VALE SA-SP ADR (VALE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:VALE - US91912E1055 - ADR
12.785 USD
+0.02 (+0.12%)
We assign a fundamental rating of 5 out of 10 to VALE. VALE was compared to 156 industry peers in the Metals & Mining industry. VALE has an excellent profitability rating, but there are concerns on its financial health. VALE scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year VALE was profitable.
In the past year VALE had a positive cash flow from operations.
VALE had positive earnings in each of the past 5 years.
In the past 5 years VALE always reported a positive cash flow from operatings.
1.2 Ratios
VALE has a Return On Assets of 6.22%. This is in the better half of the industry: VALE outperforms 75.64% of its industry peers.
VALE has a better Return On Equity (13.84%) than 82.69% of its industry peers.
With an excellent Return On Invested Capital value of 11.53%, VALE belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for VALE is above the industry average of 13.23%.
The last Return On Invested Capital (11.53%) for VALE is well below the 3 year average (15.63%), which needs to be investigated, but indicates that VALE had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.22% | ||
| ROE | 13.84% | ||
| ROIC | 11.53% |
ROA(3y)12.09%
ROA(5y)13.23%
ROE(3y)29.15%
ROE(5y)32.97%
ROIC(3y)15.63%
ROIC(5y)19.92%
1.3 Margins
VALE has a better Profit Margin (14.15%) than 76.92% of its industry peers.
In the last couple of years the Profit Margin of VALE has declined.
VALE has a Operating Margin of 27.66%. This is in the better half of the industry: VALE outperforms 78.21% of its industry peers.
VALE's Operating Margin has declined in the last couple of years.
The Gross Margin of VALE (34.81%) is better than 72.44% of its industry peers.
VALE's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.66% | ||
| PM (TTM) | 14.15% | ||
| GM | 34.81% |
OM growth 3Y-20.55%
OM growth 5Y-6.5%
PM growth 3Y-28.12%
PM growth 5YN/A
GM growth 3Y-15.48%
GM growth 5Y-5.12%
2. Health
2.1 Basic Checks
VALE has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
VALE has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, VALE has less shares outstanding
The debt/assets ratio for VALE is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.94 indicates that VALE is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 1.94, VALE is not doing good in the industry: 70.51% of the companies in the same industry are doing better.
VALE has a debt to FCF ratio of 6.13. This is a slightly negative value and a sign of low solvency as VALE would need 6.13 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 6.13, VALE is in the better half of the industry, outperforming 64.74% of the companies in the same industry.
A Debt/Equity ratio of 0.44 indicates that VALE is not too dependend on debt financing.
VALE has a worse Debt to Equity ratio (0.44) than 75.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 6.13 | ||
| Altman-Z | 1.94 |
ROIC/WACC0.82
WACC14.13%
2.3 Liquidity
A Current Ratio of 1.24 indicates that VALE should not have too much problems paying its short term obligations.
The Current ratio of VALE (1.24) is worse than 78.85% of its industry peers.
A Quick Ratio of 0.82 indicates that VALE may have some problems paying its short term obligations.
VALE's Quick ratio of 0.82 is on the low side compared to the rest of the industry. VALE is outperformed by 79.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.24 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
VALE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -39.81%.
VALE shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.15% yearly.
The Revenue has been growing slightly by 1.05% in the past year.
The Revenue has been growing slightly by 7.33% on average over the past years.
EPS 1Y (TTM)-39.81%
EPS 3Y-31.35%
EPS 5Y5.15%
EPS Q2Q%12.5%
Revenue 1Y (TTM)1.05%
Revenue growth 3Y-11.13%
Revenue growth 5Y7.33%
Sales Q2Q%9.07%
3.2 Future
Based on estimates for the next years, VALE will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.83% on average per year.
The Revenue is expected to grow by 0.62% on average over the next years.
