JSW Steel shares jump 5% after net profit surges 198% to Rs 717 crore: Here's what brokerages say

JSW Steel share price

• JSW Steel shares hit 52-week high after Q3 net profit jumps 198 percent YoY
• Brokerages remain bullish, with target prices implying over 10 percent upside
• Steel sales up 14% YoY; new capacities and demand to boost future growth

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The shares of JSW Steel jumped around 5 percent on January 27 after the company released its results for the October-December quarter of the ongoing financial year 2026. Brokerages remain bullish, with target prices implying strong upside potential from current levels.

The shares of the steel maker closed at Rs 1,223.20 apiece on Tuesday. Earlier during the day, the stock jumped further to hit a fresh 52-week high of Rs 1,230.40 apiece.

JSW Steel Q3 Results:

JSW Steel reported a consolidated net profit of Rs 2,139 crore for Q3 FY26, marking a 198 percent year-on-year (YoY) rise from Rs 717 crore net profit reported in Q3 FY25. The firm's revenue from operations rose 11 percent YoY to Rs 45,991 crore during the quarter under review.

The company’s steel sales grew 14 percent YoY to Rs 7.64 mt, while crude steel production rose 6 percent YoY to 7.48 mt.

Motilal Oswal on JSW Steel:

Motilal Oswal said the company’s revenue was in-line with estimates, mainly on account of strong volume, which was partially offset by muted NSR. “Adjusted EBITDA was largely in line with our estimate at INR66b (+19% YoY). It dipped 16% QoQ, mainly due to weak NSR and increased input costs,” it added.

JSTL reported a decent performance in 3QFY26, supported by volume growth, offsetting muted steel prices. We believe JSTL is well-placed with new capacities coming on-stream, strong domestic demand, and a rising share of value-added proportion in the sales mix. Its focus on increasing the captive share of iron ore and improving coal linkages will support earnings, the domestic brokerage said.

Motilal estimates double-digit revenue growth over FY26-FY28, driven by the ramp-up of new capacity and price recovery led by safeguard duty. The brokerage reiterated its ‘Buy’ rating for the stock, with a target price of Rs 1,350 apiece. This implies an upside potential of more than 15 percent from the stock’s previous closing price.

PL Capital on JSW Steel:

PL Capital upgraded the shares of JSW Steel to ‘Accumulate’ with a target price of Rs 1,292 apiece. This implies an upside potential of more than 10 percent from the stock’s previous closing price. It expects the company to improve its market share over the next few years due to its superior execution capabilities, downstream focus and significant deleveraging post JFE-BPSL deal.

“Q3 performance was tad weaker due to weak steel pricing, shutdown costs and deteriorated product mix on higher JVML contribution,” the domestic brokerage noted.

Follow all LIVE updates on Q3 results.