Steel Authority earnings rise as debt falls, expansion accelerates
Steel Authority of India’s H1 earnings rose sharply as debt declined, but expansion spending and higher coking coal costs remain key variables. OI Charts data showed the stock down 5.4% at ₹162, with futures long unwinding and ₹170–₹180 derivatives levels in focus.
after close1 source ↓machine-written, see hownot a recommendation
- SAIL close
- ₹162.00
- On the day
- -5.37%
- Futures OI, long unwinding
- -0.1%
- Put-call ratio
- 0.24
- Max pain
- ₹175.00
Steel Authority of India reported sharply higher first-half earnings for FY27, while second-quarter sales and turnover increased year on year. Debt declined, but higher coking coal costs pressured margins as the company prepared for significant expansion spending. Management indicated FY27 sales guidance of about 21 million tons. 📈
The latest market reaction was weaker. OI Charts data showed the stock at ₹162.00 on 28 Oct 2026, down 5.4% on the day, with volume of 24,146,697 shares. The stock was down 5.2% over five sessions and 12.0% over 20 sessions. Its 52-week range remained ₹124.00 to ₹209.70, leaving the latest close well below the yearly high.
Key derivatives signals were also different from the previous session:
• Futures open interest fell 0.1% while the price declined, indicating long unwinding rather than the earlier long build-up. Futures still traded at a 2.02% premium to the underlying.
• The put-call ratio was 0.24, showing relatively heavier call-side positioning. The largest call open interest remained at ₹180, while the largest put open interest was at ₹170.
• Max pain for the 23 Nov 2026 expiry was ₹175, with 26 days remaining as of the OI Charts reading.
The earnings improvement and lower debt support the company’s financial position, but expansion capital expenditure will raise funding requirements before new capacity contributes to volumes. Higher coking coal prices remain a margin risk for the steel producer if finished-steel prices do not offset the increase. The broader metals sector is balancing capacity growth against raw-material volatility and capital intensity. ⚙️
Traders will watch whether the stock stabilises around the ₹170 put-open-interest zone or remains below it, while ₹180 continues to mark the main call-side supply area. Further details on expansion spending, coking coal prices, quarterly volume delivery against the roughly 21-million-ton FY27 guidance and debt reduction will shape the next assessment. 🏭
Source: TradingView and news.google.com, 28 Oct 2026
Not investment advice. For informational purposes only.