Vardhman Special Steels Limited (VSSL.NS) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-57.8%

₹145.49

vs ₹344.50 price

Levered DCF

₹153.31

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

6.38

Safe zone

Rating

A-

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
P/E	17.03×	18.05×	19.16×	16.04×	9.18×	12.64×	46.98×	18.5×
P/B	1.63×	2.11×	2.44×	2.51×	1.67×	1.22×	0.41×	1.14×
P/S	1.18×	0.95×	1.06×	0.93×	0.68×	0.6×	0.2×	0.38×
EV / EBITDA	10.36×	10.1×	10.69×	9.7×	5.36×	6.5×	8.79×	10.68×
Gross margin	40.9%	14.2%	37.4%	35.0%	40.2%	42.5%	16.9%	13.6%
Operating margin	7.6%	6.6%	6.9%	6.5%	10.8%	8.6%	2.4%	4.2%
Net margin	7.0%	5.3%	5.5%	5.8%	7.4%	4.7%	0.4%	2.1%
Current ratio	2.9×	2.11×	2.38×	2.18×	2.27×	2.09×	1.47×	1.4×
Debt / equity	0.07×	0.15×	0.12×	0.22×	0.29×	0.41×	0.64×	0.92×
Interest coverage	11.22×	6.27×	6.18×	6.42×	8.53×	4.09×	0.79×	1.93×
Dividend yield	1.4%	1.0%	0.9%	0.9%	0.7%	0.0%	0.0%	0.0%
Payout ratio	23.7%	17.5%	17.7%	14.1%	6.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	9.6%	11.7%	12.7%	15.6%	18.2%	9.6%	0.8%	6.1%
Return on invested capital	7.1%	9.2%	10.3%	10.5%	12.7%	8.2%	-4.3%	6.6%
Return on assets	7.5%	8.2%	8.8%	9.7%	10.9%	5.5%	0.4%	2.5%
Free cash flow yield	-6.6%	-0.5%	4.2%	2.8%	2.5%	13.9%	59.4%	-24.0%
Earnings yield	5.9%	5.5%	5.2%	6.2%	10.9%	7.9%	2.0%	5.4%
Enterprise value	₹21.6B	₹17.9B	₹18.3B	₹17.5B	₹10.9B	₹7.5B	₹4.3B	₹7.4B
Net debt / EBITDA	0.42×	0.62×	0.44×	0.75×	0.8×	1.63×	5.37×	4.78×
Cash conversion cycle (days)	117	119	130	122	141	132	126	125