EPS Next Y40.62%
EPS Next 2Y17.63%
EPS Next 3Y10.83%
EPS Next 5YN/A
Revenue Next Year-0.17%
Revenue Next 2Y2.5%
Revenue Next 3Y2.17%
Revenue Next 5Y0.62%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 9.83, which indicates a very decent valuation of VALE.
Based on the Price/Earnings ratio, VALE is valued cheaply inside the industry as 98.08% of the companies are valued more expensively.
VALE's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.55.
A Price/Forward Earnings ratio of 6.42 indicates a rather cheap valuation of VALE.
Based on the Price/Forward Earnings ratio, VALE is valued cheaply inside the industry as 96.79% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of VALE to the average of the S&P500 Index (23.78), we can say VALE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.83 | ||
| Fwd PE | 6.42 |
4.2 Price Multiples
VALE's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. VALE is cheaper than 96.15% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, VALE is valued cheaply inside the industry as 89.10% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.29 | ||
| EV/EBITDA | 4.7 |
4.3 Compensation for Growth
VALE's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of VALE may justify a higher PE ratio.
PEG (NY)0.24
PEG (5Y)1.91
EPS Next 2Y17.63%
EPS Next 3Y10.83%
5. Dividend
5.1 Amount
VALE has a Yearly Dividend Yield of 1.59%.
VALE's Dividend Yield is rather good when compared to the industry average which is at 1.03. VALE pays more dividend than 82.05% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 1.87, VALE has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.59% |
5.2 History
On average, the dividend of VALE grows each year by 104.30%, which is quite nice.
VALE has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)104.3%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
64.46% of the earnings are spent on dividend by VALE. This is not a sustainable payout ratio.
The dividend of VALE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP64.46%
EPS Next 2Y17.63%
EPS Next 3Y10.83%
NYSE:VALE (12/16/2025, 9:42:08 AM)
12.785
+0.02 (+0.12%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners42.18%
Inst Owner Change5%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap54.58B
Revenue(TTM)213.32B
Net Income(TTM)30.18B
Analysts78.26
Price Target13.77 (7.7%)
Short Float %1.78%
Short Ratio1.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.59% |
Yearly Dividend0.89
Dividend Growth(5Y)104.3%
DP64.46%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)30.31%
Min EPS beat(2)21.66%
Max EPS beat(2)38.96%
EPS beat(4)2
Avg EPS beat(4)-21.66%
Min EPS beat(4)-135.22%
Max EPS beat(4)38.96%
EPS beat(8)4
Avg EPS beat(8)-10.97%
EPS beat(12)6
Avg EPS beat(12)-11.55%
EPS beat(16)10
Avg EPS beat(16)1.89%
Revenue beat(2)0
Avg Revenue beat(2)-81.92%
Min Revenue beat(2)-82.01%
Max Revenue beat(2)-81.82%
Revenue beat(4)0
Avg Revenue beat(4)-81.88%
Min Revenue beat(4)-82.01%
Max Revenue beat(4)-81.75%
Revenue beat(8)0
Avg Revenue beat(8)-81.93%
Revenue beat(12)0
Avg Revenue beat(12)-75.56%
