Maithan Alloys Ltd. (MAITHANALL) AI Stock Analysis

• Market Cap: ₹27.13B
• Dividend Yield: 1.65%
• Average Volume (3M): 3.24K
• Price to Earnings (P/E): 8.3
• Beta (1Y): 1.16
• Revenue Growth: 21.44%
• EPS Growth: -46.24%
• Country: IN
• Employees: 521
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): 30.54
• Shares Outstanding: 29,111,550
• 10 Day Avg. Volume: 2,509
• 30 Day Avg. Volume: 3,238
• PEG Ratio: 0.05
• Price to Book (P/B): 0.70
• Price to Sales (P/S): 1.46
• P/FCF Ratio: 134.07
• 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: 77 Outperform
• Price Target: ₹1,000.00 ▼(-1.44% Downside)
• Action: Upgraded Date: 01/13/26
• Date: Action: Upgraded 01/13/26

The score is driven primarily by strong financial strength (low leverage and solid profitability) and attractive valuation (low P/E). Technicals are supportive with price above key moving averages and positive MACD, though RSI near 68 indicates momentum is getting stretched. Cash flow quality remains the main constraint due to weak operating cash conversion versus reported earnings.

Positive Factors

Balance sheet strength

A low debt-to-equity ratio and high equity ratio give Maithan strong financial flexibility to fund maintenance, invest in capacity or weather cyclical steel demand. High ROE indicates efficient use of equity, supporting durable capital structure and lower financial risk over months.

Improving profitability margins

Wider gross and net margins point to sustained pricing power, improved cost control or favorable product mix in ferroalloys. If maintained, these margins support stronger internal cash generation, higher retained earnings and resilience to input-cost swings over the medium term.

Revenue growth and positive free cash flow

Consistent top-line growth plus a shift to positive free cash flow signal improving cash conversion trends and demand durability for ferroalloys. This combination enhances capacity to fund capex, reduce volatility from cycles, and gradually strengthen operational liquidity.

Negative Factors

Weak operating cash conversion

A very low operating cash-to-income ratio means reported profits are not converting into cash, suggesting working-capital stress, receivable or inventory buildup. Over months this can limit capital spending, dividend sustainability and reduce financial flexibility despite net profits.

Decline in EBIT margin

A material drop in EBIT margin indicates rising operating pressures or cost escalation (ore, reductants, power) and weaker operational efficiency. Unless structural cost or productivity improvements occur, lower operating margins can erode earnings resilience during commodity cycles.

Volatile earnings growth

Significant negative EPS growth reflects earnings volatility, likely from cyclical ferroalloy prices or one-offs. Persistent volatility reduces earnings predictability, complicates planning for reinvestment or payouts, and raises execution risk for sustaining long-term returns.

Maithan Alloys Ltd. Business Overview & Revenue Model

Company Description

Maithan Alloys Limited manufactures and exports ferro alloys. The company provides ferro manganese, silico manganese, and ferro silicon products. It is also involved in the generation and supply of wind power. The company serves steel companies in India and internationally. Maithan Alloys Limited was incorporated in 1985 and is based in Burdwan, India.

How the Company Makes Money

Maithan Alloys makes money mainly by manufacturing and selling manganese-based ferroalloys (notably ferromanganese and silicomanganese) to steel manufacturers. Revenue is generated from (1) domestic sales to Indian steelmakers and (2) export sales to overseas customers, with realized pricing generally linked to ferroalloy market prices, steel industry demand cycles, and input costs. Its earnings are driven by the spread between sales realizations for ferroalloys and the cost of key inputs (including manganese ore, reductants, and power), as well as plant utilization and operating efficiency. null

Maithan Alloys Ltd. Financial Statement Overview

Summary

Strong profitability and a robust balance sheet (low debt-to-equity of 0.16 and solid ROE of 16.82%) support the score, but weaker cash conversion (operating cash flow to net income of 0.08) and an EBIT margin decline temper it.

Income Statement

Maithan Alloys Ltd. shows a solid income statement with consistent revenue growth and strong profitability metrics. The gross profit margin improved from 17.96% to 21.22%, indicating efficient cost management. The net profit margin also increased from 20.19% to 34.89%, reflecting robust bottom-line growth. However, a notable decrease in EBIT margin from 15.56% to 8.48% may indicate some operational challenges. Overall, the company demonstrates strong revenue and profit growth, though operational efficiency could be improved.

Balance Sheet

The balance sheet of Maithan Alloys Ltd. is robust, with a strong equity position and low leverage. The debt-to-equity ratio is low at 0.16, showcasing minimal reliance on debt financing. The return on equity is impressive at 16.82%, indicating effective utilization of shareholders' funds. The equity ratio stands at 77.28%, highlighting a stable financial structure with a high proportion of assets financed by equity. The company maintains a healthy balance sheet with low financial risk.

