ARCELORMITTAL (MT.AS) Stock Fundamental Analysis
AMS:MT - Euronext Amsterdam - LU1598757687 - Common Stock - Currency: EUR
Taking everything into account, MT scores 3 out of 10 in our fundamental rating. MT was compared to 39 industry peers in the Metals & Mining industry. Both the profitability and financial health of MT have multiple concerns. MT is valued quite cheap, but it does not seem to be growing.
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.
Each year in the past 5 years MT had a positive operating cash flow.
1.2 Ratios
MT has a worse Return On Assets (2.52%) than 61.54% of its industry peers.
MT has a Return On Equity of 4.59%. This is comparable to the rest of the industry: MT outperforms 43.59% of its industry peers.
The Return On Invested Capital of MT (2.83%) is worse than 64.10% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MT is below the industry average of 7.99%.
| 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's Profit Margin of 4.11% is in line compared to the rest of the industry. MT outperforms 48.72% of its industry peers.
MT's Profit Margin has declined in the last couple of years.
MT has a Operating Margin of 5.46%. This is in the lower half of the industry: MT underperforms 61.54% of its industry peers.
MT's Operating Margin has improved in the last couple of years.
MT has a Gross Margin of 10.09%. This is in the lower half of the industry: MT underperforms 79.49% of its industry peers.
In the last couple of years the Gross Margin of MT has grown nicely.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MT 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.
The debt/assets ratio for MT is higher compared to a year ago.
2.2 Solvency
MT has a debt to FCF ratio of 15.69. This is a negative value and a sign of low solvency as MT would need 15.69 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 15.69, MT is doing worse than 71.79% of the companies in the same industry.
A Debt/Equity ratio of 0.19 indicates that MT is not too dependend on debt financing.
MT's Debt to Equity ratio of 0.19 is fine compared to the rest of the industry. MT outperforms 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 15.69 | ||
| Altman-Z | N/A |
ROIC/WACC0.32
WACC8.77%
2.3 Liquidity
A Current Ratio of 1.40 indicates that MT should not have too much problems paying its short term obligations.
MT has a Current ratio of 1.40. This is amonst the worse of the industry: MT underperforms 82.05% of its industry peers.
A Quick Ratio of 0.59 indicates that MT may have some problems paying its short term obligations.
MT has a Quick ratio of 0.59. This is amonst the worse of the industry: MT underperforms 82.05% of its industry peers.
| 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.
MT shows a decrease in Revenue. In the last year, the revenue decreased by -4.81%.
The Revenue has been decreasing by -2.43% on average over the past years.
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 23.77% yearly.
MT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.46% yearly.
EPS Next Y32.71%
EPS Next 2Y31.91%
EPS Next 3Y23.77%
EPS Next 5YN/A
Revenue Next Year-2.38%
Revenue Next 2Y1.46%
Revenue Next 3Y1.97%
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.
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
A Price/Earnings ratio of 9.50 indicates a reasonable valuation of MT.
76.92% of the companies in the same industry are more expensive than MT, based on the Price/Earnings ratio.
MT is valuated cheaply when we compare the Price/Earnings ratio to 26.86, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 6.51, the valuation of MT can be described as very cheap.
Based on the Price/Forward Earnings ratio, MT is valued cheaper than 92.31% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.94. MT is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.5 | ||
| Fwd PE | 6.51 |
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 66.67% of the companies listed in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as MT.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.47 | ||
| EV/EBITDA | 6.01 |
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)0.29
PEG (5Y)N/A
EPS Next 2Y31.91%
EPS Next 3Y23.77%
5. Dividend
5.1 Amount
MT has a Yearly Dividend Yield of 1.63%. Purely for dividend investing, there may be better candidates out there.
MT's Dividend Yield is comparable with the industry average which is at 2.88.
Compared to the average S&P500 Dividend Yield of 2.36, MT is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.63% |
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
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 2Y31.91%
EPS Next 3Y23.77%
AMS:MT (8/21/2025, 2:03:34 PM)
28.59
-0.67 (-2.29%)
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 Cap24.38B
Analysts78.46
Price Target32.36 (13.19%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.63% |
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)0.56%
PT rev (3m)0.18%
EPS NQ rev (1m)-25.83%
EPS NQ rev (3m)-31.32%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)3.96%
Revenue NQ rev (3m)-1.87%
Revenue NY rev (1m)0.69%
Revenue NY rev (3m)0.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.5 | ||
| Fwd PE | 6.51 | ||
| P/S | 0.47 | ||
| P/FCF | 32.47 | ||
| P/OCF | 5.78 | ||
| P/B | 0.52 | ||
| P/tB | 0.58 | ||
| EV/EBITDA | 6.01 |
EPS(TTM)3.01
EY10.53%
EPS(NY)4.39
Fwd EY15.36%
FCF(TTM)0.88
FCFY3.08%
OCF(TTM)4.94
OCFY17.29%
SpS61.02
BVpS54.73
TBVpS49.35
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
WACC8.77%
ROIC/WACC0.32
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 Y32.71%
EPS Next 2Y31.91%
EPS Next 3Y23.77%
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-2.38%
Revenue Next 2Y1.46%
Revenue Next 3Y1.97%
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%