ARCELORMITTAL-NY REGISTERED (MT) Stock Fundamental Analysis
NYSE:MT - New York Stock Exchange, Inc. - US03938L2034 - Currency: USD
Taking everything into account, MT scores 4 out of 10 in our fundamental rating. MT was compared to 152 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.
In the past year MT had a positive cash flow from operations.
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
The Return On Assets of MT (1.50%) is better than 63.82% of its industry peers.
Looking at the Return On Equity, with a value of 2.72%, MT is in the better half of the industry, outperforming 63.16% of the companies in the same industry.
The Return On Invested Capital of MT (3.46%) is comparable to the rest of the industry.
MT had an Average Return On Invested Capital over the past 3 years of 5.89%. This is below the industry average of 8.52%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.5% | ||
| ROE | 2.72% | ||
| ROIC | 3.46% |
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
The Profit Margin of MT (2.14%) is better than 66.45% of its industry peers.
In the last couple of years the Profit Margin of MT has declined.
MT has a Operating Margin (5.83%) which is in line with its industry peers.
In the last couple of years the Operating Margin of MT has grown nicely.
The Gross Margin of MT (9.80%) is comparable to the rest of the industry.
MT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.83% | ||
| PM (TTM) | 2.14% | ||
| GM | 9.8% |
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MT 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.
Compared to 1 year ago, MT has a worse debt to assets ratio.
2.2 Solvency
MT has an Altman-Z score of 1.65. This is a bad value and indicates that MT is not financially healthy and even has some risk of bankruptcy.
MT has a Altman-Z score of 1.65. This is comparable to the rest of the industry: MT outperforms 40.79% of its industry peers.
MT has a debt to FCF ratio of 25.87. This is a negative value and a sign of low solvency as MT would need 25.87 years to pay back of all of its debts.
With a Debt to FCF ratio value of 25.87, MT perfoms like the industry average, outperforming 57.89% of the companies in the same industry.
A Debt/Equity ratio of 0.18 indicates that MT is not too dependend on debt financing.
MT's Debt to Equity ratio of 0.18 is in line compared to the rest of the industry. MT outperforms 51.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 25.87 | ||
| Altman-Z | 1.65 |
ROIC/WACC0.4
WACC8.62%
2.3 Liquidity
MT has a Current Ratio of 1.35. This is a normal value and indicates that MT is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of MT (1.35) is worse than 76.97% of its industry peers.
MT has a Quick Ratio of 1.35. This is a bad value and indicates that MT is not financially healthy enough and could expect problems in meeting its short term obligations.
MT has a Quick ratio of 0.59. This is amonst the worse of the industry: MT underperforms 82.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.35 | ||
| 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 -48.87%.
The earnings per share for MT have been decreasing by -39.64% on average. This is quite bad
Looking at the last year, MT shows a decrease in Revenue. The Revenue has decreased by -8.54% in the last year.
Measured over the past years, MT shows a decrease in Revenue. The Revenue has been decreasing by -2.43% on average per year.
EPS 1Y (TTM)-48.87%
EPS 3Y-39.64%
EPS 5YN/A
EPS Q2Q%-55.93%
Revenue 1Y (TTM)-8.54%
Revenue growth 3Y-6.57%
Revenue growth 5Y-2.43%
Sales Q2Q%1.11%
3.2 Future
The Earnings Per Share is expected to grow by 23.77% on average over the next years. This is a very strong growth
Based on estimates for the next years, MT will show a small growth in Revenue. The Revenue will grow by 0.89% on average per year.
EPS Next Y32.71%
EPS Next 2Y31.91%
EPS Next 3Y23.77%
EPS Next 5YN/A
Revenue Next Year-0.65%
Revenue Next 2Y1.45%
Revenue Next 3Y1.38%
Revenue Next 5Y0.89%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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 9.26, the valuation of MT can be described as very reasonable.
Based on the Price/Earnings ratio, MT is valued cheaper than 94.08% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.29, MT is valued rather cheaply.
MT is valuated cheaply with a Price/Forward Earnings ratio of 6.98.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MT indicates a rather cheap valuation: MT is cheaper than 96.71% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.08, MT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.26 | ||
| Fwd PE | 6.98 |
4.2 Price Multiples
92.11% of the companies in the same industry are more expensive than MT, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, MT is valued a bit cheaper than 63.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 51.95 | ||
| EV/EBITDA | 4.51 |
4.3 Compensation for Growth
MT's 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 23.77% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.28
PEG (5Y)N/A
EPS Next 2Y31.91%
EPS Next 3Y23.77%
5. Dividend
5.1 Amount
MT has a Yearly Dividend Yield of 2.03%.
