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Model Note · TATA STEEL LIMITED · 11 September 2026Page 1 of 2
Model Note
Prepared by the reader · not a MarketPing document
TATA STEEL LIMITED Discounted cash flow · base FY26
TATA STEEL LIMITED
Value per share, this model₹98
CMP 2026-09-10₹183.00
Difference(46.3)%
Growth the CMP implies21.5%/yr
This note states the assumptions and the arithmetic of one model of TATA STEEL LIMITED, built on its filed FY26 consolidated statements. The value is the outcome of the assumptions below and nothing else; it is not a fair value, a target or a recommendation.
Assumptions
Input
This model
Filed reference
Revenue growth, 5 years
6% a year
FY26 6.2% · 5-yr CAGR 8.2%
EBITDA margin
14.4%
FY26 14.4% · 5-yr average 14.2%
Depreciation · capex, % of revenue
5.1% · 6.3%, fading to 1.2× depreciation
FY26 5.1% · 6.3%
Working capital, % of added revenue · tax
7.5% · 32.6%
27 working-capital days · effective 32.6%
Discount rate
11.00%
1-yr beta 1.08
After FY31
5% flat · mid-year discounting
—
Net debt · non-controlling interest · non-operating investments
₹83,497 · ₹0 · ₹0 cr
FY26 net debt ₹83,497 cr
Shares
1,248.60 crore
1,248.60 crore today
Source: SEBI results XBRL as filed with BSE/NSE, exchange prices; the reader's assumptions.
Projected cash flow to the firm
₹ crore
FY26
FY27
FY28
FY29
FY30
FY31
Revenue
2,32,140
2,46,068
2,60,832
2,76,482
2,93,071
3,10,656
growth %
6.2
6.0
6.0
6.0
6.0
6.0
EBITDA
33,320
35,434
37,560
39,813
42,202
44,734
Depreciation
(11,955)
(12,549)
(13,302)
(14,101)
(14,947)
(15,843)
NOPAT
14,400
15,424
16,349
17,330
18,370
19,473
less capex
(14,559)
(15,502)
(16,315)
(17,170)
(18,068)
(19,012)
less working-capital build
—
(1,045)
(1,107)
(1,174)
(1,244)
(1,319)
Free cash flow to firm
—
11,427
12,230
13,088
14,005
14,985
Present value
10,846
10,457
10,082
9,720
9,369
Source: the model; base year as filed.
Every figure is the reader's model over filed numbers · No rating, target or fair value is expressedmarketping.in
Model Note · TATA STEEL LIMITED · 11 September 2026Page 2 of 2
From enterprise to equity
PV of the 5 explicit years
50,474
PV of the terminal value (76% of EV)
1,55,625
Enterprise value
2,06,100
less net debt
(83,497)
less non-controlling interest
0
add non-operating investments
0
Equity value
1,22,603
÷ 1,248.60 crore shares
₹98
Source: the model.
Sensitivity, ₹ per share
WACC ↓ · terminal growth →
4.0%
4.5%
5.0%
5.5%
6.0%
10.0%
104
116
131
149
172
10.5%
91
101
113
128
146
11.0%
79
88
98
110
125
11.5%
70
77
86
96
107
12.0%
61
68
75
83
93
Source: the model; n/a where terminal growth reaches the discount rate.
Statement
This note is the reader's own model over publicly filed information: SEBI results XBRL filed with BSE and NSE and exchange price data, assembled by MarketPing software; every assumption above is the reader's. It contains no research recommendation, no price target and no opinion by MarketPing on the merits of any security, and is not a research report within the meaning of the SEBI (Research Analysts) Regulations, 2014, Regulation 2(1)(w)(vii). Historical per-share figures are on the current share count. Where a figure is unavailable the table shows a dash rather than an estimate. Nothing here constitutes investment advice, an offer or a solicitation.
Every figure is the reader's model over filed numbers · No rating, target or fair value is expressedmarketping.in
