ARCELORMITTAL (MT.AS) Stock Fundamental Analysis
Europe - AMS:MT - LU1598757687 - Common Stock
29.4 EUR
-0.18 (-0.61%)
MT gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 38 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 is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year MT was profitable.
MT had a positive operating cash flow in the past year.
MT had positive earnings in 4 of the past 5 years.
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 2.52%, MT is in line with its industry, outperforming 44.74% of the companies in the same industry.
MT has a Return On Equity (4.59%) which is in line with its industry peers.
With a Return On Invested Capital value of 2.83%, MT is not doing good in the industry: 60.53% of the companies in the same industry are doing better.
The Average Return On Invested Capital over the past 3 years for MT is below the industry average of 8.13%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.52% | ||
| ROE | 4.59% | ||
| ROIC | 2.83% |
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 (4.11%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of MT has declined.
Looking at the Operating Margin, with a value of 5.46%, MT is doing worse than 60.53% of the companies in the same industry.
In the last couple of years the Operating Margin of MT has grown nicely.
With a Gross Margin value of 10.09%, MT is not doing good in the industry: 76.32% of the companies in the same industry are doing better.
MT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.46% | ||
| PM (TTM) | 4.11% | ||
| GM | 10.09% |
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.
The number of shares outstanding for MT has been reduced compared to 5 years ago.
MT has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of MT is 15.69, which is on the high side as it means it would take MT, 15.69 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 15.69, MT is not doing good in the industry: 60.53% of the companies in the same industry are doing better.
A Debt/Equity ratio of 0.19 indicates that MT is not too dependend on debt financing.
MT has a Debt to Equity ratio of 0.19. This is in the better half of the industry: MT outperforms 65.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 15.69 | ||
| Altman-Z | N/A |
ROIC/WACC0.33
WACC8.66%
2.3 Liquidity
MT has a Current Ratio of 1.40. This is a normal value and indicates that MT is financially healthy and should not expect problems in meeting its short term obligations.
MT has a worse Current ratio (1.40) than 76.32% of its industry peers.
MT has a Quick Ratio of 1.40. This is a bad value and indicates that MT is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of MT (0.59) is worse than 78.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.4 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
MT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -13.76%.
The earnings per share for MT have been decreasing by -39.64% on average. This is quite bad
The Revenue has decreased by -4.81% in the past year.
MT shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -2.43% yearly.
EPS 1Y (TTM)-13.76%
EPS 3Y-39.64%
EPS 5YN/A
EPS Q2Q%109.52%
Revenue 1Y (TTM)-4.81%
Revenue growth 3Y-6.57%
Revenue growth 5Y-2.43%
Sales Q2Q%-1.99%
3.2 Future
MT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 24.10% yearly.
Based on estimates for the next years, MT will show a small growth in Revenue. The Revenue will grow by 2.46% on average per year.
EPS Next Y33.64%
EPS Next 2Y27.68%
EPS Next 3Y24.1%
EPS Next 5YN/A
Revenue Next Year-0.97%
Revenue Next 2Y2.68%
Revenue Next 3Y2.9%
Revenue Next 5Y2.46%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 9.87, the valuation of MT can be described as very reasonable.
Based on the Price/Earnings ratio, MT is valued cheaper than 84.21% of the companies in the same industry.
When comparing the Price/Earnings ratio of MT to the average of the S&P500 Index (27.20), we can say MT is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 7.22, the valuation of MT can be described as very cheap.
MT's Price/Forward Earnings ratio is rather cheap when compared to the industry. MT is cheaper than 89.47% of the companies in the same industry.
MT's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.71.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.87 | ||
| Fwd PE | 7.22 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MT indicates a somewhat cheap valuation: MT is cheaper than 68.42% of the companies listed in the same industry.
MT's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.71 | ||
| EV/EBITDA | 6.11 |
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 24.10% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.29
PEG (5Y)N/A
EPS Next 2Y27.68%
EPS Next 3Y24.1%
5. Dividend
5.1 Amount
MT has a Yearly Dividend Yield of 1.58%.
Compared to an average industry Dividend Yield of 2.77, MT pays a bit more dividend than its industry peers.
MT's Dividend Yield is slightly below the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
5.2 History
The dividend of MT is nicely growing with an annual growth rate of 37.57%!
Dividend Growth(5Y)37.57%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
16.15% 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.
