Tata Steel Q2 earnings beat estimates, here's what brokerages say
Tata Steel shares: The brokerage said Tata was one of the largest players in India's steel sector.
- Nov 13, 2025,
- Updated Nov 13, 2025 9:07 AM IST
Shares of Tata Steel are in focus today after the firm reported a 272% rise in consolidated net profit at Rs 3,102 crore for the quarter ended September 30, 2025 against a net profit of Rs 833 crore in the year-ago period.
Brokerage Motilal Oswal has a price target of Rs 210, an upside of 19% against the current price of Rs 177. Assigning a buy call to the Tata Group stock, the brokerage said the stock is trading at 6.8x EV/EBITDA and 1.9x FY27E P/B. It upgraded the stock from Neutral to BUY with an SOTP-based TP of Rs 210 per share on Sep’27 estimate.
The brokerage said Tata was one of the largest players in India's steel sector. It is set to benefit from improving steel price realizations, operating efficiencies, and the strong domestic demand outlook. The implementation of the safeguard duty is expected to help domestic operations achieve better realization.
Morgan Stanley has an overweight call on the stock with a price target of Rs 200.
It said standalone EBITDA at Rs 8150 crore was 4% above estimate, led by good cost control. Consolidated EBITDA at Rs 8900 crore bn was 6% ahead of the global brokerage's estimates. Consolidated PAT also beat estimates of Rs 2960 crore. Net debt rose QoQ from Rs 848 00 crore to Rs 87000 crore partly via adverse forex impact. Referring to the cost savings plan, the brokerage said the firm achieved 94% of planned savings in H1.
Jefferies has a Buy call on Tata Steel with a price target of Rs 200.
EBITDA rose 20% QoQ (56% YoY) and 7% above Jefferies estimates, led by better-than-expected performance by India and Netherlands operations. Standalone volumes rose 9% YoY, led by rampup of recently commissioned 5mtpa capacity; EBITDA/tonne fell 2% QoQ, though EBITDA/tonne expanded QoQ in Netherlands, but EBITDA loss widened QoQ in UK. Pre-exceptional PBT was up 47% QoQ and 13% above Jefferies estimates.
CLSA has a hold call with a price target of Rs 170.
The brokerage said consolidated adjusted 2QFY26 EBITDA of Rs 9000 cr (up 20% QoQ) was largely in line, with lower realisations offset by lower costs (partly due to cost take-out initiatives). Standalone volume rose 9% YoY on capacity ramp-up.
Meanwhile, the Tata group firm's consolidated revenue from operations rose 9% to Rs 58,689 crore in Q2FY26 compared to Rs 53,905 crore in Q2FY25. Consolidated earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose by over 46% year-on-year to Rs 9,106 crore.
Shares of Tata Steel are in focus today after the firm reported a 272% rise in consolidated net profit at Rs 3,102 crore for the quarter ended September 30, 2025 against a net profit of Rs 833 crore in the year-ago period.
Brokerage Motilal Oswal has a price target of Rs 210, an upside of 19% against the current price of Rs 177. Assigning a buy call to the Tata Group stock, the brokerage said the stock is trading at 6.8x EV/EBITDA and 1.9x FY27E P/B. It upgraded the stock from Neutral to BUY with an SOTP-based TP of Rs 210 per share on Sep’27 estimate.
The brokerage said Tata was one of the largest players in India's steel sector. It is set to benefit from improving steel price realizations, operating efficiencies, and the strong domestic demand outlook. The implementation of the safeguard duty is expected to help domestic operations achieve better realization.
Morgan Stanley has an overweight call on the stock with a price target of Rs 200.
It said standalone EBITDA at Rs 8150 crore was 4% above estimate, led by good cost control. Consolidated EBITDA at Rs 8900 crore bn was 6% ahead of the global brokerage's estimates. Consolidated PAT also beat estimates of Rs 2960 crore. Net debt rose QoQ from Rs 848 00 crore to Rs 87000 crore partly via adverse forex impact. Referring to the cost savings plan, the brokerage said the firm achieved 94% of planned savings in H1.
Jefferies has a Buy call on Tata Steel with a price target of Rs 200.
EBITDA rose 20% QoQ (56% YoY) and 7% above Jefferies estimates, led by better-than-expected performance by India and Netherlands operations. Standalone volumes rose 9% YoY, led by rampup of recently commissioned 5mtpa capacity; EBITDA/tonne fell 2% QoQ, though EBITDA/tonne expanded QoQ in Netherlands, but EBITDA loss widened QoQ in UK. Pre-exceptional PBT was up 47% QoQ and 13% above Jefferies estimates.
CLSA has a hold call with a price target of Rs 170.
The brokerage said consolidated adjusted 2QFY26 EBITDA of Rs 9000 cr (up 20% QoQ) was largely in line, with lower realisations offset by lower costs (partly due to cost take-out initiatives). Standalone volume rose 9% YoY on capacity ramp-up.
Meanwhile, the Tata group firm's consolidated revenue from operations rose 9% to Rs 58,689 crore in Q2FY26 compared to Rs 53,905 crore in Q2FY25. Consolidated earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose by over 46% year-on-year to Rs 9,106 crore.