 15.29 | 70.38 | 68.49 | 99.85 |
| Interest | 4.74 | 3.74 | 4.72 | 4.4 | 5.38 | 4.16 | 18.53 | 34.09 | 40.36 | 35.02 | 34.1 | 34.36 |
| Depreciation | 16.6 | 15.8 | 15.91 | 16.27 | 16.5 | 14.95 | 30.94 | 47.65 | 56.49 | 50.71 | 51.82 | 52.43 |
| Profit before tax | 202 | 202 | 123 | 147 | 144 | 236 | 181 | 231 | 181 | 511 | 315 | 221 |
| Tax % | 26.24% | 21.13% | 24.63% | 23.51% | 29.99% | 23.36% | 61.63% | 18.23% | 36.24% | 24.38% | 23.9% | 26.27% |
| Net Profit | 149 | 159 | 92.66 | 113 | 101 | 181 | 69.28 | 189 | 115 | 386 | 240 | 163 |
| EPS in Rs | 42.18 | 4.52 | 2.63 | 3.20 | 2.87 | 5.14 | 3.48 | 5.37 | 3.27 | 10.96 | 6.80 | 4.63 |
All values in Rs. Crore unless otherwise stated. Source: CMIE Prowess, Quarterly Interim Standalone.