Sims Limited engages in buying, processing, and selling ferrous and non-ferrous recycled metals in Australia, China, Turkey, South Korea, the United States, and internationally. More Details
No risks detected for SGM from our risk checks.
Adequate balance sheet with limited growth.
Share Price & News
How has Sims's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SGM is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: SGM's weekly volatility (4%) has been stable over the past year.
7 Day Return
AU Metals and Mining
1 Year Return
AU Metals and Mining
Return vs Industry: SGM exceeded the Australian Metals and Mining industry which returned 36% over the past year.
Return vs Market: SGM exceeded the Australian Market which returned 27.3% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Sims's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StSims (ASX:SGM) Shareholders Booked A 85% Gain In The Last Year
1 month ago | Simply Wall StDid Sims Limited (ASX:SGM) Insiders Buy Up More Shares?
4 months ago | Simply Wall StHealth Check: How Prudently Does Sims (ASX:SGM) Use Debt?
Is Sims undervalued compared to its fair value and its price relative to the market?
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: SGM (A$15.94) is trading above our estimate of fair value (A$9.36)
Significantly Below Fair Value: SGM is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: SGM is unprofitable, so we can't compare its PE Ratio to the Australian Metals and Mining industry average.
PE vs Market: SGM 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 SGM's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: SGM is good value based on its PB Ratio (1.7x) compared to the AU Metals and Mining industry average (2.6x).
How is Sims forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SGM's forecast earnings growth (0.7% per year) is below the savings rate (1.9%).
Earnings vs Market: SGM is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: SGM's is expected to become profitable in the next 3 years.
Revenue vs Market: SGM's revenue (3% per year) is forecast to grow slower than the Australian market (5.3% per year).
High Growth Revenue: SGM's revenue (3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SGM's Return on Equity is forecast to be low in 3 years time (8%).
How has Sims performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SGM is currently unprofitable.
Growing Profit Margin: SGM is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: SGM is unprofitable, and losses have increased over the past 5 years at a rate of 13.3% per year.
Accelerating Growth: Unable to compare SGM's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: SGM is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (20.2%).
Return on Equity
High ROE: SGM has a negative Return on Equity (-6.3%), as it is currently unprofitable.
How is Sims's financial position?
Financial Position Analysis
Short Term Liabilities: SGM's short term assets (A$1.1B) exceed its short term liabilities (A$598.1M).
Long Term Liabilities: SGM's short term assets (A$1.1B) exceed its long term liabilities (A$625.0M).
Debt to Equity History and Analysis
Debt Level: SGM's debt to equity ratio (7.5%) is considered satisfactory.
Reducing Debt: SGM's debt to equity ratio has increased from 0% to 7.5% over the past 5 years.
Debt Coverage: SGM's debt is well covered by operating cash flow (82%).
Interest Coverage: Insufficient data to determine if SGM's interest payments on its debt are well covered by EBIT.
What is Sims's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SGM's dividend (0.75%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (1.99%).
High Dividend: SGM's dividend (0.75%) is low compared to the top 25% of dividend payers in the Australian market (4.98%).
Stability and Growth of Payments
Stable Dividend: SGM is not paying a notable dividend for the Australian market, therefore no need to check if payments are stable.
Growing Dividend: SGM is not paying a notable dividend for the Australian market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: SGM is not paying a notable dividend for the Australian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of SGM's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Alistair Field (57 yo)
Mr. Alistair Field, (NHD) Mech Eng, MBA, has been Group Chief Executive Officer and Managing Director at Sims Limited (formerly, Sims Metal Management Limited) since August 3, 2017 and served as its Group ...
CEO Compensation Analysis
Compensation vs Market: Alistair's total compensation ($USD3.10M) is above average for companies of similar size in the Australian market ($USD1.18M).
Compensation vs Earnings: Alistair's compensation has been consistent with company performance over the past year.
Experienced Management: SGM's management team is considered experienced (3.6 years average tenure).
Experienced Board: SGM's board of directors are considered experienced (6.8 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.
Sims Limited's company bio, employee growth, exchange listings and data sources
- Name: Sims Limited
- Ticker: SGM
- Exchange: ASX
- Founded: 1917
- Industry: Steel
- Sector: Materials
- Market Cap: AU$3.207b
- Shares outstanding: 201.22m
- Website: https://www.simsmm.com
Number of Employees
- Sims Limited
- 189 O’Riordan Street
- Level 9
- New South Wales
Sims Limited engages in buying, processing, and selling ferrous and non-ferrous recycled metals in Australia, China, Turkey, South Korea, the United States, and internationally. The company operates throug...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/08/02 15:33|
|End of Day Share Price||2021/08/02 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.