ARCELORMITTAL (MT.AS) Stock Fundamental Analysis
Europe - AMS:MT - LU1598757687 - Common Stock
32.32 EUR
-2 (-5.83%)
Overall MT gets a fundamental rating of 4 out of 10. We evaluated MT against 41 industry peers in the Metals & Mining industry. There are concerns on the financial health of MT while its profitability can be described as average. MT has a bad growth rate and is valued cheaply.
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
MT has a Return On Assets (2.52%) which is comparable to the rest of the industry.
With a Return On Equity value of 4.59%, MT perfoms like the industry average, outperforming 51.22% of the companies in the same industry.
MT has a Return On Invested Capital (2.83%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for MT is in line with the industry average of 7.84%.
| 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
With a Profit Margin value of 4.11%, MT perfoms like the industry average, outperforming 51.22% of the companies in the same industry.
MT's Profit Margin has declined in the last couple of years.
MT's Operating Margin of 5.46% is in line compared to the rest of the industry. MT outperforms 43.90% of its industry peers.
MT's Operating Margin has improved in the last couple of years.
MT's Gross Margin of 10.09% is on the low side compared to the rest of the industry. MT is outperformed by 75.61% of its industry peers.
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MT is destroying value.
Compared to 1 year ago, MT has less shares outstanding
The number of shares outstanding for MT has been reduced compared to 5 years ago.
The debt/assets ratio for MT is higher compared to a year ago.
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.
MT has a Debt to FCF ratio of 15.69. This is comparable to the rest of the industry: MT outperforms 46.34% 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 the better half of the industry, outperforming 65.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 15.69 | ||
| Altman-Z | N/A |
ROIC/WACC0.34
WACC8.34%
2.3 Liquidity
A Current Ratio of 1.40 indicates that MT should not have too much problems paying its short term obligations.
With a Current ratio value of 1.40, MT is not doing good in the industry: 75.61% of the companies in the same industry are doing better.
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.
Looking at the Quick ratio, with a value of 0.59, MT is doing worse than 80.49% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.4 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
The earnings per share for MT have decreased strongly by -13.76% 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.
Looking at the last year, MT shows a decrease in Revenue. The Revenue has decreased by -4.81% in the last 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
The Earnings Per Share is expected to grow by 23.98% 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 2.46% on average per year.
EPS Next Y33.67%
EPS Next 2Y27.82%
EPS Next 3Y23.98%
EPS Next 5YN/A
Revenue Next Year-0.89%
Revenue Next 2Y2.79%
Revenue Next 3Y2.91%
Revenue Next 5Y2.46%
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
The Price/Earnings ratio is 10.70, which indicates a very decent valuation of MT.
Compared to the rest of the industry, the Price/Earnings ratio of MT indicates a rather cheap valuation: MT is cheaper than 80.49% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of MT to the average of the S&P500 Index (27.02), we can say MT is valued rather cheaply.
The Price/Forward Earnings ratio is 7.81, which indicates a rather cheap valuation of MT.
Based on the Price/Forward Earnings ratio, MT is valued cheaper than 87.80% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.57. MT is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.7 | ||
| Fwd PE | 7.81 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MT is valued a bit cheaper than the industry average as 73.17% of the companies are valued more expensively.
MT's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.58 | ||
| EV/EBITDA | 6.8 |
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.
A more expensive valuation may be justified as MT's earnings are expected to grow with 23.98% in the coming years.
PEG (NY)0.32
PEG (5Y)N/A
EPS Next 2Y27.82%
EPS Next 3Y23.98%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.45%, MT has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.70, MT pays a bit more dividend than its industry peers.
With a Dividend Yield of 1.45, MT pays less dividend than the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.45% |
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
MT pays out 16.15% of its income as dividend. This is a sustainable payout ratio.
MT's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP16.15%
EPS Next 2Y27.82%
EPS Next 3Y23.98%
AMS:MT (10/10/2025, 7:00:00 PM)
32.32
-2 (-5.83%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners21.67%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap27.56B
Analysts78.46
Price Target32.22 (-0.31%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.45% |
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)0.5%
PT rev (3m)0.12%
EPS NQ rev (1m)1.55%
EPS NQ rev (3m)-24.67%
EPS NY rev (1m)0.02%
EPS NY rev (3m)0.73%
Revenue NQ rev (1m)1.06%
Revenue NQ rev (3m)5.07%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)2.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.7 | ||
| Fwd PE | 7.81 | ||
| P/S | 0.53 | ||
| P/FCF | 36.58 | ||
| P/OCF | 6.52 | ||
| P/B | 0.59 | ||
| P/tB | 0.65 | ||
| EV/EBITDA | 6.8 |
EPS(TTM)3.02
EY9.34%
EPS(NY)4.14
Fwd EY12.8%
FCF(TTM)0.88
FCFY2.73%
OCF(TTM)4.96
OCFY15.35%
SpS61.23
BVpS54.92
TBVpS49.52
PEG (NY)0.32
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
WACC8.34%
ROIC/WACC0.34
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 Y33.67%
EPS Next 2Y27.82%
EPS Next 3Y23.98%
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-0.89%
Revenue Next 2Y2.79%
Revenue Next 3Y2.91%
Revenue Next 5Y2.46%
EBIT growth 1Y-14.7%
EBIT growth 3Y-39.88%
EBIT growth 5Y22.88%
EBIT Next Year76.02%
EBIT Next 3Y30.49%
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%