Coal India Ltd (COALINDIA) — share price & stock analysis

Market cap

₹2,67,925 Cr

P/E

8.6×

ROE

28.5%

vs own 10-yr valuation

65th pctile

Book value / share

₹193

EPS (TTM)

₹50.6

10-yr median P/E

7.4×

Revenue (FY26)

₹1,68,400 Cr

Profit after tax (FY26)

₹31,071 Cr

Weinstein stage

Stage 2 (24 weeks)

Data as of

1 July 2026

4 of the 6 things we track are currently moving the right way — most of the dashboard is turning up.

Where the levels actually stand: ROCE 35% — a high-quality engine; effectively no debt; margins mid-band. Momentum says which way things are moving; these say where they are.

Read this number for what it is: it measures the DIRECTION of change, not the quality of the business. A mediocre business getting better scores high here; a great one having a soft quarter scores low. Profit, sales and margins count double.

Earnings moved first — the price is still catching up

Since May 2016, earnings per share grew 124% while the stock is up 55%. The business has outrun its own share price.pricettm_eps

When profits grow faster than the price, the stock quietly gets cheaper while doing better — the market hasn’t fully caught up.

Today’s P/E of 8.6× is the middle of its own range against its own 10-year history (65th percentile) — neither a bargain nor a stretch, by its own standards.pe_ratio

Price is the weekly close (₹). EPS is trailing-twelve-month profit per share, anchored on Screener's own snapshots; between snapshots it is filled from price ÷ P/E (an exact identity), and any fill straying more than 18% from the neighbouring snapshots is dropped rather than shown. The lower panel is the P/E — what the market pays per rupee of profit; the dotted line is its long-run median (7.4×).

An uptrend that has held for 24 weeks

Every stock cycles through the same four seasons — a flat base (stage 1), an advance (2), a top (3), a decline (4). Right now this one is in Stage 2: advancing, 24 weeks in, confirmed.stage

The price sits above its rising 200-day average (₹431 today) — trends like this persist more often than they reverse, which is why the system rides them instead of guessing the top.dma_200

Beating NIFTY 500 for 32 weeks — relative strength is the market’s live opinion, and right now it is on this stock’s side.rs_mansfield

What would end it: two Friday closes in a row below the 200-day line. That is the house exit rule — mechanical, no debates.dma_200

Profits have now fallen two years running

Over 12 years, sales went from ₹70,608 Cr to ₹1,68,400 Cr (about 8% a year), and profit from ₹15,112 Cr to ₹31,071 Cr.revenuenet_profit

Sales jumped 23% last quarter

Mar 26 sales were ₹46,490 Cr, up 23% on the same quarter last year.revenue

Margins are compressing — 31% → 27% in a year

Of every ₹100 of sales, the company keeps ₹27.3 as operating profit (a year ago it kept ₹31.2).opm_pct

Zoom out and this is the page's quiet hero: annual operating margin bottomed at 20.7% in FY21 and has been rebuilt to 24.5% — that recovery, not sales alone, is what powers the profit growth elsewhere on this page.operating_profit

The gross margin barely moved (99% → 100%), so the change came from running costs — overheads are growing faster than sales.gpm_pctopm_pct

Profit grew 14% last quarter

Mar 26 profit after tax was ₹10,908 Cr, up 14% year on year.net_profit

The profits are real — they turn into cash

Over the last 5 profitable years, the business reported ₹1,52,843 Cr of profit and collected ₹1,67,359 Cr of operating cash — about 109% conversion.operating_cash_flownet_profit

When cash tracks profit this closely, the earnings need no asterisk.

The cash cycle is stable

One rupee now takes about 31 days to go out the door as materials and come back as collected cash.cash_conversion_cycle

Building hard — new capacity is under construction

The productive asset base has gone from ₹14,784 Cr (FY14) to ₹91,846 Cr, with another ₹15,834 Cr of capacity under construction right now.fixed_assetscwip

Work-in-progress is 17% of the existing asset base — that is a serious bet on future demand. Capacity like this shows up in sales with a lag; it is tomorrow’s growth being paid for today.cwip

The build is self-funded: the last 3 years' investing outflow (₹48,517 Cr) fits inside the operating cash the business generated (₹90,518 Cr).investing_cash_flowoperating_cash_flow

Debt is small — but no longer zero, and growing

For every ₹100 shareholders have put in (and left in), the company has borrowed ₹12 — total borrowings have grown from ₹178 Cr to ₹14,072 Cr over the window.borrowings

The equity base grew even faster, so the ratio stays comfortable — but a 79× rise in absolute borrowings deserves a name (acquisitions, capex), not a shrug. Watch whether it keeps compounding.borrowings

Every ₹100 kept in the business earns ₹35 — a high-quality engine

Return on capital employed is 35.0% (a year ago: 48.0%). This is the single best test of business quality: what the company earns on the money it keeps.roce_pct

The owners aren’t moving

Promoters hold 63.1%, essentially unchanged. Foreign funds own 8.4%, domestic funds 22.8%.promoters_pctfiis_pctdiis_pct

Not yet — the numbers don’t support the price

The numbers say be careful, and the price hasn’t fully caught up with the improvement.

Best thing in the data: cash generation rising (₹29,200 Cr → ₹43,215 Cr).operating_cash_flow

Biggest worry: free cash flow falling (₹19,124 Cr → ₹9,260 Cr).operating_cash_flow

One dissent worth hearing: our quality & safety lens reads positive — “Quality & Safety: 20.0/30 (non-financial). Earnings stability: 8/8 quarters profitable → 5/5. Return durability: Avg ROCE 55.8% over 5Y → 6/6. Margin quality: O”. When a lens disagrees with the committee, it is usually pointing at the thing that breaks first.

Machine-written research from Screener data — every number traces to its source column. Sector Alpha is not a SEBI-registered investment adviser; nothing here is a recommendation to buy or sell. Not investment advice.

Straight answers from the data