POSCO HOLDINGS INC -SPON ADR (PKX) Stock Fundamental Analysis
USA - NYSE:PKX - US6934831099 - ADR
53.77 USD
-1.02 (-1.86%)
53.15 USD
-0.62 (-1.15%)
Taking everything into account, PKX scores 4 out of 10 in our fundamental rating. PKX was compared to 154 industry peers in the Metals & Mining industry. Both the profitability and the financial health of PKX get a neutral evaluation. Nothing too spectacular is happening here. PKX has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year PKX was profitable.
PKX had a positive operating cash flow in the past year.
Each year in the past 5 years PKX has been profitable.
PKX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 0.47%, PKX is doing good in the industry, outperforming 60.39% of the companies in the same industry.
PKX has a Return On Equity (0.88%) which is in line with its industry peers.
The Return On Invested Capital of PKX (1.70%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for PKX is significantly below the industry average of 12.58%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.47% | ||
| ROE | 0.88% | ||
| ROIC | 1.7% |
ROA(3y)1.98%
ROA(5y)3.04%
ROE(3y)3.7%
ROE(5y)5.56%
ROIC(3y)3.07%
ROIC(5y)4.14%
1.3 Margins
PKX has a Profit Margin (0.68%) which is in line with its industry peers.
In the last couple of years the Profit Margin of PKX has declined.
PKX has a Operating Margin (2.83%) which is in line with its industry peers.
PKX's Operating Margin has declined in the last couple of years.
PKX has a Gross Margin of 7.47%. This is in the lower half of the industry: PKX underperforms 60.39% of its industry peers.
PKX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.83% | ||
| PM (TTM) | 0.68% | ||
| GM | 7.47% |
OM growth 3Y-37.25%
OM growth 5Y-13.03%
PM growth 3Y-44.18%
PM growth 5Y-11.92%
GM growth 3Y-21.79%
GM growth 5Y-5.17%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), PKX is creating some value.
Compared to 1 year ago, PKX has less shares outstanding
Compared to 5 years ago, PKX has less shares outstanding
The debt/assets ratio for PKX has been reduced compared to a year ago.
2.2 Solvency
PKX has an Altman-Z score of 2.02. This is not the best score and indicates that PKX is in the grey zone with still only limited risk for bankruptcy at the moment.
PKX's Altman-Z score of 2.02 is on the low side compared to the rest of the industry. PKX is outperformed by 65.58% of its industry peers.
PKX has a Debt/Equity ratio of 0.39. This is a healthy value indicating a solid balance between debt and equity.
PKX's Debt to Equity ratio of 0.39 is on the low side compared to the rest of the industry. PKX is outperformed by 70.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.02 |
ROIC/WACC0.61
WACC2.79%
2.3 Liquidity
A Current Ratio of 1.93 indicates that PKX should not have too much problems paying its short term obligations.
The Current ratio of PKX (1.93) is worse than 61.69% of its industry peers.
PKX has a Quick Ratio of 1.31. This is a normal value and indicates that PKX is financially healthy and should not expect problems in meeting its short term obligations.
PKX has a Quick ratio of 1.31. This is comparable to the rest of the industry: PKX outperforms 41.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.93 | ||
| Quick Ratio | 1.31 |
3. Growth
3.1 Past
PKX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -48.79%.
The earnings per share for PKX have been decreasing by -12.87% on average. This is quite bad
Looking at the last year, PKX shows a decrease in Revenue. The Revenue has decreased by -5.76% in the last year.
Measured over the past years, PKX shows a small growth in Revenue. The Revenue has been growing by 2.46% on average per year.
EPS 1Y (TTM)-48.79%
EPS 3Y-48.78%
EPS 5Y-12.87%
EPS Q2Q%N/A
Revenue 1Y (TTM)-5.76%
Revenue growth 3Y-1.62%
Revenue growth 5Y2.46%
Sales Q2Q%-5.79%
3.2 Future
Based on estimates for the next years, PKX will show a very strong growth in Earnings Per Share. The EPS will grow by 36.16% on average per year.
