Capital intensive nature of the industry coupled with challenging operating environment has erected steep entry barriers in SS pipes & tube sector, handing incumbents a definite advantage (Venus Pipe DRHP)
Leadership position in the domestic seamless pipes sector, further strengthened by successful turnaround of USTPL’s operations – MSL is the leading domestic manufacturer of seamless pipes with an estimated production capacity of 4,50,000 tonnes per annum (tpa) with a strong presence in the high value-added, large-diameter seamless pipes segment (outer diameter or OD >10 inch), which sees relatively lower competition. In the seamless pipes segment, MSL primarily caters to companies in the oil and gas sector, where it is a registered vendor for major domestic oil producers and refiners. In addition, it caters to other sectors, including power plants, boilers, general engineering, etc., and undertakes exports as well. MSL’s capacity share in the domestic seamless pipe market got enhanced further with the acquisition of USTPL (having an installed production capacity of 2,00,000 TPA) in FY2019, and its successful turnaround by MSL post commissioning of operations in October 2020. At present, the company is estimated to have a market share of more than 50% in the domestic seamless pipes industry (including USTPL). (ICRA Report dated 12Sep2022)
Promoter Stake Increasing
The rising trend in promoter stake is consistently observable, as indicated in the latest second-quarter fiscal year 2024 conference call.
On December 11, 2023, ICRA updated the rating from stable to positive.
Sector Tailwind 
PPT 01November 2023
The part I am missing is Valuation. Is stock at right valuation or not.
@Donald Sir, If you can guide us on that, We will be very grateful
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