🚫 Avoid
Listed
Iron & Steel Products
Rajputana Stainless Limited IPO
₹255 Cr · Fresh Issue & OFS · Iron & Steel Products
Price Band
₹116 – ₹122
GMP (Grey Market)
—
No GMP data yet
Issue Size
₹255 Cr
Fresh Issue & OFS
Market Cap
₹1019.53 Cr
At upper band
P/E Ratio
25.6x
P/S: 1.1x
Listing Date
19 Mar 2026
BSE & NSE
IPO Timeline
✓
Opens
09 Mar 2026
✓
Closes
11 Mar 2026
✓
Allotment
12 Mar 2026
✓
Refund
13 Mar 2026
✓
Listing
19 Mar 2026
IPO India Hub: Strong Avoid
Conviction
3/10
The company faces severe operational headwinds with revenue collapsing 46% year-on-year (FY0: ₹502.8 Cr vs FY-1: ₹937.5 Cr) and a 2-year revenue CAGR of -25.9%, indicating structural demand weakness in its core stainless steel products segment. While the P/E of 25.6x appears only 1.11× sector midpoint, the 4.9% net margin and negative growth trajectory make this valuation unjustifiable for a declining business.
Listing Performance
Issue Price
₹122
Allotment price
Listing Price
₹123.95
+1.6% on listing day
Current Price (CMP)
₹189.9
+55.7% vs issue
Listed On
19 Mar 2026
BSE & NSE
Our Analysis — Key Points
✓ Strength
Strong balance sheet and ROCE
Debt-to-equity ratio of 0.66x is conservative and well below the 1.5x threshold, providing financial flexibility. ROCE of 31.72% demonstrates efficient capital deployment in the core business, which is a structural strength if revenue stabilizes.
✓ Strength
Promoter commitment and capex plans
Promoter holding remains solid at 57.01% post-issue, signaling confidence in long-term value creation. The company plans ₹18.57 Cr capex for forward integration into stainless steel seamless pipes, which could diversify revenue streams if execution succeeds.
⚠ Risk
Severe revenue contraction and demand collapse
Revenue fell 46% in FY0 to ₹502.8 Cr from ₹937.5 Cr in FY-1, with a 2-year CAGR of -25.9%. This is not cyclical weakness but a structural loss of market share or customer base, raising questions about competitive positioning and product relevance.
⚠ Risk
Weak profitability margins amid downturn
Net profit margin of 4.9% is thin and offers no cushion for further revenue pressure. EBITDA margin of 7.92% is also compressed, suggesting the company cannot absorb cost inflation or pricing pressure without significant margin erosion.
₹ Valuation
Valuation masks deteriorating fundamentals
At 25.6x P/E (1.11× the 23x sector midpoint), the valuation appears reasonable on paper. However, this multiple is unjustifiable given the -25.9% revenue CAGR and 4.9% NPM; investors are paying for a business in structural decline with no clear turnaround catalyst visible in the IPO prospectus.
👁 Watch
Monitor FY1 revenue and order book trends
Investors must track quarterly revenue and order book growth post-listing to confirm whether the FY0 collapse was a one-time event or the start of a prolonged downturn. If revenue remains flat or declines further in H1 FY1, the stock will likely re-rate downward.
Top Analyst Reviews
| Analyst / Firm | Rating | Known For | Review |
|---|---|---|---|
| IPO India Hub Our independent review |
Original analysis based on DRHP & public financials | This page | |
| Dilip Davda Chittorgarh.com |
India's most followed independent IPO analyst | Search on Chittorgarh → | |
| Capital Market (CM Rating) CapitalMarket.com |
Widely-cited "New Issue Monitor" reports | Search on CapitalMarket → | |
| ICICI Securities ICICIdirect Research |
SEBI-registered broker research desk | Visit ICICIdirect → | |
| IPO Guru Analyst Leaderboard ipoguru.in |
Ranks 49 analysts by real IPO outcome accuracy | View leaderboard → |
External links go to each platform's IPO section — search for "Rajputana Stainless Limited" to find the specific review. IPO India Hub does not represent the accuracy of third-party ratings.
Company Snapshot
Revenue
₹932.16 Cr
Net Profit
₹39.85 Cr
Industry
Iron & Steel Products
Issue Type
Fresh Issue & OFS
Promoters
SHANKARLAL DEEPCHAND MEHTA, BABULAL D MEHTA, JAYESH NATVARLAL PITHVA AND YASHKUMAR SHANKARLAL MEHTA
Lead Managers
Nirbhay Capital Services
Quick Actions
Frequently Asked Questions
Avoid. The company faces severe operational headwinds with revenue collapsing 46% year-on-year (FY0: ₹502.8 Cr vs FY-1: ₹937.5 Cr) and a 2-year revenue CAGR of -25.9%, indicating structural demand weakness in its core stainless steel products segment. While the P/E of 25.6x appears only 1.11× sector midpoint, the 4.9% net margin and negative growth trajectory make this valuation unjustifiable for a declining business.
GMP data is not yet available for this IPO. Check our GMP Live page for the latest updates closer to the listing date.
Lot size details will be updated when the DRHP is filed. The price band is ₹116 – ₹122.
The IPO opens on 09 Mar 2026. It closes on 11 Mar 2026. Allotment is expected on 12 Mar 2026. Refunds initiate on 13 Mar 2026. Listing on BSE and NSE is on 19 Mar 2026.
The lead managers for the IPO are Nirbhay Capital Services. Check the SEBI filing for the registrar details.
The IPO listed on 19 Mar 2026 at ₹123.95 against an issue price of ₹122 (+1.6% on listing day). The current market price (CMP) is approximately ₹189.9 (+55.7% vs issue).
Our analysis recommends <strong>Avoid</strong>. We suggest skipping this IPO before the issue closes on 11 Mar 2026. The company faces severe operational headwinds with revenue collapsing 46% year-on-year (FY0: ₹502.8 Cr vs FY-1: ₹937.5 Cr) and a 2-year revenue CAGR of -25.9%, indicating structural demand weakness in its core stainless steel products segment. While the P/E of 25.6x appears only 1.11× sector midpoint, the 4.9% net margin and negative growth trajectory make this valuation unjustifiable for a declining business.
Our analysis recommends <strong>Avoid</strong>. We suggest skipping this IPO before the issue closes on 11 Mar 2026. The IPO is priced at a P/E of 25.6x. Market cap at issue price is ₹1019.53 Cr. As with all IPOs, please read the DRHP and assess your own risk tolerance before investing.
You can apply via UPI through your broker's trading app (Zerodha, Upstox, Fyers, etc.) or via ASBA through your net banking portal. The issue closes on 11 Mar 2026, so apply before that date. Step 1: Log in to your broker or bank app. Step 2: Go to IPO section and search for 'Rajputana Stainless Limited'. Step 3: Enter the number of lots and UPI ID. Step 4: Accept the mandate on your UPI app.
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