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JSW Steel vs UltraTech Cement — which is better value?

Steel and cement — the same construction demand, different cost curves. This page sets the two side by side on their filed records, what each share price assumes, and what decides each one's value.

FairStocks Research
Updated 15 Nov 2026 · 3 min read
| NSE: JSWSTEEL NSE: ULTRACEMCO
On this page ▾
  1. Two businesses
  2. The records side by side
  3. What each price assumes
  4. What decides each value
  5. What could go wrong
  6. Which is better value?
  7. Related comparisons
  8. Questions
In 30 seconds

Today's prices ask more of JSW Steel than of UltraTech Cement.

At current prices, buyers of JSW Steel are assuming about 16% growth against 9% in its own record; for UltraTech Cement it is 19% against 14%. That shows which share needs more to go right — not which is cheaper. How far each trades from its estimated fair value is in the full valuations.

  • Valuation method: both on discounted cash flow.
  • Size: the two are worth roughly the same on the stock market.
  • Record: On revenue the two have grown at much the same pace: JSW Steel compounded at about 13% a year (FY2018–FY2026) and UltraTech Cement at about 13% (FY2019–FY2026).
  • What to watch: steel spreads at JSW Steel; cement prices at UltraTech Cement.
JSW SteelUltraTech Cement
Price₹1,348₹12,100
Market cap₹4.11L Cr₹3.57L Cr
P/E14.540.5
P/B4.114.65
Fair value 🔒 sign in₹0,000₹0,000
Upside 🔒 sign in+00%+00%
Valued onDiscounted cash flowDiscounted cash flow
See both fair values, side by sideEvery step of each working, the scenarios and the reports Free during launch →

01Two businesses

JSW SteelJSWSTEEL

One of India's two largest steelmakers

JSW Steel, the flagship of Sajjan Jindal's JSW group, is one of India's two largest steel producers. Its biggest plant is at Vijayanagar in Karnataka, with others at Dolvi in Maharashtra and in Odisha, Tamil Nadu and Chhattisgarh, and it bought Bhushan Power & Steel out of insolvency in 2021.

The biggest cement maker in India

UltraTech Cement, part of the Aditya Birla group through Grasim Industries, is India's largest cement producer, with plants and grinding units across the country and a capacity well ahead of its nearest rival. It also sells ready-mix concrete and building products, and has announced a move into cables and wires.

02The records side by side

On revenue the two have grown at much the same pace: JSW Steel compounded at about 13% a year (FY2018–FY2026) and UltraTech Cement at about 13% (FY2019–FY2026). By revenue, JSW Steel is about 2.1 times the size of UltraTech Cement. JSW Steel kept 13.8% of revenue as net profit in FY2026; UltraTech Cement kept 9.3% of revenue as net profit in FY2026.

JSW Steel. The swings in profit — a peak in FY2022, then sharp drops — are the steel cycle at work: prices and raw-material costs moved far more than volumes.

Full ten-year tables and charts are on each company's page: JSW Steel · UltraTech Cement.

03What each price assumes

Work backwards from each share price and you can see what buyers are taking for granted — the rate each company must sustain to justify what it costs, against what its own record supports.

Price implies
16%
growth
Record supports
9%
growth
Price implies
19%
growth
Record supports
14%
growth

04What decides each one's value

  • Steel spreadsThe gap between steel prices and raw-material costs drives profit far more than volumes do.
  • Capacity expansionJSW keeps adding capacity; returns on that capex decide long-term value.
  • Cement pricesRealisation per tonne moves with regional demand and how disciplined producers are on price.
  • Capacity utilisationPlants are expensive to build; running them closer to capacity lifts returns.

05What could go wrong

  • A downturn in steel pricesSteel profits can fall by half or more in a weak year.
  • Coking coal costsMost coking coal is imported and its price is volatile.
  • A price warRapid expansion by the Adani group's cement companies could pressure prices.
  • Construction slowdownsWeaker housing or government infrastructure spending cuts demand.

06Which is better value?

JSW Steel
Fair value per share
₹0,000
Upside
+00%
UltraTech Cement
Fair value per share
₹0,000
Upside
+00%

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08Questions people ask

Is JSW Steel or UltraTech Cement better value?

That turns on how far each share trades from its estimated fair value. Both figures, with every step of the working, are in the full valuations, free to view once you sign in. On the public numbers, JSW Steel trades at 14.5 times earnings and 4.11 times book value, and UltraTech Cement at 40.5 times earnings and 4.65 times book value — but multiples alone mislead when two businesses work differently, which is why each is valued on the method that fits it.

What is the difference between JSW Steel and UltraTech Cement?

JSW Steel, the flagship of Sajjan Jindal's JSW group, is one of India's two largest steel producers. UltraTech Cement, part of the Aditya Birla group through Grasim Industries, is India's largest cement producer, with plants and grinding units across the country and a capacity well ahead of its nearest rival.

Are JSW Steel and UltraTech Cement valued the same way?

Yes — both on discounted cash flow, so their workings compare like for like.

What does today's price assume for JSW Steel and UltraTech Cement?

Worked backwards from the share price, JSW Steel needs about 16% growth and UltraTech Cement about 19% growth, against 9% and 14% in their own records.

About this comparison

Written by the FairStocks research team from both companies' filed accounts; figures refresh as new results are filed. Each company is valued on the method that fits it — see a fully worked example or the valuation guides. Educational research, not investment advice.

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