Cash Flow

Cash flow analysis reveals some challenges, despite an improvement in free cash flow from negative to positive $196 million. The operating cash flow to net income ratio is low at 0.08, suggesting that cash generation from operations is not keeping pace with net income. The free cash flow to net income ratio is also modest at 0.03. While the positive shift in free cash flow is a positive trend, operational cash flow generation remains an area for improvement.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	20.89B	18.06B	17.29B	28.85B	29.17B	15.78B
Gross Profit	4.37B	3.83B	3.15B	9.28B	13.78B	3.97B
EBITDA	6.79B	8.97B	4.71B	6.61B	11.03B	3.18B
Net Income	4.45B	6.30B	3.49B	4.99B	8.18B	2.31B
Balance Sheet
Total Assets	52.62B	48.49B	34.68B	31.40B	27.51B	18.98B
Cash, Cash Equivalents and Short-Term Investments	22.29B	20.39B	18.05B	19.68B	9.19B	8.17B
Total Debt	4.44B	5.88B	302.10M	197.70M	52.00M	486.90M
Total Liabilities	11.26B	10.94B	3.25B	3.35B	4.27B	3.77B
Stockholders Equity	41.23B	37.46B	31.42B	28.04B	23.23B	15.22B
Cash Flow
Free Cash Flow	993.70M	196.00M	-4.80B	9.57B	1.20B	1.16B
Operating Cash Flow	1.19B	497.70M	-4.11B	9.68B	2.37B	1.17B
Investing Cash Flow	1.37B	-5.91B	3.71B	-9.62B	-1.05B	-7.61B
Financing Cash Flow	-1.94B	5.22B	-86.90M	-51.00M	-621.00M	370.80M

Maithan Alloys Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1014.60
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:MAITHANALL, the sentiment is Negative. The current price of 1014.6 is above the 20-day moving average (MA) of 964.79, above the 50-day MA of 1008.97, and below the 200-day MA of 1066.04, indicating a bearish trend. The MACD of -31.47 indicates Positive momentum. The RSI at 33.26 is Neutral, neither overbought nor oversold. The STOCH value of 25.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:MAITHANALL.

Maithan Alloys Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAITHANALL	77 Outperform	₹27.13B	8.35	―	1.65%	21.44%	-46.24%
KSL	76 Outperform	₹28.55B	13.58	―	1.36%	-0.46%	4.85%
VSSL	75 Outperform	₹22.64B	20.43	―	1.03%	-1.47%	-15.20%
IMFA	68 Neutral	₹66.82B	15.33	―	1.05%	-6.18%	-23.70%
SUNFLAG	62 Neutral	₹39.28B	20.39	―	0.28%	6.44%	36.54%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
JAYNECOIND	59 Neutral	₹72.25B	28.77	―	―	20.00%	1413.14%

Maithan Alloys Ltd. Corporate Events

Maithan Alloys discloses Rs 2.88 crore income-tax demand notice for FY 2024-25

Maithan Alloys Ltd. has disclosed that India’s Income Tax Department has issued a demand notice under Section 156 of the Income-tax Act, 1961, seeking Rs 2.88 crore for the assessment year 2024-25 due to an alleged short payment of income tax. The notice, received by email on March 9, 2026 and formally acknowledged on March 10, 2026, represents a financial outflow risk for the company, though management is considering filing a rectification request under Section 154, which could potentially mitigate or revise the demand.

The company has categorized this as an event requiring disclosure under Regulation 30 of SEBI’s Listing Obligations and Disclosure Requirements, underscoring its material relevance for shareholders and other stakeholders. While the amount is not described as disrupting operations, the tax dispute introduces an element of regulatory and financial uncertainty, and the firm has clarified that a slight delay in reporting the notice to stock exchanges was inadvertent and unintentional.

Maithan Alloys Buys 0.01% Stake in Bank of India as Investment

Maithan Alloys Ltd. has disclosed the acquisition of equity shares in public sector lender Bank of India via stock exchange transactions, after crossing the regulatory disclosure threshold. The company purchased 602,688 shares, representing about 0.01% of Bank of India’s equity, for a total cash outlay of Rs. 9.36 crore on March 11, 2026.

The investment is described as a portfolio purchase aimed at deriving long- and short-term investment returns, with Maithan Alloys clarifying it does not intend to acquire control or influence management at Bank of India. The move modestly diversifies Maithan Alloys’ treasury investments into the banking sector, while leaving its core operations and governance structure unchanged, as no related-party or regulatory approvals were involved.

Maithan Alloys Buys Minority Stake in Bank of Baroda as Portfolio Investment

Maithan Alloys Ltd. has disclosed that it has acquired equity shares of public sector lender Bank of Baroda via stock exchange transactions, crossing the materiality threshold that requires reporting under Indian listing regulations. The company invested Rs 15.01 crore on 6 January 2026 to buy 490,000 shares, representing about 0.01% of Bank of Baroda’s equity, and has clarified that this is a treasury investment made at arm’s length, with no intention to seek management control or related-party involvement, signalling a financial rather than strategic move that modestly diversifies Maithan’s investment portfolio into the banking sector.

Maithan Alloys Invests Rs 25 Crore in Bank of India Shares as Portfolio Stake

Maithan Alloys Ltd. has disclosed that it acquired equity shares of public sector lender Bank of India via stock exchange transactions, crossing the disclosure threshold under Indian listing regulations. The company invested Rs 25.04 crore in cash on 6 January 2026 to purchase 1,648,000 Bank of India shares, representing about 0.04% of the bank’s equity, and classified the position as a financial investment aimed at long-term and short-term returns rather than a move to seek management control, underscoring a portfolio-style allocation into a large, growing public sector bank without strategic or related-party implications.