JSW Steel Share Price: 19% up or 10% down! Should you buy, sell or hold metal stock after Q4 earnings?

Shares of JSW Steel Limited remained in focus after the company reported a sharp rise in consolidated net profit for the March quarter of FY26, supported by a large exceptional gain linked to the slump sale of Bhushan Power & Steel Ltd (BPSL) steel undertaking.

The company posted a consolidated net profit of Rs 19,243 crore during the January-March quarter of 2025-26, compared with Rs 1,501 crore in the year-ago period.

JSW Steel Q4 Update

According to the company, the quarterly profit included an exceptional gain of Rs 17,888 crore, comprising Rs 18,051 crore gain from the slump sale of BPSL steel undertaking and a Rs 163 crore exceptional charge related to employee obligations arising from the implementation of the new labour code.

Excluding exceptional items, normalised profit after tax stood at Rs 3,475 crore during the quarter and Rs 8,698 crore for the full FY26.

Total income during the March quarter rose to Rs 51,521 crore from Rs 45,049 crore in the corresponding quarter of FY25.

For the full FY26, JSW Steel reported a consolidated net profit of Rs 25,508 crore against Rs 3,491 crore in FY25, while total income increased to Rs 1,86,718 crore from Rs 1,69,518 crore.

The board recommended a dividend of Rs 7.1 per equity share for FY26, involving a total payout of Rs 1,736 crore.

Brokerages remain bullish; HSBC sees highest upside

Brokerages largely maintained positive ratings on JSW Steel after the quarterly earnings, with several firms raising target prices citing deleveraging, expansion visibility and improving margins.

At the current market price (CMP) of Rs 1,296, HSBC Holdings plc has the most bullish target among major brokerages. HSBC maintained a “Buy” rating and raised its target price to Rs 1,540 from Rs 1,460, implying an upside potential of around 18.8 per cent.

Goldman Sachs retained its “Buy” recommendation and raised the target price to Rs 1,500 from Rs 1,490, indicating a potential upside of about 15.7 per cent from the current level.

JPMorgan Chase & Co. maintained an “Overweight” rating and increased the target price to Rs 1,415 from Rs 1,315. The revised target suggests an upside of nearly 9.2 per cent.

Macquarie Group retained its “Outperform” call with a target price of Rs 1,353, implying an upside of around 4.4 per cent.

Morgan Stanley maintained an “Overweight” stance and set a target price of Rs 1,330, implying a modest upside of about 2.6 per cent.

Morgan Stanley said the company reported good numbers and highlighted that margins are likely to expand further in Q1FY27. It also noted that the BPSL slump sale led to sharp deleveraging.

Macquarie said aggressive growth plans and India’s long-term steel demand outlook could support future cash flows and strengthen the balance sheet over time.

CLSA, Citi remain cautious; see limited downside

Some brokerages remained cautious despite the company’s strong earnings and expansion plans.

CLSA maintained a “Hold” recommendation and raised the target price to Rs 1,270 from Rs 1,200. The target is marginally below the current market price of Rs 1,296, implying a downside of nearly 2 per cent.

Citigroup Inc. retained a “Sell” call and increased the target price to Rs 1,165 from Rs 975. The target suggests a downside potential of around 10.1 per cent from current levels.

Analysts tracking the steel sector said concerns around steel price volatility, global demand trends and execution risks linked to large-scale expansion plans continue to influence cautious views from some brokerages.

However, many analysts believe the company’s deleveraging efforts and rising domestic steel demand could provide medium-term support to earnings growth.

Stock outperforms benchmark across time periods

JSW Steel shares closed 1.73 per cent higher at Rs 1,296.90 on May 14, 2026, gaining 22 points from the previous close.

The stock touched its 52-week high of Rs 1,306.80 on April 28, 2026, while the 52-week low stood at Rs 962.15 recorded on June 4, 2025. The company’s market capitalisation stood at Rs 3,17,542.20 crore.

JSW Steel is part of the Nifty 50 index and belongs to the iron and steel sector. The stock has outperformed the benchmark index across most time periods. Over the last week, JSW Steel delivered returns of 1.62 per cent against a decline of 2.01 per cent in the Nifty 50.

In the past month, the stock gained 6.56 per cent compared with a 2.24 per cent fall in the benchmark. On a year-to-date basis, shares have risen 10.84 per cent while the Nifty 50 declined 9.40 per cent.

Over the last year, the stock advanced 25.06 per cent against a 5.48 per cent drop in the index. Over three years and five years, the stock delivered returns of 84.04 per cent and 83.64 per cent, respectively, outperforming the Nifty 50 returns of 28.76 per cent and 61.40 per cent.