SEBI Reg. Investment Advisor

Download App
Help Center Pricing
Money Works 4 Me Logo MoneyWorks4Me
Login Get Free Account
Sign Up

MoneyWorks4Me

Log In Sign Up Schedule Free 15‑min Call
Login Get Free Account
Sign Up

INVESTMENT INSIGHTS

Check Before You Invest : Scan Steels Ltd

BSE: 511672 NSE: SCANSTL ISIN: INE099G01011
  |   Sector:  Metals & Mining   |   Industry:  Steel & Iron Products

Snapshot

Q.1 Which industry/sub-sector does Scan Steels Ltd belong to?
Scan Steels Ltd belongs to the Metals & Mining sector, operating specifically within the Steel & Iron Products segment.
Q.2 Is Scan Steels Ltd a good quality company?
Scan Steels Ltd is a average quality company, based on a somewhat consistent 10 year financial track record.
Q.3 Is Scan Steels Ltd undervalued or overvalued?
Scan Steels Ltd appears Somewhat Undervalued, as its key valuation ratios are below with their past averages.
Q.4 Is Scan Steels Ltd a good buy now?
Scan Steels Ltd is not a good buy now, based on weak price trend analysis suggesting prices may fall. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of Scan Steels Ltd?
Scan Steels Ltd revenue growth is -18.3% for FY-2025 , which is below its 5 year CAGR of 3.4% , indicating slower growth.
Q.2 Gross Profit margin of Scan Steels Ltd?
Scan Steels Ltd Gross profit margin which is the profit after deduction of direct costs, is 5.3% for FY-2025 , which is in line with its 5 year median of 5.3% , indicating stable margins.
Q.3 Operating Profit Margin of Scan Steels Ltd?
Scan Steels Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 5.81% for FY-2025 , which is in line with its 5 year median of 5.81% indicating stable margins.
Q.4 Net Profit Margin of Scan Steels Ltd?
Scan Steels Ltd Net Profit Margin is 2.48% for FY-2025 , is in line with with its 5 year median of 2.48%, indicating stable margins.
Current Level Historic Median
Gross Profit Margin 5.3 5.3
Operating Profit Margin 5.81 5.81
Net Profit Margin 2.48 2.48
Q.5 Return on Asset of Scan Steels Ltd?
Scan Steels Ltd Return on Asset is 3.33%, which is in line with its 5 year historical median of 3.33%, indicating stable asset utilization efficiency.
Q.6 Return on Equity (ROE) of Scan Steels Ltd?
Scan Steels Ltd Return on equity is 4.84% for FY-2025 , which is in line with its historical median of 4.84%, indicating the business is making similar use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of Scan Steels Ltd?
Scan Steels Ltd Return on capital employed is 6.95% for FY-2025 , which is below its estimated weighted average cost of capital(WACC) 14%, indicating value preservation.
Q.8 Cash conversion cycle of Scan Steels Ltd?
Scan Steels Ltd Cash conversion cycle is 85 days, above its historical median of 66 days, indicating deteriorated working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 1.34 1.65
ROE 4.84 4.84
ROCE 6.95 8.92
Cash Conversion Cycle 85 days 66 days
Q.9 Debt to Equity ratio of Scan Steels Ltd?
Scan Steels Ltd Debt-to-Equity ratio is 0.15 , which is lower with the industry average of 0.32 , indicating lower debt levels in the industry.
Q.10 Debt to cash flow from operations of Scan Steels Ltd?
Scan Steels Ltd Debt to cash flow from operations is 8.85 , which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Scan Steels Ltd?
Promoters hold 48.89% of the Scan Steels Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Scan Steels Ltd vs industry peers?
Scan Steels Ltd revenue CAGR is 3.40% , compared to the industry median CAGR of 7.41% , indicating stable growth and maintaining its market share.
Profit Metrics
Current Level Industry Median
Revenue 789.2 364.5
Gross Profit 41.8 11.6
Operating Profit 46 15
Net Profit 20 6
Operating Efficiency
Current Level Industry Median
Asset Turnover 1.34 1.27
ROE 4.84 8.12
ROCE 6.95 11.38
Cash Conversion Cycle (days) 84.56 72

Valuation & price assessment

Q.1 Stock return of Scan Steels Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of 8% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price 8% 1.4% 4.3% -7.5%
Q.3 Valuation ratios of Scan Steels Ltd vs historical?
The current P/E is lower that its historical median.
Q.4 How do the current valuation ratios measure up against the historic numbers and the current industry numbers?
Valuation Ratios Current Historic Median Industry Median
Price to Earnings 11.82 71.05 23.93
Price to Book 0.45 0.34 1.46
Price to Sales 0.24 0.15 0.74
EV to EBITDA 6.38 4.51 9.89

Check more companies

1. Welspun Corp
2. Shyam Metalics&Ener
3. Gallantt Ispat
4. Sarda Energy&Min.
5. Godawari Power & Isp
6. Ratnamani Metals
7. Jindal Saw
8. Usha Martin
9. NMDC Steel
10. Jayaswal Neco Inds
2026 ©The Alchemists Ark Pvt. Ltd. All rights reserved. MoneyWorks4Me® is a registered trademark of The Alchemists Ark Pvt. Ltd.

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through:

×