Bihar Sponge Iron (BOM:500058) GF Value Rank: 3 (As of Aug. 22, 2026) — 67% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
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Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

BOM:500058 Bihar Sponge Iron Ltd BOM:500058
52 GF Score
Price ₹12.17
GF Value ₹10.17
Valuation Modestly Overvalued
! 5 Warning Signs
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What is Bihar Sponge Iron GF Value Rank?

Bihar Sponge Iron BOM:500058 -5.59% 52 GF Value Rank is 3 as of Aug. 22, 2026, which is 67% below its 10-year median of 9.00. GuruFocus rates BOM:500058 with a GF Score™ of 52/100 and a GF Value™ of ₹10.17 (Modestly Overvalued). The stock has 5 warning signs investors should review.

Bihar Sponge Iron has the GF Value Rank of 3.

GF Value Rank evaluates the exclusive GuruFocus valuation and performance of a stock, rated on a scale from 1 to 10. It is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

A higher score indicates a stock with a relatively low valuation and substantial potential for outperformance. Conversely, a lower score often reflects stocks that are either highly overvalued or deeply undervalued, both of which tend to underperform.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.

Bihar Sponge Iron GF Value Rank Related Terms

BOM:500058 vs NUE, STLD, RS: GF Value Rank Comparison

For the Steel subindustry, Bihar Sponge Iron's GF Value Rank, along with its competitors' market caps and GF Value Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Bihar Sponge Iron GF Value Rank vs Steel Industry

For the Steel industry and Basic Materials sector, Bihar Sponge Iron's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Bihar Sponge Iron's GF Value Rank falls into.


BOM:500058
52GF Score
Bihar Sponge Iron Ltd BOM:500058
GF Value Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about GF Value Rank →
What does a GF Value Rank of 3 mean?
Bihar Sponge Iron (BOM:500058) has a GF Value Rank of 3 as of Aug. 22, 2026. GF Value Rank is given based on historical multiples along with past returns, growth and future estimates of the business' performance. View historical data on Bihar Sponge Iron and its competitors. This is 67% below median its historical median of 9.00. Over the past decade, Bihar Sponge Iron's GF Value Rank has ranged from 2.00 to 10.00.
Is Bihar Sponge Iron's GF Value Rank too high?
Bihar Sponge Iron's current GF Value Rank of 3 is 67% below median its 10-year median of 9.00. Over the past 10 years, this metric has ranged from a low of 2.00 to a high of 10.00. Overall, Bihar Sponge Iron has a GF Score™ of 52/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Bihar Sponge Iron's GF Value Rank compare to NUE and STLD?
Bihar Sponge Iron's GF Value Rank of 3 can be compared against companies in the Steel industry. Historically, Bihar Sponge Iron's own GF Value Rank has ranged from 2.00 to 10.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good GF Value Rank for a Steel company?
A good GF Value Rank depends on the Steel industry context. However, GF Value Rank should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high GF Value Rank mean?
A high GF Value Rank can signal that a stock is expensive relative to its fundamentals. GF Value Rank is given based on historical multiples along with past returns, growth and future estimates of the business' performance. View historical data on Bihar Sponge Iron and its competitors. Bihar Sponge Iron's current GF Value Rank is 3, which is 67% below median its own 10-year median of 9.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bihar Sponge Iron stock overvalued right now?
Based on GuruFocus' analysis, Bihar Sponge Iron (BOM:500058) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹10.17, compared to a current price of ₹12.17 — trading 19.7% above its estimated fair value. The current GF Value Rank is 3, which is 67% below median its 10-year median of 9.00. Bihar Sponge Iron's overall GF Score™ is 52/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is GF Value Rank calculated?
GF Value Rank is calculated from a company's financial statements. For Bihar Sponge Iron (BOM:500058), the current GF Value Rank is 3 as of Aug. 22, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Bihar Sponge Iron (BOM:500058) Overvalued in 2026?

Based on GuruFocus' analysis, Bihar Sponge Iron stock appears to be overvalued. The current stock price of ₹12.17 is trading 19.7% above its estimated GF Value™ of ₹10.17. GuruFocus considers Bihar Sponge Iron to be Modestly Overvalued.

Key valuation signals for BOM:500058:

  • GF Value Rank: 3 (67% below median its 10-year median of 9.00)
  • GF Value™: ₹10.17 vs. price of ₹12.17 (19.7% above fair value)
  • GF Score™: 52/100 with 5 warning signs

No single metric tells the full story. See the BOM:500058 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Bihar Sponge Iron Business Description

Address Umesh Nagar, Chandil, District Saraikela, Kharsawan, JH, IND, 832401
Bihar Sponge Iron Ltd is India's first merchant sponge iron plant located in Jharkhand. It produces Direct Reduced Iron, commonly known as sponge iron, using indigenous iron ore and non-coking coal. Its plant uses coal-based rotary kiln technology for sponge iron production, with additional facilities such as crushing, sizing, and magnetic separation for raw materials. The plant is strategically located with excellent connectivity to many cities and transportation infrastructure. Bihar Sponge Iron also operates captive power plants to meet its energy needs efficiently. The company's sponge iron serves as a substitute for scrap in steelmaking electric arc and induction furnaces.
52GF Score

Get the complete analysis for BOM:500058

GF Value Rank is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹12.17
Price
₹10.17
GF Value