Steel Authority of India Limited (SAIL) is one of India’s largest integrated steel producers and a Maharatna Central Public Sector Enterprise under the Ministry of Steel, Government of India. With five integrated steel plants and three special steel units, SAIL plays a strategic role in India’s infrastructure and manufacturing ecosystem. As of January 2026, however, SAIL is facing headwinds—21.41% YoY profit decline, negative sales growth (-2.75%), and low returns on equity (3.91%) and capital (6.34%). Despite a strong balance sheet with ₹905 Cr in cash, it carries significant debt (₹36,934 Cr), limiting financial flexibility. This article provides a realistic outlook on the SAIL share price target 2026–2030.
SAIL: Company Overview
- Incorporated: 1954
- Chairman & Managing Director: Shri Amarendu Prakash
- NSE Symbol: SAIL
- Core Business:
- Production of hot-rolled, cold-rolled, galvanized, and special steel products
- Supply to automotive, railways, defense, construction, and infrastructure sectors
- Market Position: Among India’s top 3 steel producers by volume; key supplier to government projects
SAIL benefits from sovereign backing and captive raw material access but faces margin pressure due to global steel volatility and high input costs.
SAIL: Key Financial Snapshot
| Metric | Value |
|---|---|
| Current Share Price | ₹149.00 |
| Market Capitalization | ₹61,482.87 Cr |
| No. of Shares Outstanding | 413.05 Cr |
| P/E Ratio (TTM) | 25.45 |
| P/B Ratio | 1.10 |
| EPS (TTM) | ₹5.85 |
| Book Value (TTM) | ₹135.51 |
| ROE | 3.91% |
| ROCE | 6.34% |
| Dividend Yield | 1.07% |
| Face Value | ₹10 |
| Cash | ₹905.02 Cr |
| Debt | ₹36,933.93 Cr |
| Promoter Holding | 65.00% |
| Sales Growth (YoY) | –2.75% |
| Profit Growth (YoY) | –21.41% |
Note: The company remains profitable (Net Profit: ₹2,415 Cr in FY25) but profits are shrinking due to weak realizations and rising coking coal costs.
SAIL Share Price Target Forecast (2026–2030)
| Year | Target Price Range (₹) |
|---|---|
| 2026 | ₹162 – ₹180 |
| 2027 | ₹176 – ₹198 |
| 2028 | ₹190 – ₹220 |
| 2029 | ₹204 – ₹244 |
| 2030 | ₹218 – ₹270 |
Important: These targets assume no major capex overruns, stable steel prices, and gradual margin recovery. Upside is limited by low ROE; downside is cushioned by book value and dividend support.
SAIL Share Price Target 2026
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2026 | ₹162 | ₹180 |
SAIL reported a 21.41% YoY profit decline and 2.75% sales drop in FY2025, driven by weak domestic demand and export competition. Trading at 25.4x P/E and 1.1x P/B, the stock is fairly valued for a PSU with low returns. The 2026 target assumes modest volume recovery and stable input costs.
SAIL Share Price Target 2027
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2027 | ₹176 | ₹198 |
If SAIL sustains 5–7% earnings growth and benefits from government infrastructure spending, EPS could reach ₹6.40–₹6.80 by FY27. Assuming a P/E of 26–28x, the 2027 target range is justified.
SAIL Share Price Target 2028
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2028 | ₹190 | ₹220 |
By 2028, benefits from modernization (e.g., Durgapur & Rourkela upgrades) should reflect in margins. A P/E of 27–29x on projected EPS of ₹6.80–₹7.30 supports the ₹190–₹220 band.
SAIL Share Price Target 2029
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2029 | ₹204 | ₹244 |
Long-term tailwinds include India’s steel consumption doubling by 2030 and PLI schemes in metal-intensive sectors. If competition eases, EPS could reach ₹7.50–₹8.10 by FY29. At a P/E of 27–30x, the 2029 target is ₹204–₹244.
SAIL Share Price Target 2030
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2030 | ₹218 | ₹270 |
Over a five-year horizon, SAIL remains a low-growth, policy-driven PSU. A terminal P/E of 28–32x on FY30 EPS (~₹7.80–₹8.40) justifies the ₹218–₹270 range.
SAIL: Shareholding Pattern
| Category | Holding (%) |
|---|---|
| Promoters (Govt. of India) | 65.00% |
| Domestic Institutional Investors (DII) | 17.83% |
| Public & Retail | 12.63% |
| Foreign Institutional Investors (FII) | 4.54% |
High government ownership ensures policy alignment but limits float liquidity.
SAIL: Strengths vs Risks
Strengths:
- Sovereign backing with 65% GOI stake
- Integrated operations with captive mines
- Consistent dividend payer (1.07% yield)
- Strategic role in national infrastructure
Risks:
- Low ROE (3.91%) limits capital efficiency
- High debt (₹36,934 Cr) increases interest burden
- Vulnerable to coking coal and iron ore price swings
- Bureaucratic delays in decision-making
Investment Suitability
| Factor | Assessment |
|---|---|
| Risk Profile | Moderate |
| Ideal Time Horizon | 5+ years |
| Volatility | Lower than private steel peers |
| Dividend/Income Potential | Low but consistent (1.07% yield) |
| Best For | Conservative investors seeking PSU exposure with dividend safety |
Final Verdict
SAIL is a strategically important but financially mediocre PSU. While not in loss, its low returns and high leverage cap upside.
Our SAIL share price target 2026–2030 (₹162 to ₹270) reflects cautious optimism—rooted in policy support but tempered by execution risk. Upside is modest; downside is limited by asset value and dividends.
Disclaimer: Price targets are estimates based on publicly available data and sector analysis. They are not investment advice. Consult a SEBI-registered advisor before making decisions.
Sources
- Screener.in – SAIL Consolidated Page (FY2025 + TTM)
- Finology Ticker – SAIL Financials & Analysis
- Ministry of Steel – Annual Report 2025
- SAIL Investor Presentation (Q3 FY26, Jan 2026)
