Mahamaya Steel Industries Ltd. (MAHASTEEL) AI Stock Analysis

• Market Cap: ₹12.00B
• Dividend Yield: N/A
• Average Volume (3M): 5.39K
• Price to Earnings (P/E): 118.5
• Beta (1Y): 0.52
• Revenue Growth: 11.83%
• EPS Growth: 124.74%
• Country: IN
• Employees: 462
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): 1.15
• Shares Outstanding: 16,434,400
• 10 Day Avg. Volume: 9,525
• 30 Day Avg. Volume: 5,388
• PEG Ratio: 4.34
• Price to Book (P/B): 2.87
• Price to Sales (P/S): 0.53
• P/FCF Ratio: -1.27K
• 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: 66 Neutral
• Price Target: ₹804.00 ▼(-21.77% Downside)

The score is mainly supported by improving financial performance (revenue growth, better gross margins, stable operating margins) and strong trend momentum. This is meaningfully offset by an expensive valuation (very high P/E) and overheated technical signals (high RSI/Stoch), which increase downside risk if momentum cools.

Positive Factors

Consistent revenue & gross margin improvement

Sustained revenue expansion combined with rising gross margins indicates durable demand and better cost control across operations. This supports stable EBIT/EBITDA margins, enhances internal funding for capex or deleveraging, and improves resilience to cyclical industry swings.

Improving financial leverage and ROE

A declining debt-to-equity trend and improved return on equity signal strengthening capital structure and more efficient use of equity. Reduced leverage lowers interest burden and increases financial flexibility, enhancing ability to invest or withstand steel-cycle downturns over the medium term.

Positive operating cash generation

Consistent positive operating cash flow and a healthy OCF-to-net-income ratio show the core business converts profit into cash. That cash generation underpins working capital needs, supports discretionary investment or debt paydown, and is a durable source of financial strength.

Negative Factors

Low net profit margin

Despite top-line and gross margin gains, a relatively low net profit margin constrains retained earnings and free cash available for reinvestment or debt reduction. This lowers buffers against cyclical weakness and limits the pace at which the company can self-fund strategic initiatives.

Volatile free cash flow

Intermittent negative free cash flow indicates capital spending or working capital swings can absorb operating cash, forcing reliance on external funding in weaker periods. Persistent FCF volatility impairs consistent deleveraging and raises long-term funding risk for growth capex.

Balance sheet still needs strengthening

Although leverage trends are positive, remaining debt and suboptimal asset utilization mean limited headroom for large investments or extended downturns. In a cyclical steel industry, a less robust balance sheet amplifies downside risk and can raise borrowing costs over time.

Mahamaya Steel Industries Ltd. Business Overview & Revenue Model

Company Description

Mahamaya Steel Industries Limited manufactures and sells structural steel products in India. The company provides angles, H-beams, joists, channels, billets, blooms, rounds, flats, railway sleepers, strips, girders, etc. It serves construction, automobile, railway, and power industries. The company was formerly known as Rajesh Strips Limited and changed its name to Mahamaya Steel Industries Limited in 2009. Mahamaya Steel Industries Limited was incorporated in 1988 and is based in Raipur, India.

How the Company Makes Money

Mahamaya Steel Industries Ltd. generates revenue primarily through the sale of its steel products, which include rebar, wire rods, and structural steel. The company's revenue model is driven by both direct sales to construction companies and distributors, as well as long-term contracts with major industrial clients. Key revenue streams include bulk orders for large-scale construction projects and ongoing supply agreements with manufacturers. Additionally, MAHASTEEL benefits from strategic partnerships with suppliers and distributors, enhancing its market reach and operational efficiency. The company also invests in technology and process improvements to reduce production costs and increase profitability, further contributing to its earnings.

Mahamaya Steel Industries Ltd. Financial Statement Overview

Summary

Solid income statement trends with consistent revenue growth and improved gross margin, supported by stable EBIT/EBITDA margins. Balance sheet leverage is improving, but still has room to strengthen. Cash flow is positive operationally, though free cash flow has been volatile and negative in some years.

