JSW Steel was listed on the NSE on Mar 23, 2005. In the last five years, its stock has given a massive return of more than 400%. Will JSW Steel continue to provide such great returns in the future as well? Let’s explore JSW Steel’s growth potential and the JSW Steel share price target 2025 to 2050 in this article.
About JSW Steel
JSW Steel Limited was founded in 1982 and is the main company of the JSW Group. It is a leading Indian multinational steel producer with its headquarters in Mumbai. It began when Piramal Steel Limited was bought and renamed Jindal Iron and Steel Company (JISCO). In 1994, Jindal Vijayanagar Steel Limited (JVSL) was established. In 2005, JISCO and JVSL merged to form JSW Steel, which quickly grew to become one of India’s largest private steel companies. JSW Steel has an installed production capacity of 35.7 million tonnes per annum (MTPA) in India and the USA as of 2024. JSW Steel sells many kinds of steel, such as hot-rolled, cold-rolled, galvanised, Galvalume®, TMT rebars, wire rods, and special steel. It is India’s biggest steel exporter and does business in more than 140 countries.
JSW Steel Business Model
- Steel Manufacturing Business: JSW Steel operates one of the largest steel manufacturing facilities in India, with integrated steel plants in Karnataka, Maharashtra, and Tamil Nadu. It sources raw materials like iron ore and coal, processes them into various steel products, and supplies them to sectors such as construction, infrastructure, automotive, and energy. The company follows both backward and forward integration, ensuring control over the supply chain and distribution network, which helps maintain margins and efficiency.
- Value-Added Product Business: Beyond basic steel production, JSW Steel focuses more on high-margin, value-added products like galvanized steel, color-coated sheets, electrical steel, and high-strength automotive steel. These specialized products cater to demanding industrial applications and enhance the company’s profitability.
- Export and Global Operations Business: JSW Steel exports its products to over 100 countries, leveraging its global network and strategic locations near ports. The company also has international operations in the U.S. and Italy, helping diversify revenue sources and reduce dependence on domestic demand.
JSW Steel Fundamental Analysis
| Stock Name | JSW Steel Ltd. |
|---|---|
| NSE Symbol | JSWSTEEL |
| Market Cap | ₹ 2,47,492 Cr. |
| 52W High | ₹ 1075 |
| 52W Low | ₹ 854 |
| Stock P/E | 65.0 |
| Book Value | ₹ 325 |
| Dividend Yield | 0.28 % |
| ROCE | 8.03 % |
| ROE | 4.85 % |
| Face Value | ₹ 1.00 |
| Industry PE | 22.2 |
| Price to book value | 3.10 |
| Debt to equity | 1.24 |
| PEG Ratio | -20.1 |
| Quick ratio | 0.59 |
| Shareholders | March 2023 | March 2024 | March 2025 |
|---|---|---|---|
| Promoters | 45.41% | 44.81% | 44.84% |
| FIIs | 26.01% | 26.06% | 25.78% |
| DIIs | 9.47% | 9.81% | 10.52% |
| Government | 0.51% | 0.51% | 0.51% |
| Public | 18.07% | 18.44% | 18.16% |
| Others | 0.53% | 0.37% | 0.20% |
| No. of Shareholders | 6,05,019 | 6,71,779 | 6,21,932 |
Key Factors Driving JSW Steel’s Future Growth
- Government Push for Infrastructure Development: The Government of India has launched major infrastructure initiatives such as the PM Gati Shakti Master Plan, Bharatmala, and National Infrastructure Pipeline (NIP), which require vast amounts of steel. JSW Steel, being one of India’s largest steel producers, is expected to benefit significantly from increased demand across sectors like roads, ports, and railways.
- Expansion in Automotive and Construction Sectors: The rapid urbanization and growth in the automotive, real estate, and construction sectors are boosting steel demand. With India’s rising middle-class income and housing needs, JSW Steel is well-positioned to cater to this expanding market through its wide product portfolio.
- Capacity Expansion Plans: JSW Steel has committed to increasing its crude steel production capacity to 38–40 MTPA over the next few years. These capacity additions through brownfield and greenfield expansions will enable the company to meet rising domestic and international demand, enhancing its revenue potential.
- Focus on Value-Added Products: The company is increasing its focus on high-margin, value-added products such as coated steel, color-coated steel, and specialty steel for sectors like defense and renewables. This strategy is expected to improve profit margins and reduce dependency on commodity-grade steel.
- Global Diversification and Acquisitions: JSW Steel’s acquisition of assets in the USA and Italy and its stake in iron ore and coal mines help secure raw material supplies and reduce volatility.
Pros of JSW Steel
- Increase in FIIs Holding: Foreign Institutional Investors (FIIs) have increased their holding to 25.78% in March 2025 from 25.59% in December 2024, which indicates growing confidence in JSW Steel’s future potential by the FIIs.
Cons of JSW Steel
- Overvaluation Concern: JSW Steel stock is trading at a PE ratio of 65.0 and a (P/B) ratio of 3.10, which shows that its stock is significantly overvalued compared to its earnings and assets.
- Decreasing Profits: JSW Steel profits have been decreasing at a CAGR of -44% over the last three Years.
- High Financial Risk: JSW Steel has a high debt-to-equity ratio of 1.24, indicating a strong dependency on debt. This increases financial risk, raises interest costs, and may have an impact on profitability.
