Kalyani Steels Ltd (KSL) AI Stock Analysis

• Market Cap: ₹30.67B
• Dividend Yield: 1.36%
• Average Volume (3M): 2.47K
• Price to Earnings (P/E): 11.8
• Beta (1Y): 1.46
• Revenue Growth: -0.46%
• EPS Growth: 4.85%
• Country: IN
• Employees: 94
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): 14.33
• Shares Outstanding: 43,653,060
• 10 Day Avg. Volume: 3,130
• 30 Day Avg. Volume: 2,469
• PEG Ratio: 4.33
• Price to Book (P/B): 1.76
• Price to Sales (P/S): 1.68
• P/FCF Ratio: 9.33
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: ₹943.00 ▲(26.49% Upside)

Kalyani Steels Ltd's strong financial performance is the most significant factor, supported by consistent revenue growth and stable margins. Technical analysis suggests short-term bullish momentum, though caution is advised due to potential overbought conditions. The valuation is reasonable, but not compellingly attractive.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term expansion and stability.

Margin Sustainability

Stable margins reflect the company's ability to manage costs and maintain profitability, ensuring financial health and competitive positioning.

Balance Sheet Health

A strong balance sheet with low debt-to-equity ratio enhances financial flexibility, allowing for strategic investments and resilience against downturns.

Negative Factors

Cash Flow Fluctuations

Variability in cash flow can impact the company's ability to fund operations and growth initiatives, necessitating careful financial planning.

Debt Management

While low debt is positive, it may limit growth opportunities if the company is overly conservative in leveraging for expansion.

Employee Base

A small employee base may constrain the company's ability to scale operations quickly, potentially impacting growth and innovation capacity.

Kalyani Steels Ltd Business Overview & Revenue Model

Company Description

Kalyani Steels Limited manufactures and sells iron and steel products. The company provides rolled bars for various automotive applications, including crankshaft, camshaft, connecting rods, gears, transmission shafts, axle beams, steering knuckles, and others; rolled bars for engineering applications comprising alloyed steels for use in energy, railways, defense, fasteners, material handling, etc.; and steel for use in the earthmoving, cement, sugar, steel, coal, ship-building, and oilfield industries, as well as general engineering equipment. It also offers round cast for seamless tube industry; and machined bars for aluminum smelting industry. The company serves various component manufacturers of commercial vehicles, two wheelers, diesel engines, bearings, tractors, turbines, and rail in India and internationally. Kalyani Steels Limited was incorporated in 1973 and is headquartered in Pune, India.

How the Company Makes Money

Kalyani Steels Ltd generates revenue through the sale of its steel products, which are primarily supplied to automotive and industrial customers. The company operates on a business-to-business (B2B) model, establishing long-term contracts and partnerships with OEMs (Original Equipment Manufacturers) and other industrial players, ensuring a steady demand for its products. Key revenue streams include sales from forged and rolled steel products, as well as specialty steel tailored for specific applications. Additionally, KSL benefits from economies of scale and operational efficiencies, which help enhance profit margins. The company may also engage in strategic collaborations with other industry players, further expanding its market reach and driving growth.

Kalyani Steels Ltd Financial Statement Overview

Summary

Kalyani Steels Ltd demonstrates strong financial performance with consistent revenue growth, stable profit margins, and efficient asset management. The balance sheet is robust with a low debt-to-equity ratio, and cash flow generation is strong despite past fluctuations.

Income Statement

Kalyani Steels Ltd has shown impressive growth in revenue over the years, with a consistent upward trajectory. The gross profit margin and net profit margin have remained stable, indicating effective cost management and operational efficiency. The company has also maintained strong EBIT and EBITDA margins, reflecting robust core operations.

Balance Sheet

The balance sheet reveals a strong equity position with a healthy equity ratio, indicating financial stability. The debt-to-equity ratio is low, suggesting prudent financial leverage management. Return on Equity (ROE) is commendable, showcasing efficient use of shareholders' funds to generate profit.