Income Statement

Mahamaya Steel Industries Ltd. has shown consistent revenue growth over the years, with a notable increase from 2021 to 2025. The gross profit margin improved significantly from 2023 to 2025, indicating better cost management. The EBIT and EBITDA margins are stable, showing operational efficiency. However, net profit margin remains relatively low, suggesting potential areas for improvement in managing expenses.

Balance Sheet

The company's debt-to-equity ratio has decreased over time, indicating improved financial leverage. The return on equity has improved due to increased net income. However, the equity ratio indicates that a significant portion of assets is financed by equity, which is typical for the steel industry. Continued focus on reducing debt and enhancing asset utilization can strengthen the balance sheet further.

Cash Flow

Operating cash flow has been positive, but free cash flow has shown fluctuations, with negative values in some years. The operating cash flow to net income ratio is healthy, indicating efficient cash generation from operations. Focus on stabilizing free cash flow through better capital expenditure management would enhance cash flow stability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.43B	8.02B	7.82B	6.50B	4.93B	2.50B
Gross Profit	867.13M	1.50B	309.60M	184.87M	287.21M	202.11M
EBITDA	156.47M	218.06M	205.90M	165.13M	172.27M	131.00M
Net Income	71.44M	76.01M	67.17M	54.43M	48.96M	8.78M
Balance Sheet
Total Assets	0.00	2.44B	2.33B	2.25B	2.05B	2.24B
Cash, Cash Equivalents and Short-Term Investments	7.58M	18.47M	16.07M	4.66M	170.65M	43.65M
Total Debt	0.00	460.32M	408.43M	432.16M	452.91M	810.01M
Total Liabilities	-1.49B	951.20M	918.61M	904.53M	765.00M	1.13B
Stockholders Equity	1.49B	1.49B	1.41B	1.34B	1.29B	1.11B
Cash Flow
Free Cash Flow	0.00	-3.35M	51.48M	-94.40M	390.84M	-68.03M
Operating Cash Flow	0.00	88.46M	142.79M	17.71M	440.14M	-42.15M
Investing Cash Flow	0.00	-108.21M	-56.30M	-112.39M	-50.58M	5.31M
Financing Cash Flow	0.00	13.04M	-75.18M	-52.78M	-262.62M	53.22M

Mahamaya Steel Industries Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1027.70
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:MAHASTEEL, the sentiment is Neutral. The current price of 1027.7 is above the 20-day moving average (MA) of 821.52, above the 50-day MA of 832.59, and above the 200-day MA of 510.63, indicating a neutral trend. The MACD of -30.08 indicates Positive momentum. The RSI at 28.76 is Positive, neither overbought nor oversold. The STOCH value of <0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:MAHASTEEL.

Mahamaya Steel Industries Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAHASTEEL	66 Neutral	₹12.00B	118.53	―	―	11.83%	124.74%
MANAKSTEEL	64 Neutral	₹4.00B	15.81	―	―	49.22%	49.59%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
TIRUPATIFL	60 Neutral	₹4.24B	76.81	―	―	-0.94%	-48.46%
SALSTEEL	57 Neutral	₹3.53B	-28.03	―	―	0.19%	-2962.74%
SHAHALLOYS	52 Neutral	₹1.32B	99.73	―	―	-76.23%	―
JINDALPHOT	49 Neutral	₹14.36B	9.35	―	―	―	―

Mahamaya Steel Industries Ltd. Corporate Events

Mahamaya Steel Industries Reports Strong November Sales

Mahamaya Steel Industries Ltd. reported its sales figures for November 2025, achieving a total of 17,742 metric tons. This announcement highlights the company’s operational performance and its ongoing commitment to maintaining robust sales volumes, which may positively impact its market positioning and stakeholder confidence.