Compared to an average industry Dividend Yield of 3.09, MT pays a better dividend. On top of this MT pays more dividend than 80.26% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.52, MT has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.03% |
5.2 History
The dividend of MT is nicely growing with an annual growth rate of 37.57%!
MT has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)37.57%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
29.35% 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.
DP29.35%
EPS Next 2Y31.91%
EPS Next 3Y23.77%
27.23
+0.31 (+1.15%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners20.82%
Inst Owner Change0.02%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap23.22B
Analysts78.46
Price Target35.36 (29.86%)
Short Float %0.93%
Short Ratio1.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.03% |
Yearly Dividend0.49
Dividend Growth(5Y)37.57%
DP29.35%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.26%
Min EPS beat(2)-12.4%
Max EPS beat(2)11.87%
EPS beat(4)2
Avg EPS beat(4)-1.92%
Min EPS beat(4)-29.23%
Max EPS beat(4)22.07%
EPS beat(8)6
Avg EPS beat(8)32.15%
EPS beat(12)9
Avg EPS beat(12)49.3%
EPS beat(16)12
Avg EPS beat(16)39.4%
Revenue beat(2)0
Avg Revenue beat(2)-3.71%
Min Revenue beat(2)-5.3%
Max Revenue beat(2)-2.12%
Revenue beat(4)0
Avg Revenue beat(4)-3.78%
Min Revenue beat(4)-5.3%
Max Revenue beat(4)-2.12%
Revenue beat(8)1
Avg Revenue beat(8)-2.96%
Revenue beat(12)4
Avg Revenue beat(12)-0.46%
Revenue beat(16)5
Avg Revenue beat(16)-1.32%
PT rev (1m)10.88%
PT rev (3m)12.93%
EPS NQ rev (1m)-22.98%
EPS NQ rev (3m)-32.66%
EPS NY rev (1m)-4.87%
EPS NY rev (3m)-11.01%
Revenue NQ rev (1m)-0.71%
Revenue NQ rev (3m)-3.54%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.26 | ||
| Fwd PE | 6.98 | ||
| P/S | 0.37 | ||
| P/FCF | 51.95 | ||
| P/OCF | 4.79 | ||
| P/B | 0.47 | ||
| P/tB | 0.52 | ||
| EV/EBITDA | 4.51 |
EPS(TTM)2.94
EY10.8%
EPS(NY)3.9
Fwd EY14.33%
FCF(TTM)0.52
FCFY1.92%
OCF(TTM)5.69
OCFY20.89%
SpS73.22
BVpS57.72
TBVpS52.5
PEG (NY)0.28
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.5% | ||
| ROE | 2.72% | ||
| ROCE | 5.39% | ||
| ROIC | 3.46% | ||
| ROICexc | 3.83% | ||
| ROICexgc | 4.13% | ||
| OM | 5.83% | ||
| PM (TTM) | 2.14% | ||
| GM | 9.8% | ||
| FCFM | 0.72% |
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 Turnover0.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 25.87 | ||
| Debt/EBITDA | 1.41 | ||
| Cap/Depr | 167.36% | ||
| Cap/Sales | 7.05% | ||
| Interest Coverage | 4.56 | ||
| Cash Conversion | 77.33% | ||
| Profit Quality | 33.38% | ||
| Current Ratio | 1.35 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 1.65 |
F-Score6
WACC8.62%
ROIC/WACC0.4
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)-48.87%
EPS 3Y-39.64%
EPS 5YN/A
EPS Q2Q%-55.93%
EPS Next Y32.71%
EPS Next 2Y31.91%
EPS Next 3Y23.77%
EPS Next 5YN/A
Revenue 1Y (TTM)-8.54%
Revenue growth 3Y-6.57%
Revenue growth 5Y-2.43%
Sales Q2Q%1.11%
Revenue Next Year-0.65%
Revenue Next 2Y1.45%
Revenue Next 3Y1.38%
Revenue Next 5Y0.89%
EBIT growth 1Y-25.41%
EBIT growth 3Y-39.88%
EBIT growth 5Y22.88%
EBIT Next Year91.72%
EBIT Next 3Y31.6%
EBIT Next 5Y21.59%
FCF growth 1Y-85.26%
FCF growth 3Y-59.84%
FCF growth 5Y-28.87%
OCF growth 1Y-36.53%
OCF growth 3Y-21.18%
OCF growth 5Y-4.24%