Based on estimates for the next years, PKX will show a small growth in Revenue. The Revenue will grow by 1.04% on average per year.
EPS Next Y22.08%
EPS Next 2Y45.29%
EPS Next 3Y36.16%
EPS Next 5YN/A
Revenue Next Year-3.93%
Revenue Next 2Y0.01%
Revenue Next 3Y1.04%
Revenue Next 5YN/A
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
A Price/Earnings ratio of 26.89 indicates a quite expensive valuation of PKX.
Compared to the rest of the industry, the Price/Earnings ratio of PKX indicates a somewhat cheap valuation: PKX is cheaper than 68.83% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.03, PKX is valued at the same level.
With a Price/Forward Earnings ratio of 12.71, PKX is valued correctly.
PKX's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. PKX is cheaper than 72.08% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.27. PKX is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.89 | ||
| Fwd PE | 12.71 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PKX is valued cheaply inside the industry as 99.35% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 3.6 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as PKX's earnings are expected to grow with 36.16% in the coming years.
PEG (NY)1.22
PEG (5Y)N/A
EPS Next 2Y45.29%
EPS Next 3Y36.16%
5. Dividend
5.1 Amount
PKX has a Yearly Dividend Yield of 3.22%.
PKX's Dividend Yield is rather good when compared to the industry average which is at 2.62. PKX pays more dividend than 92.21% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, PKX pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.22% |
5.2 History
The dividend of PKX has a limited annual growth rate of 0.13%.
PKX has paid a dividend for at least 10 years, which is a reliable track record.
PKX has decreased its dividend recently.
Dividend Growth(5Y)0.13%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
177.28% of the earnings are spent on dividend by PKX. This is not a sustainable payout ratio.
The dividend of PKX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP177.28%
EPS Next 2Y45.29%
EPS Next 3Y36.16%
53.77
-1.02 (-1.86%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners23.8%
Inst Owner Change-0.41%
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap16.26B
Revenue(TTM)72688.14B
Net Income(TTM)486.43B
Analysts84
Price Target119.66 (122.54%)
Short Float %0.46%
Short Ratio9.45
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.22% |
Yearly Dividend1.95
Dividend Growth(5Y)0.13%
DP177.28%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-35.83%
Min EPS beat(2)-53.41%
Max EPS beat(2)-18.26%
EPS beat(4)0
Avg EPS beat(4)-82.02%
Min EPS beat(4)-241.94%
Max EPS beat(4)-14.46%
EPS beat(8)2
Avg EPS beat(8)-61.14%
EPS beat(12)2
Avg EPS beat(12)-64.89%
EPS beat(16)6
Avg EPS beat(16)-37.99%
Revenue beat(2)0
Avg Revenue beat(2)-2.81%
Min Revenue beat(2)-4.26%
Max Revenue beat(2)-1.36%
Revenue beat(4)0
Avg Revenue beat(4)-2.96%
Min Revenue beat(4)-4.26%
Max Revenue beat(4)-1.36%
Revenue beat(8)0
Avg Revenue beat(8)-4.32%
Revenue beat(12)0
Avg Revenue beat(12)-4.14%
Revenue beat(16)4
