Motilal Oswal: SAIL’s High Leverage And Fixed Costs Remain Key Concerns
A worker observes operations from a platform at the finishing line of the steel tube mill at the Steel Authority of India Ltd. (SAIL) Rourkela Steel Plant (RSP) in Odisha (Photographer Dhiraj Singh/Bloomberg)

Motilal Oswal: SAIL’s High Leverage And Fixed Costs Remain Key Concerns

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Motilal Oswal Report

Steel Authority of India Ltd. remains exposed to any industry downturn given its high fixed cost structure despite showing improvement in the last quarter result, according to Motilal Oswal Financial Services.

The brokerage house maintains its estimates and 'Neutral' rating for financial year 2021-2022 on the stock. It however said leverage remains elevated at approximately 9 times net debt-to-Ebitda, which is a key concern.

Click on the attachment to read the full report:

Motilal Oswal SAIL Result Update.pdf

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