South32 Limited operates as a diversified metals and mining company primarily in Australia, Southern Africa, North America, and South America. More Details
No risks detected for S32 from our risk checks.
Fair value with moderate growth potential.
Share Price & News
How has South32's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: S32 is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: S32's weekly volatility (5%) has been stable over the past year.
7 Day Return
AU Metals and Mining
1 Year Return
AU Metals and Mining
Return vs Industry: S32 underperformed the Australian Metals and Mining industry which returned 55.9% over the past year.
Return vs Market: S32 exceeded the Australian Market which returned 37.1% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is South32's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StIs South32 (ASX:S32) A Risky Investment?
1 month ago | Simply Wall StAre Insiders Buying South32 Limited (ASX:S32) Stock?
2 months ago | Simply Wall StIs South32 (ASX:S32) Using Capital Effectively?
Is South32 undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: S32 (A$2.92) is trading below our estimate of fair value (A$7.18)
Significantly Below Fair Value: S32 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: S32 is unprofitable, so we can't compare its PE Ratio to the AU Metals and Mining industry average.
PE vs Market: S32 is unprofitable, so we can't compare its PE Ratio to the Australian market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate S32's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: S32 is good value based on its PB Ratio (1.1x) compared to the AU Metals and Mining industry average (2.6x).
How is South32 forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: S32 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).
Earnings vs Market: S32 is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: S32's is expected to become profitable in the next 3 years.
Revenue vs Market: S32's revenue (1.7% per year) is forecast to grow slower than the Australian market (5.8% per year).
High Growth Revenue: S32's revenue (1.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: S32's Return on Equity is forecast to be low in 3 years time (8.1%).
How has South32 performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: S32 is currently unprofitable.
Growing Profit Margin: S32 is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: S32 is unprofitable, but has reduced losses over the past 5 years at a rate of 24.9% per year.
Accelerating Growth: Unable to compare S32's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: S32 is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (26.1%).
Return on Equity
High ROE: S32 has a negative Return on Equity (-1.17%), as it is currently unprofitable.
How is South32's financial position?
Financial Position Analysis
Short Term Liabilities: S32's short term assets ($2.8B) exceed its short term liabilities ($1.5B).
Long Term Liabilities: S32's short term assets ($2.8B) do not cover its long term liabilities ($3.5B).
Debt to Equity History and Analysis
Debt Level: S32's debt to equity ratio (4.5%) is considered satisfactory.
Reducing Debt: S32's debt to equity ratio has increased from 2.2% to 4.5% over the past 5 years.
Debt Coverage: S32's debt is well covered by operating cash flow (271.3%).
Interest Coverage: S32 is unprofitable, therefore interest payments are not well covered by earnings.
What is South32 current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: S32's dividend (1.08%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (1.99%).
High Dividend: S32's dividend (1.08%) is low compared to the top 25% of dividend payers in the Australian market (5.31%).
Stability and Growth of Payments
Stable Dividend: S32 is not paying a notable dividend for the Australian market, therefore no need to check if payments are stable.
Growing Dividend: S32 is not paying a notable dividend for the Australian market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: S32 is not paying a notable dividend for the Australian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of S32's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Graham Kerr (49 yo)
Mr. Graham Kerr, BBus, FCPA, has been the Chief Executive Officer and Managing Director of South32 Limited since August 2014 and December 9, 2015 respectively. He is responsible for running all facets of t...
CEO Compensation Analysis
Compensation vs Market: Graham's total compensation ($USD5.04M) is above average for companies of similar size in the Australian market ($USD3.43M).
Compensation vs Earnings: Graham's compensation has increased whilst the company is unprofitable.
Experienced Management: S32's management team is considered experienced (2.5 years average tenure).
Experienced Board: S32's board of directors are considered experienced (5.9 years average tenure).
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
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
South32 Limited's company bio, employee growth, exchange listings and data sources
- Name: South32 Limited
- Ticker: S32
- Exchange: ASX
- Founded: 2000
- Industry: Diversified Metals and Mining
- Sector: Materials
- Market Cap: AU$13.760b
- Shares outstanding: 4.71b
- Website: https://www.south32.net
Number of Employees
- South32 Limited
- 108 St Georges Terrace
- Level 47
- Western Australia
South32 Limited operates as a diversified metals and mining company primarily in Australia, Southern Africa, North America, and South America. The company has a portfolio of assets producing alumina, alumi...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/04/11 08:18|
|End of Day Share Price||2021/04/09 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.