WORTHINGTON STEEL INC (WS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:WS - US9821041012 - Common Stock
40.06 USD
+1.31 (+3.38%)
40.5 USD
+0.44 (+1.1%)
We assign a fundamental rating of 5 out of 10 to WS. WS was compared to 156 industry peers in the Metals & Mining industry. Both the profitability and the financial health of WS get a neutral evaluation. Nothing too spectacular is happening here. WS is valued quite cheap, but it does not seem to be growing. These ratings would make WS suitable for value investing!
1. Profitability
1.1 Basic Checks
- In the past year WS was profitable.
- WS had a positive operating cash flow in the past year.
- In the past 5 years WS has always been profitable.
- In the past 5 years WS always reported a positive cash flow from operatings.
1.2 Ratios
- WS's Return On Assets of 5.80% is fine compared to the rest of the industry. WS outperforms 76.28% of its industry peers.
- WS's Return On Equity of 11.15% is fine compared to the rest of the industry. WS outperforms 78.85% of its industry peers.
- The Return On Invested Capital of WS (8.03%) is better than 71.15% of its industry peers.
- WS had an Average Return On Invested Capital over the past 3 years of 9.34%. This is in line with the industry average of 10.26%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.8% | ||
| ROE | 11.15% | ||
| ROIC | 8.03% |
ROA(3y)6.29%
ROA(5y)8.01%
ROE(3y)11.49%
ROE(5y)15.25%
ROIC(3y)9.34%
ROIC(5y)12.06%
1.3 Margins
- With a decent Profit Margin value of 3.82%, WS is doing good in the industry, outperforming 66.03% of the companies in the same industry.
- In the last couple of years the Profit Margin of WS has declined.
- The Operating Margin of WS (5.17%) is comparable to the rest of the industry.
- WS's Operating Margin has been stable in the last couple of years.
- With a Gross Margin value of 12.76%, WS perfoms like the industry average, outperforming 44.23% of the companies in the same industry.
- In the last couple of years the Gross Margin of WS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.17% | ||
| PM (TTM) | 3.82% | ||
| GM | 12.76% |
OM growth 3Y-1.36%
OM growth 5YN/A
PM growth 3Y-6.89%
PM growth 5YN/A
GM growth 3Y8.93%
GM growth 5YN/A
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so WS is destroying value.
- Compared to 1 year ago, WS has more shares outstanding
- Compared to 1 year ago, WS has an improved debt to assets ratio.
2.2 Solvency
- WS has an Altman-Z score of 3.35. This indicates that WS is financially healthy and has little risk of bankruptcy at the moment.
- With a Altman-Z score value of 3.35, WS perfoms like the industry average, outperforming 48.08% of the companies in the same industry.
- The Debt to FCF ratio of WS is 2.62, which is a good value as it means it would take WS, 2.62 years of fcf income to pay off all of its debts.
- WS has a Debt to FCF ratio of 2.62. This is in the better half of the industry: WS outperforms 75.64% of its industry peers.
- A Debt/Equity ratio of 0.14 indicates that WS is not too dependend on debt financing.
- WS has a Debt to Equity ratio (0.14) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 2.62 | ||
| Altman-Z | 3.35 |
ROIC/WACC0.79
WACC10.18%
2.3 Liquidity
- WS has a Current Ratio of 1.80. This is a normal value and indicates that WS is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.80, WS is doing worse than 63.46% of the companies in the same industry.
- WS has a Quick Ratio of 1.09. This is a normal value and indicates that WS is financially healthy and should not expect problems in meeting its short term obligations.
- WS has a Quick ratio of 1.09. This is in the lower half of the industry: WS underperforms 64.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.09 |
3. Growth
3.1 Past
- The earnings per share for WS have decreased by -8.93% in the last year.
- The earnings per share for WS have been decreasing by -15.32% on average. This is quite bad
- Looking at the last year, WS shows a decrease in Revenue. The Revenue has decreased by -0.75% in the last year.