- Low Interest Coverage Ratio: The interest coverage ratio of JSW Steel is 1.66, which shows that the company is struggling to pay interest.
- Decrease in DIIs Holding: Domestic Institutional Investors (DIIs) have reduced their holding to 10.52% in March 2025 from 10.59% in December 2024, indicating a decline in DIIs’ confidence in the company’s future growth prospects.
JSW Steel Ltd Balance Sheet
| Particulars | March 2023 | March 2024 | March 2025 |
|---|---|---|---|
| Equity Capital | 301 | 305 | 305 |
| Reserves | 65,394 | 77,364 | 79,191 |
| Borrowings | 80,853 | 87,984 | 98,752 |
| Other Liabilities | 63,991 | 62,245 | 62,494 |
| Total Liabilities | 210,539 | 227,898 | 240,742 |
| Fixed Assets | 104,452 | 112,461 | 124,995 |
| CWIP | 22,166 | 29,676 | 20,478 |
| Investments | 4,806 | 7,246 | 15,217 |
| Other Assets | 79,115 | 78,515 | 80,052 |
| Total Assets | 210,539 | 227,898 | 240,742 |
By the end of 2025, the JSW Steel share price is expected to be around ₹1260 in normal conditions. In a bear market, it might be ₹910, and in a bull market, it may go up to ₹1570.
| JSW Steel Share Price Target 2025 | Rupees (₹) |
|---|---|
| Bear Market | 910 |
| Normal Market | 1260 |
| Bull Market | 1570 |
In 2026, the JSW Steel share price is expected to be around ₹1520 in a normal situation. In a bear market, it might be ₹1000, and in a bull market, it may cross ₹2040.
| JSW Steel Share Price Target 2026 | Rupees (₹) |
|---|---|
| Bear Market | 1000 |
| Normal Market | 1520 |
| Bull Market | 2040 |
According to our analysis, the JSW Steel share price is expected to be around ₹1820 in 2027. In a bear market, it might be ₹1100, and in a bull market, it may cross ₹2650.
| JSW Steel Share Price Target 2027 | Rupees (₹) |
|---|---|
| Bear Market | 1100 |
| Normal Market | 1820 |
| Bull Market | 2650 |
According to our analysis, the JSW Steel share price may trade near ₹2180 by 2028; bearish conditions could pull it down to ₹1210, while a strong bull run might lift it to ₹3450.
| JSW Steel Share Price Target 2028 | Rupees (₹) |
|---|---|
| Bear Market | 1210 |
| Normal Market | 2180 |
| Bull Market | 3450 |
Under normal conditions, the JSW Steel share price might hit ₹2620 by 2029. A bearish trend could lower it to ₹1330, whereas a bullish surge could raise it to ₹4480.
| JSW Steel Share Price Target 2029 | Rupees (₹) |
|---|---|
| Bear Market | 1330 |
| Normal Market | 2620 |
| Bull Market | 4480 |
In a normal situation, the JSW Steel share price is projected to be approximately ₹3150 in 2030. In a bear market, the value may be as low as ₹1450, while in a bull market, it may rise to ₹5800.
| JSW Steel Share Price Target 2030 | Rupees (₹) |
|---|---|
| Bear Market | 1450 |
| Normal Market | 3150 |
| Bull Market | 5800 |
By 2035, the JSW Steel share price is projected to be around ₹6300 under normal conditions. In adverse markets, the price could fall to ₹2200, while favorable conditions might push it up to ₹17,000.
| JSW Steel Share Price Target 2035 | Rupees (₹) |
|---|---|
| Bear Market | 2200 |
| Normal Market | 6300 |
| Bull Market | 17,000 |
Under normal conditions, the JSW Steel share price might hit ₹12,600 by 2040. A bearish trend could lower it to ₹3300, whereas a bullish surge could raise it to ₹52,000.
| JSW Steel Share Price Target 2040 | Rupees (₹) |
|---|---|
| Bear Market | 3300 |
| Normal Market | 12,600 |
| Bull Market | 52,000 |
In 2050, the JSW Steel share price is expected to be around ₹54,400 in a normal situation. In a bear market, it might be ₹9900, and in a bull market, it may go up to ₹3,13,000.
| JSW Steel Share Price Target 2050 | Rupees (₹) |
|---|---|
| Bear Market | 9900 |
| Normal Market | 54,400 |
| Bull Market | 3,13,000 |
| Years | Target Price |
|---|---|
| JSW Steel Share Price Target 2025 | ₹910 to ₹1570 |
| JSW Steel Share Price Target 2026 | ₹1000 to ₹2040 |
| JSW Steel Share Price Target 2027 | ₹1100 to ₹2650 |
| JSW Steel Share Price Target 2028 | ₹1210 to ₹3450 |
| JSW Steel Share Price Target 2029 | ₹1330 to ₹4480 |
| JSW Steel Share Price Target 2030 | ₹1450 to ₹5800 |
| JSW Steel Share Price Target 2035 | ₹2200 to ₹17,000 |
| JSW Steel Share Price Target 2040 | ₹3300 to ₹52,000 |
| JSW Steel Share Price Target 2050 | ₹9900 to ₹3,13,000 |
Disclaimer
This article is for educational purposes only. It is not a stock recommendation and should not be treated as such. Please ask your financial advisor before making any investment decision.
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