Tata Steel share price: Shares of Tata Steel Ltd rose 2 percent to Rs 188.5 in morning trade on Wednesday, emerging among the top Nifty 50 gainers, as brokerages projected improving profitability in its Indian operations. However, analysts remained cautious about persistent losses in the UK and longer-term earnings risks in Europe.
UBS highlighted Tata Steel’s stronger-than-expected operating earnings and improving performance in the Netherlands. On the other hand, Nomura cut its target price despite retaining a bullish rating, citing weaker European earnings forecasts and potential risks to Tata Steel's captive iron ore supplies.
The stock has gained 3.4 percent so far in 2026, outperforming the Nifty 50, which has declined 3 percent during the same period. Tata Steel's market capitalisation stood at approximately Rs 2.35 lakh crore.
UBS sees stronger operating performance, but UK losses remain a concern
UBS maintained its Neutral rating on Tata Steel with a target price of Rs 220, implying approximately 19 percent upside from the previous close. The brokerage highlighted stronger-than-expected operating earnings in Q2 FY27, supported by improved steel realisations. It estimated consolidated EBITDA at Rs 10,500 crore, around 1 percent above its forecast and 6 percent higher than consensus estimates.