- Measured over the past years, WS shows a decrease in Revenue. The Revenue has been decreasing by -8.73% on average per year.
EPS 1Y (TTM)-8.93%
EPS 3Y-15.32%
EPS 5YN/A
EPS Q2Q%100%
Revenue 1Y (TTM)-0.75%
Revenue growth 3Y-8.73%
Revenue growth 5YN/A
Sales Q2Q%17.98%
3.2 Future
- Based on estimates for the next years, WS will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.59% on average per year.
- WS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.42% yearly.
EPS Next Y18.09%
EPS Next 2Y20.48%
EPS Next 3Y15.9%
EPS Next 5Y9.59%
Revenue Next Year18.78%
Revenue Next 2Y11%
Revenue Next 3Y8%
Revenue Next 5Y4.42%
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
- WS is valuated correctly with a Price/Earnings ratio of 15.71.
- Based on the Price/Earnings ratio, WS is valued cheaply inside the industry as 94.23% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Earnings ratio of 27.38, WS is valued a bit cheaper.
- The Price/Forward Earnings ratio is 12.84, which indicates a correct valuation of WS.
- Based on the Price/Forward Earnings ratio, WS is valued a bit cheaper than 78.21% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.29, WS is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.71 | ||
| Fwd PE | 12.84 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, WS is valued cheaply inside the industry as 89.74% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, WS is valued cheaply inside the industry as 82.69% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.09 | ||
| EV/EBITDA | 8.29 |
4.3 Compensation for Growth
- WS'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 WS may justify a higher PE ratio.
- A more expensive valuation may be justified as WS's earnings are expected to grow with 15.90% in the coming years.
PEG (NY)0.87
PEG (5Y)N/A
EPS Next 2Y20.48%
EPS Next 3Y15.9%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.73%, WS has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 0.96, WS pays a better dividend. On top of this WS pays more dividend than 85.26% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.85, WS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.73% |
5.2 History
- WS has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- WS pays out 26.08% of its income as dividend. This is a sustainable payout ratio.
DP26.08%
EPS Next 2Y20.48%
EPS Next 3Y15.9%
40.06
+1.31 (+3.38%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)12-17 2025-12-17/amc
Earnings (Next)03-17 2026-03-17
Inst Owners54.48%
Inst Owner Change-83.49%
Ins Owners36.58%
Ins Owner Change2.69%
Market Cap2.04B
Revenue(TTM)3.27B
Net Income(TTM)124.60M
Analysts82
Price Target41.82 (4.39%)
Short Float %3.3%
Short Ratio4.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.73% |
Yearly Dividend0.65
Dividend Growth(5Y)N/A
DP26.08%
Div Incr Years0
Div Non Decr Years0
Ex-Date03-13 2026-03-13 (0.16)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.52%
Min EPS beat(2)-5.4%
Max EPS beat(2)-1.64%
EPS beat(4)1
Avg EPS beat(4)-3.17%
Min EPS beat(4)-29.21%
Max EPS beat(4)23.57%
EPS beat(8)3
Avg EPS beat(8)-5.84%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.86%
Min Revenue beat(2)1.54%
Max Revenue beat(2)6.18%
Revenue beat(4)3
