The Steel Authority of India Limited (SAIL) is a leading steel-making company in India. It is a state-owned enterprise and one of the largest steel producers in the country. SAIL was founded in 1973 and is headquartered in New Delhi.
SAIL operates and manages five integrated steel plants located in Bhilai, Rourkela, Durgapur, Bokaro, and Burnpur. It also has a specialized steel plant in Salem. The company produces a wide range of steel products, including hot-rolled coils, cold-rolled coils, galvanized steel, merchant products, and railway products.
Apart from steel production, SAIL is also involved in mining iron ore, coal, and limestone and operates captive power plants to meet its energy needs. The company has a strong presence in the domestic market and exports its products to various countries.
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Business Model of Steel Authority of India Limited (SAIL)
The business model of Steel Authority of India Limited (SAIL) can be described as follows:
1. Core Business: SAIL is primarily engaged in the production and sale of steel and related products. It operates integrated steel plants across India, including Bhilai, Rourkela, Durgapur, Bokaro, and Burnpur, among others. The company produces a wide range of products, including flat steel products, long steel products, and special steel products.
2. Vertical Integration: SAIL follows a strategy of vertical integration by owning and operating various stages of the steel production process. This includes captive iron ore mines, coal mines, and limestone mines, which help in ensuring a steady supply of raw materials.
3. Diversification: SAIL has also diversified into areas such as engineering and technology services, power generation, and railway wagon manufacturing. This diversification allows the company to capture additional revenue streams and reduce its dependency on the steel industry’s cyclicality.
4. Cost Optimization: SAIL focuses on cost optimization through various measures, such as backward integration, operational efficiency, and process improvements. It aims to reduce input costs and enhance productivity to remain competitive in the market.
5. Marketing and Distribution: SAIL has an extensive marketing and distribution network to reach customers across different sectors. It serves various industries, including infrastructure, construction, automobile, and fabrication. The company also exports its products to several countries.
6. Research and Development: SAIL emphasizes research and development activities to improve its product portfolio, enhance manufacturing processes, and develop new steel grades. This allows the company to cater to evolving market demands and stay technologically advanced.
Shareholding of Steel Authority of India Limited (SAIL)
As of June 2023, Shareholding of SAIL are as –
- Promotors- 65.00%.
- Retails & Others- 17.56%.
- Other Domestic Institutions – 10.21%.
- Foreign Institution- 3.82%.
- Mutual Funds- 3.41%.
Steel Authority of India Limited (SAIL) Share
SAIL is listed on the National Stock Exchange and the Bombay Stock Exchange and has a large number of shareholders. The government of India holds the majority stake in the company.
As of 21 August, 2023, SAIL share price on the NSE was INR 85.75/-, SAIL Share 52 week high at Rs. 96.15/- & 52 week low Rs.73.20/-. P/E ratio is 22.39.
| Company Name | Steel Authority of India Limited (SAIL) |
| Share Name | SAIL |
| Sector | Steel Manufacturing |
| Headquater | New Delhi |
| Foundation | 1973 |
| Key Person | Amarendu Prakash (Chairperson) |
| Market Cap | 35,415 Crores Rs. |
| Revenue | 1,05,802 Crore Rs |
| Official Website | Click Here |
SAIL Share Price Target 2023, 2024, 2025, 2026, 2027, 2028, 2029, 2030, 2040, 2050
| Year | First Target | Second Target |
| 2023 | 87 | 94 |
| 2024 | 96 | 104 |
| 2025 | 112 | 125 |
| 2026 | 130 | 154 |
| 2027 | 162 | 188 |
| 2028 | 195 | 230 |
| 2029 | 236 | 266 |
| 2030 | 275 | 320 |
| 2040 | 1450 | 1520 |
| 2050 | 4500 | 4680 |
Note:- “That these share price targets for “SAIL Share” are only provided for the purpose of reference and that this prediction will only hold true in the event that there is optimism in the market. Any uncertainties regarding the company or the current state of the global market will not be addressed in this analysis.”
Annual Result Summary of SAIL
Annual result summary of Steel Authority of India Limited (SAIL) :
- Net profit: Rs. 1,490.8 crore, up from Rs. 1,354.7 crore in the same quarter last year.
- Revenue: Rs. 24,822.83 crore, up from Rs. 21,224.93 crore in the same quarter last year.
- Production: 3.9 million tonnes of crude steel, up from 3.6 million tonnes in the same quarter last year.
- Sales: 3.6 million tonnes of finished steel, up from 3.3 million tonnes in the same quarter last year.
- Export: 713,000 tonnes of finished steel, up from 645,000 tonnes in the same quarter last year.
- EBITDA: Rs. 3,909.3 crore, up from Rs. 3,452.9 crore in the same quarter last year.
- PAT: Rs. 1,490.8 crore, up from Rs. 1,354.7 crore in the same quarter last year.
Last 5 Year History of SAIL Share
In Last 5 year SAIL Share give 15% returns to its Investors.
| Year | Share Price |
| Aug- 2018 | 75.40 |
| Aug- 2019 | 31.35 |
| Aug- 2020 | 42.45 |
| Aug- 2021 | 119 |
| Aug- 2022 | 82 |
Steel Authority of India Limited (SAIL) Share Price Target 2023
The company’s revenue is expected to grow at a CAGR of 7%-8% in the next few years, The company’s profit margins are expected to improve due to the implementation of new technologies and the focus on cost optimization.
SAIL share price target 2023 are as follows –
| Target Year | 1st Target | 2nd Target |
|---|---|---|
| 2023 | ₹87 | ₹94 |
Steel Authority of India Limited (SAIL) Share Price Target 2024
SAIL operates in the steel industry, which is highly cyclical and influenced by global economic conditions. The demand for steel is expected to grow in the coming years, driven by increased infrastructure development, urbanization, and manufacturing activities.
