ARCELORMITTAL (MT.AS) Stock Fundamental Analysis
Europe • Euronext Amsterdam • AMS:MT • LU1598757687
45.98 EUR
+0.24 (+0.52%)
Last: Jan 30, 2026, 07:00 PM
We assign a fundamental rating of 3 out of 10 to MT. MT was compared to 45 industry peers in the Metals & Mining industry. While MT is still in line with the averages on profitability rating, there are concerns on its financial health. MT has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- MT had positive earnings in the past year.
- MT had a positive operating cash flow in the past year.
- Of the past 5 years MT 4 years were profitable.
- In the past 5 years MT always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 2.62%, MT is in line with its industry, outperforming 46.67% of the companies in the same industry.
- MT's Return On Equity of 4.73% is on the low side compared to the rest of the industry. MT is outperformed by 60.00% of its industry peers.
- With a Return On Invested Capital value of 2.71%, MT is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
- Measured over the past 3 years, the Average Return On Invested Capital for MT is below the industry average of 8.05%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.62% | ||
| ROE | 4.73% | ||
| ROIC | 2.71% |
ROA(3y)4.11%
ROA(5y)5.59%
ROE(3y)7.31%
ROE(5y)10.09%
ROIC(3y)5.89%
ROIC(5y)6.85%
1.3 Margins
- MT has a Profit Margin (4.23%) which is in line with its industry peers.
- MT's Profit Margin has declined in the last couple of years.
- MT has a Operating Margin (5.21%) which is comparable to the rest of the industry.
- MT's Operating Margin has improved in the last couple of years.
- MT has a worse Gross Margin (10.02%) than 84.44% of its industry peers.
- MT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.21% | ||
| PM (TTM) | 4.23% | ||
| GM | 10.02% |
OM growth 3Y-35.65%
OM growth 5Y25.94%
PM growth 3Y-52.12%
PM growth 5YN/A
GM growth 3Y-26.65%
GM growth 5Y13.62%
2. Health
2.1 Basic Checks
- MT has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- MT has less shares outstanding than it did 1 year ago.
- MT has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for MT is higher compared to a year ago.
2.2 Solvency
- MT has a debt to FCF ratio of 323.22. This is a negative value and a sign of low solvency as MT would need 323.22 years to pay back of all of its debts.
- The Debt to FCF ratio of MT (323.22) is worse than 60.00% of its industry peers.
- A Debt/Equity ratio of 0.19 indicates that MT is not too dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.19, MT is in line with its industry, outperforming 57.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 323.22 | ||
| Altman-Z | N/A |
ROIC/WACC0.3
WACC8.91%
2.3 Liquidity
- A Current Ratio of 1.39 indicates that MT should not have too much problems paying its short term obligations.
- With a Current ratio value of 1.39, MT is not doing good in the industry: 82.22% of the companies in the same industry are doing better.
- MT has a Quick Ratio of 1.39. This is a bad value and indicates that MT is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Quick ratio value of 0.58, MT is not doing good in the industry: 82.22% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.58 |
3. Growth
3.1 Past
- The earnings per share for MT have decreased by -2.78% in the last year.
- Measured over the past years, MT shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -39.64% on average per year.
- MT shows a decrease in Revenue. In the last year, the revenue decreased by -1.90%.
- The Revenue has been decreasing by -2.43% on average over the past years.
EPS 1Y (TTM)-2.78%
EPS 3Y-39.64%
EPS 5YN/A
EPS Q2Q%-1.59%
Revenue 1Y (TTM)-1.9%
Revenue growth 3Y-6.57%
Revenue growth 5Y-2.43%
Sales Q2Q%3.03%
3.2 Future
- Based on estimates for the next years, MT will show a very strong growth in Earnings Per Share. The EPS will grow by 27.53% on average per year.
- Based on estimates for the next years, MT will show a small growth in Revenue. The Revenue will grow by 2.09% on average per year.
EPS Next Y25.82%
EPS Next 2Y31.04%
EPS Next 3Y27.53%
EPS Next 5YN/A
Revenue Next Year-1.71%
Revenue Next 2Y2.99%
Revenue Next 3Y2.89%
Revenue Next 5Y2.09%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 15.75, MT is valued correctly.
- Based on the Price/Earnings ratio, MT is valued cheaper than 84.44% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 28.30. MT is valued slightly cheaper when compared to this.
- MT is valuated reasonably with a Price/Forward Earnings ratio of 10.90.
- Based on the Price/Forward Earnings ratio, MT is valued cheaper than 91.11% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of MT to the average of the S&P500 Index (25.57), we can say MT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.75 | ||
| Fwd PE | 10.9 |
4.2 Price Multiples
- MT's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. MT is cheaper than 73.33% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of MT indicates a slightly more expensive valuation: MT is more expensive than 60.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 927.12 | ||
| EV/EBITDA | 8.4 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- MT's earnings are expected to grow with 27.53% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.61
PEG (5Y)N/A
EPS Next 2Y31.04%
EPS Next 3Y27.53%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.97%, MT is not a good candidate for dividend investing.
- MT's Dividend Yield is comparable with the industry average which is at 1.67.
- Compared to an average S&P500 Dividend Yield of 1.82, MT's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.97% |
5.2 History
- On average, the dividend of MT grows each year by 37.57%, which is quite nice.
Dividend Growth(5Y)37.57%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 15.59% of the earnings are spent on dividend by MT. This is a low number and sustainable payout ratio.
- The dividend of MT is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP15.59%
EPS Next 2Y31.04%
EPS Next 3Y27.53%
ARCELORMITTAL / MT.AS FAQ
What is the fundamental rating for MT stock?
ChartMill assigns a fundamental rating of 3 / 10 to MT.AS.
What is the valuation status for MT stock?
ChartMill assigns a valuation rating of 6 / 10 to ARCELORMITTAL (MT.AS). This can be considered as Fairly Valued.
How profitable is ARCELORMITTAL (MT.AS) stock?
ARCELORMITTAL (MT.AS) has a profitability rating of 4 / 10.
What are the PE and PB ratios of ARCELORMITTAL (MT.AS) stock?
The Price/Earnings (PE) ratio for ARCELORMITTAL (MT.AS) is 15.75 and the Price/Book (PB) ratio is 0.78.
Is the dividend of ARCELORMITTAL sustainable?
The dividend rating of ARCELORMITTAL (MT.AS) is 3 / 10 and the dividend payout ratio is 15.59%.