Avg Revenue beat(4)0.64%
Min Revenue beat(4)-6.19%
Max Revenue beat(4)6.18%
Revenue beat(8)6
Avg Revenue beat(8)3.29%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)13.89%
PT rev (3m)13.89%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-20.69%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.01%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)10.39%
Revenue NY rev (1m)0%
Revenue NY rev (3m)8.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.71 | ||
| Fwd PE | 12.84 | ||
| P/S | 0.62 | ||
| P/FCF | 28.09 | ||
| P/OCF | 10.15 | ||
| P/B | 1.82 | ||
| P/tB | 2.2 | ||
| EV/EBITDA | 8.29 |
EPS(TTM)2.55
EY6.37%
EPS(NY)3.12
Fwd EY7.79%
FCF(TTM)1.43
FCFY3.56%
OCF(TTM)3.95
OCFY9.86%
SpS64.24
BVpS21.98
TBVpS18.24
PEG (NY)0.87
PEG (5Y)N/A
Graham Number35.51
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.8% | ||
| ROE | 11.15% | ||
| ROCE | 10.79% | ||
| ROIC | 8.03% | ||
| ROICexc | 8.48% | ||
| ROICexgc | 9.64% | ||
| OM | 5.17% | ||
| PM (TTM) | 3.82% | ||
| GM | 12.76% | ||
| FCFM | 2.22% |
ROA(3y)6.29%
ROA(5y)8.01%
ROE(3y)11.49%
ROE(5y)15.25%
ROIC(3y)9.34%
ROIC(5y)12.06%
ROICexc(3y)9.6%
ROICexc(5y)12.34%
ROICexgc(3y)10.85%
ROICexgc(5y)13.6%
ROCE(3y)12.75%
ROCE(5y)15.86%
ROICexgc growth 3Y-10.2%
ROICexgc growth 5YN/A
ROICexc growth 3Y-9.72%
ROICexc growth 5YN/A
OM growth 3Y-1.36%
OM growth 5YN/A
PM growth 3Y-6.89%
PM growth 5YN/A
GM growth 3Y8.93%
GM growth 5YN/A
F-Score3
Asset Turnover1.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 2.62 | ||
| Debt/EBITDA | 0.64 | ||
| Cap/Depr | 169.8% | ||
| Cap/Sales | 3.93% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.12% | ||
| Profit Quality | 58.19% | ||
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.09 | ||
| Altman-Z | 3.35 |
F-Score3
WACC10.18%
ROIC/WACC0.79
Cap/Depr(3y)140.43%
Cap/Depr(5y)109.29%
Cap/Sales(3y)2.83%
Cap/Sales(5y)2.15%
Profit Quality(3y)153.93%
Profit Quality(5y)107.18%
High Growth Momentum
Growth
EPS 1Y (TTM)-8.93%
EPS 3Y-15.32%
EPS 5YN/A
EPS Q2Q%100%
EPS Next Y18.09%
EPS Next 2Y20.48%
EPS Next 3Y15.9%
EPS Next 5Y9.59%
Revenue 1Y (TTM)-0.75%
Revenue growth 3Y-8.73%
Revenue growth 5YN/A
Sales Q2Q%17.98%
Revenue Next Year18.78%
Revenue Next 2Y11%
Revenue Next 3Y8%
Revenue Next 5Y4.42%
EBIT growth 1Y-14.22%
EBIT growth 3Y-9.98%
EBIT growth 5YN/A
EBIT Next Year78.24%
EBIT Next 3Y28.85%
EBIT Next 5Y16.8%
FCF growth 1Y3.95%
FCF growth 3Y218.23%
FCF growth 5YN/A
OCF growth 1Y15.44%
OCF growth 3Y79.98%
OCF growth 5YN/A
WORTHINGTON STEEL INC / WS FAQ
What is the ChartMill fundamental rating of WORTHINGTON STEEL INC (WS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to WS.
What is the valuation status of WORTHINGTON STEEL INC (WS) stock?
ChartMill assigns a valuation rating of 7 / 10 to WORTHINGTON STEEL INC (WS). This can be considered as Undervalued.
What is the profitability of WS stock?
WORTHINGTON STEEL INC (WS) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for WS stock?
The Price/Earnings (PE) ratio for WORTHINGTON STEEL INC (WS) is 15.71 and the Price/Book (PB) ratio is 1.82.
Is the dividend of WORTHINGTON STEEL INC sustainable?
The dividend rating of WORTHINGTON STEEL INC (WS) is 4 / 10 and the dividend payout ratio is 26.08%.