Revenue beat(16)0
Avg Revenue beat(16)-58.89%
PT rev (1m)7.31%
PT rev (3m)1.65%
EPS NQ rev (1m)7.72%
EPS NQ rev (3m)22.8%
EPS NY rev (1m)3.08%
EPS NY rev (3m)26.24%
Revenue NQ rev (1m)3.84%
Revenue NQ rev (3m)6.99%
Revenue NY rev (1m)0.36%
Revenue NY rev (3m)2.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.83 | ||
| Fwd PE | 6.42 | ||
| P/S | 1.38 | ||
| P/FCF | 18.29 | ||
| P/OCF | 5.75 | ||
| P/B | 1.35 | ||
| P/tB | 1.84 | ||
| EV/EBITDA | 4.7 |
EPS(TTM)1.3
EY10.17%
EPS(NY)1.99
Fwd EY15.58%
FCF(TTM)0.7
FCFY5.47%
OCF(TTM)2.22
OCFY17.39%
SpS9.28
BVpS9.48
TBVpS6.96
PEG (NY)0.24
PEG (5Y)1.91
Graham Number16.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.22% | ||
| ROE | 13.84% | ||
| ROCE | 14.25% | ||
| ROIC | 11.53% | ||
| ROICexc | 12.51% | ||
| ROICexgc | 14.76% | ||
| OM | 27.66% | ||
| PM (TTM) | 14.15% | ||
| GM | 34.81% | ||
| FCFM | 7.54% |
ROA(3y)12.09%
ROA(5y)13.23%
ROE(3y)29.15%
ROE(5y)32.97%
ROIC(3y)15.63%
ROIC(5y)19.92%
ROICexc(3y)16.65%
ROICexc(5y)22.69%
ROICexgc(3y)19.73%
ROICexgc(5y)26.7%
ROCE(3y)19.31%
ROCE(5y)24.6%
ROICexgc growth 3Y-31.02%
ROICexgc growth 5Y-4.69%
ROICexc growth 3Y-31.7%
ROICexc growth 5Y-5.74%
OM growth 3Y-20.55%
OM growth 5Y-6.5%
PM growth 3Y-28.12%
PM growth 5YN/A
GM growth 3Y-15.48%
GM growth 5Y-5.12%
F-Score5
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 6.13 | ||
| Debt/EBITDA | 1.25 | ||
| Cap/Depr | 201.91% | ||
| Cap/Sales | 16.43% | ||
| Interest Coverage | 9.01 | ||
| Cash Conversion | 66.96% | ||
| Profit Quality | 53.27% | ||
| Current Ratio | 1.24 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 1.94 |
F-Score5
WACC14.13%
ROIC/WACC0.82
Cap/Depr(3y)192.28%
Cap/Depr(5y)174.88%
Cap/Sales(3y)14.54%
Cap/Sales(5y)12.69%
Profit Quality(3y)56.79%
Profit Quality(5y)92.18%
High Growth Momentum
Growth
EPS 1Y (TTM)-39.81%
EPS 3Y-31.35%
EPS 5Y5.15%
EPS Q2Q%12.5%
EPS Next Y40.62%
EPS Next 2Y17.63%
EPS Next 3Y10.83%
EPS Next 5YN/A
Revenue 1Y (TTM)1.05%
Revenue growth 3Y-11.13%
Revenue growth 5Y7.33%
Sales Q2Q%9.07%
Revenue Next Year-0.17%
Revenue Next 2Y2.5%
Revenue Next 3Y2.17%
Revenue Next 5Y0.62%
EBIT growth 1Y-14.96%
EBIT growth 3Y-29.39%
EBIT growth 5Y0.36%
EBIT Next Year25.23%
EBIT Next 3Y10.57%
EBIT Next 5Y3.62%
FCF growth 1Y-32.72%
FCF growth 3Y-48.33%
FCF growth 5Y-14.71%
OCF growth 1Y-2.21%
OCF growth 3Y-28.4%
OCF growth 5Y1.2%
VALE SA-SP ADR / VALE FAQ
What is the ChartMill fundamental rating of VALE SA-SP ADR (VALE) stock?
ChartMill assigns a fundamental rating of 5 / 10 to VALE.
What is the valuation status for VALE stock?
ChartMill assigns a valuation rating of 9 / 10 to VALE SA-SP ADR (VALE). This can be considered as Undervalued.
Can you provide the profitability details for VALE SA-SP ADR?
VALE SA-SP ADR (VALE) has a profitability rating of 7 / 10.
Can you provide the expected EPS growth for VALE stock?
The Earnings per Share (EPS) of VALE SA-SP ADR (VALE) is expected to grow by 40.62% in the next year.
Can you provide the dividend sustainability for VALE stock?
The dividend rating of VALE SA-SP ADR (VALE) is 5 / 10 and the dividend payout ratio is 64.46%.