JSW Steel is in the spotlight following the announcement of its Q4 FY25 results and mixed responses from leading brokerages. The company reported a 13.5% year-on-year increase in consolidated net profit at ₹1,501 crore, while revenue declined 3.1% YoY to ₹44,819 crore. EBITDA came in at ₹6,378 crore, reflecting an EBITDA margin of 14.2%. The board also declared a 280% final dividend (₹2.80 per share).
Brokerages react on JSW Steel stock after Q4 earning results: Macquarie vs Morgan Stanley
Macquarie has maintained an Outperform rating on JSW Steel, with a target price of ₹1,034, implying a 2.5% upside from the current market price. The brokerage highlighted that standalone EBITDA was ahead of expectations, mainly due to lower-than-expected per tonne costs, despite flattish realisations.
Macquarie expects Q1 realisations to rise by over ₹3,000 per tonne, driven by demand and pricing. It also sees input cost moderation led by coking coal, which could expand margins. The company has guided for an annual capex of $2.3–2.5 billion over FY26–28, aimed at scaling value-added product capabilities and reducing costs.
In contrast, Morgan Stanley has maintained an Equal-weight rating with a target price of ₹1,000, slightly below CMP. MS noted that standalone EBITDA was 5% below estimates, although consolidated EBITDA came in above forecasts. The firm flagged weakness in overseas subsidiary performance but acknowledged management’s guidance for 10% volume growth and 8–10% domestic demand growth in FY26.
Morgan Stanley also took note of JSW’s reduction in net debt, aided by cash generation and working capital release, and commented on the BPSL resolution plan, which remains under legal review.
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