Shares of Tata Steel are in a short-term correction, turning oversold on charts even as the parent index Sensex recovered during the same period. Tata Steel shares slipped 6% in a week and 10% in a month. Tata Steel stock has slumped 4.14% in three months. The 30-stock index rose 1253 points or 1.59% in a month. The index is up 948 pts or 1.24% in a week and gained 3.24% in three months. 

Shares of Tata Steel, the largest steel producer of India and one of the oldest in the world (established in 1907), have been falling due to plunging global steel prices caused by Chinese overcapacity, margin compression from rising coking coal costs, ongoing restructuring drag in its European operations, and lower than estimated net profit in Q4 (announced on May 18, 2026).  

The metal stock has a RSI of 29.1, turning oversold on charts. In terms of technicals, the Tata Group stock trades lower than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day, 150 day and 200 day moving averages.

In the current session, Tata Steel shares fell 1.26% to Rs 187.75 against the previous close of Rs 190.15. Market cap of the Tata Group firm slipped to Rs 2.34 lakh crore. The metal stock has clocked returns of 10.47% in six months and gained 71% in three years. 

Brokerage Antique has a buy call on Tata Steel with a price target of Rs 235. 

"Tata Steel (with 75% flat products in its portfolio) is ramping up its 5 mtpa Kalinganagar blast furnace and 2.2 mtpa cold rolling mill complex which would aid volume growth (and improve product mix), and along with cost optimization initiatives would aid in EBITDA growth (partially offset by higher coking coal costs). Furthermore, Carbon Border Adjustment Mechanism (CBAM) implementation (along with potentially stricter import quotas) should support European domestic steel prices (curb imports) and aid Tata Steel’s European operations. Our preferred pick in the sector is Tata Steel (TP of Rs 235)," said Antique. 

SBI Securities has assigned a price target of Rs 240 to Tata Steel stock. 

The brokerage said for FY27, the management has guided for an incremental sales volume growth of over 2 million tonne. In the ongoing qurter Q1, the management expects India’s realisations to improve by Rs 6,000/tonne supported by stronger steel realisations and auto contract revisions. On cost front, coking coal costs are expected to increase sequentially by $15/tonne for India operations.

UBS has a neutral stance on the stock with a price target of Rs 220. 

On the other hand, Kotak Institutional Equities maintains a sell stance on Tata Steel due to weak growth visibility and rich valuations.