Avg Revenue beat(16)-1.37%
PT rev (1m)-17.31%
PT rev (3m)-12.71%
EPS NQ rev (1m)-15.87%
EPS NQ rev (3m)-13.1%
EPS NY rev (1m)0%
EPS NY rev (3m)-15.3%
Revenue NQ rev (1m)-1.27%
Revenue NQ rev (3m)-1.76%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.89 | ||
| Fwd PE | 12.71 | ||
| P/S | 0.33 | ||
| P/FCF | N/A | ||
| P/OCF | 3.87 | ||
| P/B | 0.42 | ||
| P/tB | 0.46 | ||
| EV/EBITDA | 3.6 |
EPS(TTM)2
EY3.72%
EPS(NY)4.23
Fwd EY7.87%
FCF(TTM)-3.14
FCFYN/A
OCF(TTM)13.89
OCFY25.83%
SpS164.41
BVpS128.06
TBVpS117.02
PEG (NY)1.22
PEG (5Y)N/A
Graham Number75.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.47% | ||
| ROE | 0.88% | ||
| ROCE | 2.5% | ||
| ROIC | 1.7% | ||
| ROICexc | 2.05% | ||
| ROICexgc | 2.2% | ||
| OM | 2.83% | ||
| PM (TTM) | 0.68% | ||
| GM | 7.47% | ||
| FCFM | N/A |
ROA(3y)1.98%
ROA(5y)3.04%
ROE(3y)3.7%
ROE(5y)5.56%
ROIC(3y)3.07%
ROIC(5y)4.14%
ROICexc(3y)3.9%
ROICexc(5y)5.37%
ROICexgc(3y)4.2%
ROICexgc(5y)5.81%
ROCE(3y)4.54%
ROCE(5y)6.12%
ROICexgc growth 3Y-42.78%
ROICexgc growth 5Y-15.62%
ROICexc growth 3Y-42.66%
ROICexc growth 5Y-15.23%
OM growth 3Y-37.25%
OM growth 5Y-13.03%
PM growth 3Y-44.18%
PM growth 5Y-11.92%
GM growth 3Y-21.79%
GM growth 5Y-5.17%
F-Score4
Asset Turnover0.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.49 | ||
| Cap/Depr | 179.72% | ||
| Cap/Sales | 10.36% | ||
| Interest Coverage | 2.15 | ||
| Cash Conversion | 98.26% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.93 | ||
| Quick Ratio | 1.31 | ||
| Altman-Z | 2.02 |
F-Score4
WACC2.79%
ROIC/WACC0.61
Cap/Depr(3y)179.86%
Cap/Depr(5y)146.85%
Cap/Sales(3y)9%
Cap/Sales(5y)7.53%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-48.79%
EPS 3Y-48.78%
EPS 5Y-12.87%
EPS Q2Q%N/A
EPS Next Y22.08%
EPS Next 2Y45.29%
EPS Next 3Y36.16%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.76%
Revenue growth 3Y-1.62%
Revenue growth 5Y2.46%
Sales Q2Q%-5.79%
Revenue Next Year-3.93%
Revenue Next 2Y0.01%
Revenue Next 3Y1.04%
Revenue Next 5YN/A
EBIT growth 1Y-28.97%
EBIT growth 3Y-38.27%
EBIT growth 5Y-10.89%
EBIT Next Year144.89%
EBIT Next 3Y45.25%
EBIT Next 5YN/A
FCF growth 1Y-198.63%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-24.07%
OCF growth 3Y2.62%
OCF growth 5Y2.57%
POSCO HOLDINGS INC -SPON ADR / PKX FAQ
Can you provide the ChartMill fundamental rating for POSCO HOLDINGS INC -SPON ADR?
ChartMill assigns a fundamental rating of 4 / 10 to PKX.
What is the valuation status of POSCO HOLDINGS INC -SPON ADR (PKX) stock?
ChartMill assigns a valuation rating of 4 / 10 to POSCO HOLDINGS INC -SPON ADR (PKX). This can be considered as Fairly Valued.
How profitable is POSCO HOLDINGS INC -SPON ADR (PKX) stock?
POSCO HOLDINGS INC -SPON ADR (PKX) has a profitability rating of 4 / 10.
What are the PE and PB ratios of POSCO HOLDINGS INC -SPON ADR (PKX) stock?
The Price/Earnings (PE) ratio for POSCO HOLDINGS INC -SPON ADR (PKX) is 26.89 and the Price/Book (PB) ratio is 0.42.
How sustainable is the dividend of POSCO HOLDINGS INC -SPON ADR (PKX) stock?
The dividend rating of POSCO HOLDINGS INC -SPON ADR (PKX) is 5 / 10 and the dividend payout ratio is 177.28%.