Cash Flow

Cash flow analysis indicates strong free cash flow generation, recovering from previous negative periods. The operating cash flow to net income ratio is solid, ensuring operational activities generate sufficient cash. However, fluctuations in free cash flow in past years highlight the need to monitor capital expenditures.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	19.63B	19.82B	19.59B	18.99B	16.96B	11.66B
Gross Profit	5.22B	5.57B	5.29B	4.28B	4.41B	3.51B
EBITDA	4.23B	3.73B	4.20B	3.02B	3.85B	2.63B
Net Income	2.66B	2.56B	2.49B	1.67B	2.43B	1.90B
Balance Sheet
Total Assets	0.00	27.32B	25.73B	23.51B	22.58B	16.50B
Cash, Cash Equivalents and Short-Term Investments	7.47B	7.48B	5.87B	7.48B	9.73B	6.25B
Total Debt	0.00	4.38B	5.96B	5.06B	4.38B	1.73B
Total Liabilities	-18.92B	8.41B	8.93B	8.61B	8.90B	5.01B
Stockholders Equity	18.92B	18.91B	16.80B	14.89B	13.67B	11.53B
Cash Flow
Free Cash Flow	0.00	3.57B	-2.58B	-2.37B	1.87B	393.74M
Operating Cash Flow	0.00	3.82B	3.02B	-1.26B	3.62B	553.93M
Investing Cash Flow	0.00	-1.35B	-2.83B	1.53B	-4.74B	-2.19B
Financing Cash Flow	0.00	-2.52B	-96.75M	-390.48M	1.23B	1.60B

Kalyani Steels Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 745.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:KSL, the sentiment is Negative. The current price of 745.5 is above the 20-day moving average (MA) of 735.26, below the 50-day MA of 763.78, and below the 200-day MA of 807.30, indicating a bearish trend. The MACD of -11.62 indicates Positive momentum. The RSI at 30.74 is Neutral, neither overbought nor oversold. The STOCH value of 14.25 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:KSL.

Kalyani Steels Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KSL	76 Outperform	₹30.67B	11.76	―	1.36%	-0.46%	4.85%
VSSL	75 Outperform	₹26.19B	24.46	―	1.03%	-1.47%	-15.20%
PPL	66 Neutral	₹5.31B	10.00	―	1.39%	4.38%	-45.96%
SUNFLAG	62 Neutral	₹45.06B	22.36	―	0.28%	6.44%	36.54%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
STEELXIND	54 Neutral	₹10.93B	31.90	―	―	5.31%	30.14%
MUKANDLTD	50 Neutral	₹18.54B	28.66	―	1.50%	-5.63%	-34.36%

Kalyani Steels Ltd Corporate Events

Kalyani Steels to Acquire 8.64% Stake in Renewable Energy SPV for Captive Power

Kalyani Steels Ltd has entered into share subscription and shareholders’ agreements to acquire an 8.64% equity stake in Clean Renewable Energy KK 1A Pvt Ltd, a special purpose vehicle of Hero Rooftop Energy Pvt Ltd that is engaged in electricity generation but has yet to report operating turnover. The cash investment of Rs 5.19 crore, which is not a related-party transaction, is aimed at sourcing captive renewable power for Kalyani Steels under India’s group captive scheme, a move that is expected to support the company’s energy security, reduce power costs over time and advance its transition toward cleaner energy in line with regulatory frameworks under the Electricity Act, 2003.

Kalyani Steels Increases Stake in DGM Realties to 99.92%

Kalyani Steels Ltd has completed the conversion of its Fully Convertible Debentures (FCDs) in its subsidiary, DGM Realties Private Limited, into equity shares, thereby increasing its stake to 99.92%. This strategic move enhances Kalyani Steels’ control over DGM, which holds a valuable land parcel near the Bengaluru Mysuru Highway Corridor, potentially benefiting the company’s business development and distribution network.

Kalyani Steels Reports Stable Q3 Profits Amid Revenue Dip

Kalyani Steels Limited has released its unaudited financial results for the quarter ending September 30, 2025, showing a slight decrease in revenue compared to the same period last year. Despite the decline in revenue, the company reported a stable profit before tax, indicating effective cost management and operational efficiency. The results reflect the company’s resilience in maintaining profitability amidst fluctuating market conditions, which is crucial for stakeholders and investors.