Loading...
Back to narrative

MTUS: Labor Agreement Progress Will Support Share Upside Into 2026

US Investments And Domestic Sourcing Will Fuel Future Expansion

MTUS logo
MTUS
AnalystConsensusTarget
Not Invested
Published 18 Sep 2024

Update shared on 11 Dec 2025

Previous
n/a
n/a
AnalystConsensusTarget's Fair Value
n/a
Loading
1Y
29.5%
7D
1.7%

Analysts have nudged their price target on Metallus modestly higher to approximately $20.50 per share, citing slightly increased discount rate and valuation multiple assumptions, while leaving core growth and margin expectations effectively unchanged.

What's in the News

  • Metallus and United Steelworkers (USW) Local 1123 reached a new tentative four year labor agreement after members rejected the prior proposal on October 30, 2025, with a second vote date to be announced and the current contract extended to January 29, 2026 (company filing).
  • The company reported completing repurchases of 733,473 shares, representing 1.74 percent of shares outstanding, for $10.2 million under its buyback program announced May 9, 2024. This included 277,734 shares repurchased between July 1 and October 31, 2025 (company filing).
  • Following the initial rejection of the October 3, 2025 tentative labor agreement, Metallus and USW Local 1123 extended the existing contract by 90 days to January 29, 2026. The extension allows further negotiations while maintaining normal operations for roughly 1,200 Canton, Ohio employees (company announcement).
  • Earlier in the bargaining cycle, Metallus and USW Local 1123 had agreed to a short term contract extension from September 29 to October 15, 2025 so negotiations on a new four year agreement could continue for the Canton workforce (company announcement).

Valuation Changes

  • Fair Value: Unchanged at approximately $20.50 per share, indicating no material shift in intrinsic value assumptions.
  • Discount Rate: Risen slightly from about 8.04 percent to roughly 8.13 percent, reflecting a modestly higher required return.
  • Revenue Growth: Effectively unchanged at around 11.12 percent, suggesting stable medium term top line expectations.
  • Net Profit Margin: Essentially flat at just under 7.90 percent, indicating no meaningful revision to margin outlook.
  • Future P/E: Increased slightly from about 8.43x to roughly 8.45x, implying a marginally higher valuation multiple on forward earnings.

Have other thoughts on Metallus?

Create your own narrative on this stock, and estimate its Fair Value using our Valuator tool.

Create Narrative

Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.