DP16.15%
EPS Next 2Y27.68%
EPS Next 3Y24.1%
AMS:MT (9/16/2025, 5:36:15 PM)
29.4
-0.18 (-0.61%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners19.71%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap25.07B
Analysts78.46
Price Target32.06 (9.05%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
Yearly Dividend0.42
Dividend Growth(5Y)37.57%
DP16.15%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)17.19%
Min EPS beat(2)-11.77%
Max EPS beat(2)46.15%
EPS beat(4)2
Avg EPS beat(4)8.46%
Min EPS beat(4)-12.4%
Max EPS beat(4)46.15%
EPS beat(8)5
Avg EPS beat(8)22.72%
EPS beat(12)8
Avg EPS beat(12)48.87%
EPS beat(16)11
Avg EPS beat(16)39.37%
Revenue beat(2)0
Avg Revenue beat(2)-2.9%
Min Revenue beat(2)-5.69%
Max Revenue beat(2)-0.12%
Revenue beat(4)0
Avg Revenue beat(4)-3.31%
Min Revenue beat(4)-5.69%
Max Revenue beat(4)-0.12%
Revenue beat(8)0
Avg Revenue beat(8)-4.24%
Revenue beat(12)3
Avg Revenue beat(12)-1.09%
Revenue beat(16)5
Avg Revenue beat(16)-1.39%
PT rev (1m)-0.93%
PT rev (3m)-0.76%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-31.32%
EPS NY rev (1m)0.71%
EPS NY rev (3m)0.71%
Revenue NQ rev (1m)0.73%
Revenue NQ rev (3m)-1.15%
Revenue NY rev (1m)1.44%
Revenue NY rev (3m)2.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.87 | ||
| Fwd PE | 7.22 | ||
| P/S | 0.49 | ||
| P/FCF | 33.71 | ||
| P/OCF | 6.01 | ||
| P/B | 0.54 | ||
| P/tB | 0.6 | ||
| EV/EBITDA | 6.11 |
EPS(TTM)2.98
EY10.14%
EPS(NY)4.07
Fwd EY13.86%
FCF(TTM)0.87
FCFY2.97%
OCF(TTM)4.9
OCFY16.65%
SpS60.43
BVpS54.19
TBVpS48.87
PEG (NY)0.29
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.52% | ||
| ROE | 4.59% | ||
| ROCE | 4.4% | ||
| ROIC | 2.83% | ||
| ROICexc | 3.05% | ||
| ROICexgc | 3.3% | ||
| OM | 5.46% | ||
| PM (TTM) | 4.11% | ||
| GM | 10.09% | ||
| FCFM | 1.44% |
ROA(3y)4.11%
ROA(5y)5.59%
ROE(3y)7.31%
ROE(5y)10.09%
ROIC(3y)5.89%
ROIC(5y)6.85%
ROICexc(3y)6.67%
ROICexc(5y)7.53%
ROICexgc(3y)7.22%
ROICexgc(5y)8.13%
ROCE(3y)9.27%
ROCE(5y)10.79%
ROICexcg growth 3Y-39.58%
ROICexcg growth 5Y23.07%
ROICexc growth 3Y-39.61%
ROICexc growth 5Y23.43%
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%
F-Score6
Asset Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 15.69 | ||
| Debt/EBITDA | 1.7 | ||
| Cap/Depr | 139.11% | ||
| Cap/Sales | 6.66% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.03% | ||
| Profit Quality | 35.07% | ||
| Current Ratio | 1.4 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | N/A |
F-Score6
WACC8.66%
ROIC/WACC0.33
Cap/Depr(3y)155.77%
Cap/Depr(5y)133.78%
Cap/Sales(3y)6.05%
Cap/Sales(5y)5.33%
Profit Quality(3y)145.24%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-13.76%
EPS 3Y-39.64%
EPS 5YN/A
EPS Q2Q%109.52%
EPS Next Y33.64%
EPS Next 2Y27.68%
EPS Next 3Y24.1%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.81%
Revenue growth 3Y-6.57%
Revenue growth 5Y-2.43%
Sales Q2Q%-1.99%
Revenue Next Year-0.97%
Revenue Next 2Y2.68%
Revenue Next 3Y2.9%
Revenue Next 5Y2.46%
EBIT growth 1Y-14.7%
EBIT growth 3Y-39.88%
EBIT growth 5Y22.88%
EBIT Next Year89.21%
EBIT Next 3Y30.64%
EBIT Next 5Y19.34%
FCF growth 1Y-79.97%
FCF growth 3Y-59.84%
FCF growth 5Y-28.87%
OCF growth 1Y-43.22%
OCF growth 3Y-21.18%
OCF growth 5Y-4.24%