SAIL share price target 2024 are as follows –
| Target Year | 1st Target | 2nd Target |
|---|---|---|
| 2024 | ₹96 | ₹104 |
Steel Authority of India Limited (SAIL) Share Price Target 2025
SAIL is confident of maintaining its strong performance in the coming quarters. The company is targeting to produce 16.5 million tonnes of crude steel and sell 15.5 million tonnes of finished steel in the current financial year.
SAIL share price target 2025 are as follows –
| Target Year | 1st Target | 2nd Target |
|---|---|---|
| 2025 | ₹112 | ₹125 |
Steel Authority of India Limited (SAIL) Share Price Target 2026
The automobile and construction sectors are also major consumers of steel. These sectors are growing rapidly, and this is driving the demand for steel. Steel authority of india also increased capacity to fulfill demand of steel.
SAIL share price target 2026 are as follows –
| Target Year | 1st Target | 2nd Target |
|---|---|---|
| 2026 | ₹130 | ₹154 |
Steel Authority of India Limited (SAIL) Share Price Target 2027
SAIL is a government-owned enterprise, and its future is closely linked to government policies. The Indian government’s initiatives to promote infrastructure development, boost domestic manufacturing, and improve ease of doing business will shape SAIL’s growth prospects.
SAIL share price target 2027 are as follows –
| Target Year | 1st Target | 2nd Target |
|---|---|---|
| 2027 | ₹162 | ₹188 |
Steel Authority of India Limited (SAIL) Share Price Target 2028
SAIL aims to maintain its position as a leading steel producer in India and expand its presence in domestic and international markets by focusing on cost efficiencies, product diversification, and sustainable practices.
SAIL share price target 2028 are as follows –
| Target Year | 1st Target | 2nd Target |
|---|---|---|
| 2028 | ₹195 | ₹230 |
Steel Authority of India Limited (SAIL) Share Price Target 2029
SAIL could acquire a smaller steel company in order to expand its capacity in a particular region. For example, SAIL could acquire a steel company in the southern or western part of India in order to expand its presence in those regions.
SAIL share price target 2029 are as follows –
| Target Year | 1st Target | 2nd Target |
|---|---|---|
| 2029 | ₹236 | ₹266 |
Steel Authority of India Limited (SAIL) Share Price Target 2030
The company’s performance was driven by the strong demand for steel in the domestic market. The company also benefited from the increase in prices of steel. SAIL plays a significant role in the Indian steel industry and contributes to the country’s economic growth and development.
SAIL share price target 2030 are as follows –
| Target Year | 1st Target | 2nd Target |
|---|---|---|
| 2029 | ₹275 | ₹320 |
Dividend History of SAIL Share
Here is a brief overview of SAIL Share dividend history over the past few years:
- In 2023, Company declared a final dividend of Rs. 1 per share.
- In 2022, Company declared a final dividend of Rs. 2.25 per share.
- In 2021, Company declared a final dividend of Rs. 2.50 per share.
- In 2020, Company declared a final dividend of Rs. 4 per share.
Joint Venture & Subsidiaries of SAIL
Steel Authority of India Limited (SAIL) is a state-owned steel-making company in India. It has several joint ventures and subsidiaries operating in different sectors. Some of the notable joint ventures and subsidiaries of SAIL are:
1. Bhilai Steel Plant – Bhilai Steel Plant is the flagship plant of SAIL and is one of India’s largest and oldest steel plants. It produces various steel products, including rails, plates, and structural steel.
2. Rourkela Steel Plant – Rourkela Steel Plant is another major plant of SAIL located in Rourkela, Odisha. It produces hot rolled coils, cold rolled coils, and other steel products.
3. Durgapur Steel Plant – Durgapur Steel Plant is located in Durgapur, West Bengal. It produces steel products like rails, structurals, bars, and rods.
4. IISCO Steel Plant – IISCO Steel Plant is situated in Burnpur, West Bengal. It produces steel products through modernized facilities after undergoing a massive modernization and expansion.
5. Visvesvaraya Iron and Steel Plant – Visvesvaraya Iron and Steel Plant is located in Bhadravati, Karnataka. It produces special grade steels and pig iron.
6. Alloy Steels Plant – Alloy Steels Plant is located in Durgapur, West Bengal. It specializes in the production of specialized alloy steels.
7. Salem Steel Plant – Salem Steel Plant is situated in Salem, Tamil Nadu. It produces stainless steel and other specialty steel products.
8. Bokaro Steel Plant – Bokaro Steel Plant is a separate entity but has a partnership with SAIL. It is one of India’s largest steel plants and produces a wide range of steel products.
9. SAIL Refractory Unit – SAIL Refractory Unit is a subsidiary of SAIL that manufactures refractories, which are essential for the steel production process.
10. SAIL Management Training Institute – SAIL Management Training Institute is responsible for training and developing future leaders and executives for SAIL.
FAQs
Yes, Steel Authority of India Limited often distributes dividends to its shareholders, subject to the company’s financial performance and board approval.
The future prediction of SAIL share price is bullish, with some analysts predicting that it could reach up to 96.922 INR in the next few years.
The share price of SAIL is affected by a number of factors, including:* The demand for steel in India and the world. * The prices of raw materials, such as iron ore and coal. * The cost of production. * The financial performance of SAIL. * The overall economic conditions.
There are always risks associated with investing in shares. Some of the risks of investing in SAIL shares include:* The price of the shares could go down. * SAIL could face financial problems. * The overall economic conditions could deteriorate.
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