BlueScope Steel (ASX:BSL) - Share price, News & Analysis

BSL fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	0/6
Past Performance	6/6
Financial Health	6/6
Dividends	3/6

BSL Stock Overview

Rewards

PE ratio (3.3x) is below the Australian market (16.1x)

Earnings grew by 975.9% over the past year

Risk Analysis

Earnings are forecast to decline by an average of 42.4% per year for the next 3 years

Unstable dividend track record

BlueScope Steel Peers

Sims

ASX:SGM

AU$3.5b

Champion Iron

ASX:CIA

AU$3.6b

Coronado Global Resources

ASX:CRN

AU$3.8b

Deterra Royalties

ASX:DRR

AU$2.4b

Price History & Performance

Summary of all time highs, changes and price drops for BlueScope Steel
Historical stock prices
Current Share Price	AU$17.93
52 Week High	AU$26.15
52 Week Low	AU$17.32
Beta	1.43
1 Month Change	-16.33%
3 Month Change	-5.78%
1 Year Change	-15.38%
3 Year Change	46.49%
5 Year Change	55.51%
Change since IPO	-0.39%

Recent News & Updates

May 15

Shareholders Would Enjoy A Repeat Of BlueScope Steel's (ASX:BSL) Recent Growth In Returns

There are a few key trends to look for if we want to identify the next multi-bagger. Ideally, a business will show two...

Apr 28

Do BlueScope Steel's (ASX:BSL) Earnings Warrant Your Attention?

It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...

Feb 23

BlueScope Steel (ASX:BSL) Will Pay A Larger Dividend Than Last Year At AU$0.25

BlueScope Steel Limited's ( ASX:BSL ) dividend will be increasing to AU$0.25 on 29th of March. Although the dividend is...

Shareholder Returns

	BSL	AU Metals and Mining	AU Market
7D	1.2%	0.5%	0.7%
1Y	-15.4%	-0.2%	2.1%

Return vs Industry: BSL underperformed the Australian Metals and Mining industry which returned -4.8% over the past year.

Return vs Market: BSL underperformed the Australian Market which returned -0.2% over the past year.

Price Volatility

Is BSL's price volatile compared to industry and market?
BSL volatility
BSL Average Weekly Movement	5.8%
Metals and Mining Industry Average Movement	11.2%
Market Average Movement	9.4%
10% most volatile stocks in AU Market	16.7%
10% least volatile stocks in AU Market	4.3%

Stable Share Price: BSL is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: BSL's weekly volatility (6%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1885	14,000	Mark Vassella	https://www.bluescope.com

BlueScope Steel Limited produces and sells metal coated and painted steel building products in Australia, New Zealand, Thailand, Indonesia, Malaysia, Vietnam, North America, the Pacific Islands, and Asia. The company operates through five segments: Australian Steel Products, North Star BlueScope Steel, Building Products Asia & North America, Buildings North America, and New Zealand & Pacific Islands. It offers steel slabs, plates, hot and cold rolled coils, coated and painted strip products, roof and wall claddings, and purlins and house framings under the LYSAGHT steel building products, COLORBOND steel, COLORSTEEL, ZINCALUME steel, GALVABOND steel, GALVASPAN steel, BlueScope Zacs, and SuperDyma brands.

BlueScope Steel Fundamentals Summary

How do BlueScope Steel's earnings and revenue compare to its market cap?
BSL fundamental statistics
Market Cap	AU$8.34b
Earnings (TTM)	AU$2.50b
Revenue (TTM)	AU$16.51b

3.3x

P/E Ratio

0.5x

P/S Ratio

Is BSL overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
BSL income statement (TTM)
Revenue	AU$16.51b
Cost of Revenue	AU$9.00b
Gross Profit	AU$7.51b
Other Expenses	AU$5.00b
Earnings	AU$2.50b

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Aug 15, 2022

Earnings per share (EPS)	5.38
Gross Margin	45.47%
Net Profit Margin	15.15%
Debt/Equity Ratio	7.4%

How did BSL perform over the long term?

See historical performance and comparison

Dividends

2.8%

Current Dividend Yield

10%

Payout Ratio

New valuation analysis is now available for all ASX stocks. This is in beta.

Future Growth

How is BlueScope Steel forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-42.4%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: BSL's earnings are forecast to decline over the next 3 years (-42.4% per year).

Earnings vs Market: BSL's earnings are forecast to decline over the next 3 years (-42.4% per year).

High Growth Earnings: BSL's earnings are forecast to decline over the next 3 years.

Revenue vs Market: BSL's revenue is expected to decline over the next 3 years (-6.4% per year).

High Growth Revenue: BSL's revenue is forecast to decline over the next 3 years (-6.4% per year).

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: BSL's Return on Equity is forecast to be low in 3 years time (8.7%).

Past Performance

How has BlueScope Steel performed over the past 5 years?

Past Performance Score

6/6

Past Performance Score 6/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

5.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: BSL has high quality earnings.

Growing Profit Margin: BSL's current net profit margins (15.2%) are higher than last year (2.1%).

Past Earnings Growth Analysis

Earnings Trend: BSL's earnings have grown by 5.6% per year over the past 5 years.

Accelerating Growth: BSL's earnings growth over the past year (975.9%) exceeds its 5-year average (5.6% per year).

Earnings vs Industry: BSL earnings growth over the past year (975.9%) exceeded the Metals and Mining industry 57.8%.

Return on Equity

High ROE: BSL's Return on Equity (28%) is considered high.

Financial Health

How is BlueScope Steel's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: BSL's short term assets (A$7.3B) exceed its short term liabilities (A$3.5B).

Long Term Liabilities: BSL's short term assets (A$7.3B) exceed its long term liabilities (A$1.7B).

Debt to Equity History and Analysis

Debt Level: BSL has more cash than its total debt.

Reducing Debt: BSL's debt to equity ratio has reduced from 16.8% to 7.4% over the past 5 years.

Debt Coverage: BSL's debt is well covered by operating cash flow (307.1%).

Interest Coverage: BSL's interest payments on its debt are well covered by EBIT (64.8x coverage).

Balance Sheet

Dividend

What is BlueScope Steel current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

2.79%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: BSL's dividend (2.79%) is higher than the bottom 25% of dividend payers in the Australian market (2.56%).

High Dividend: BSL's dividend (2.79%) is low compared to the top 25% of dividend payers in the Australian market (6.12%).

Stability and Growth of Payments

Stable Dividend: BSL has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: BSL's dividend payments have increased, but the company has only paid a dividend for 7 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (10%), BSL's dividend payments are thoroughly covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (17.6%), BSL's dividend payments are well covered by cash flows.

Next Steps

Explore strong dividend paying companies in the Materials industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

4.3yrs

Average management tenure

CEO

Mark Vassella (58 yo)

4.33yrs

Tenure

AU$5,518,779

Compensation

Mr. Mark Royce Vassella, BCom, MBA has been Managing Director, Chief Executive Officer and Executive Director of BlueScope Steel Limited since January 01, 2018. Mr. Vassella joined BlueScope following its...

CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD3.82M) is above average for companies of similar size in the Australian market ($USD2.37M).

Compensation vs Earnings: Mark's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: BSL's management team is considered experienced (4.3 years average tenure).

Board Members

Experienced Board: BSL's board of directors are considered experienced (4.3 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/17 00:00
End of Day Share Price	2022/05/17 00:00
Earnings	2021/12/31
Annual Earnings	2021/06/30