BME:ACX

Stock Analysis Report

Executive Summary

Acerinox, S.A., through its subsidiaries, manufactures, transforms, and markets stainless steel products in Spain, the Americas, Africa, Asia, Oceania, and rest of Europe.

Snowflake

Fundamentals

Excellent balance sheet established dividend payer.


Similar Companies

Share Price & News

How has Acerinox's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

5.5%

BME:ACX

4.2%

ES Metals and Mining

0.8%

ES Market


1 Year Return

-27.3%

BME:ACX

1.8%

ES Metals and Mining

-2.0%

ES Market

ACX underperformed the Metals and Mining industry which returned 1.8% over the past year.

ACX underperformed the Market in Spain which returned -2% over the past year.


Share holder returns

ACXIndustryMarket
7 Day5.5%4.2%0.8%
30 Day18.7%12.4%4.3%
90 Day-0.5%-2.0%-0.4%
1 Year-23.4%-27.3%8.9%1.8%1.2%-2.0%
3 Year-14.6%-24.0%54.8%34.9%17.7%6.8%
5 Year-22.3%-35.1%32.3%9.3%0.8%-18.2%

Price Volatility Vs. Market

How volatile is Acerinox's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Acerinox undervalued based on future cash flows and its price relative to the stock market?

22%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Acerinox's share price is below the future cash flow value, and at a moderate discount (> 20%).

Acerinox's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Acerinox is overvalued based on earnings compared to the Europe Metals and Mining industry average.

Acerinox is good value based on earnings compared to the Spain market.


Price Based on Expected Growth

Acerinox is good value based on expected growth next year.


Price Based on Value of Assets

Acerinox is overvalued based on assets compared to the Europe Metals and Mining industry average.


Next Steps

Future Growth

How is Acerinox expected to perform in the next 1 to 3 years based on estimates from 13 analysts?

15.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Acerinox's revenue is expected to grow by 4.1% yearly, however this is not considered high growth (20% yearly).

Acerinox's earnings are expected to grow by 15.9% yearly, however this is not considered high growth (20% yearly).

Acerinox's revenue growth is expected to exceed the Spain market average.

Acerinox's earnings growth is expected to exceed the Spain market average.

Acerinox's earnings growth is expected to exceed the low risk savings rate of 1.5%.


Earnings per Share Growth Estimates


Future Return on Equity

Acerinox is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Acerinox performed over the past 5 years?

23.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Acerinox has delivered over 20% year on year earnings growth in the past 5 years.

Acerinox's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Acerinox's 1-year earnings growth is negative, it can't be compared to the Europe Metals and Mining industry average.


Return on Equity

Acerinox has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Acerinox used its assets less efficiently than the Europe Metals and Mining industry average last year based on Return on Assets.


Return on Capital Employed

Acerinox has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Acerinox's financial position?


Financial Position Analysis

Acerinox is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Acerinox's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Acerinox's level of debt (72.9%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (87.3% vs 72.9% today).

Debt is well covered by operating cash flow (20.3%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 15x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.7x debt.


Next Steps

Dividend

What is Acerinox's current dividend yield, its reliability and sustainability?

5.95%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Acerinox's pays a higher dividend yield than the bottom 25% of dividend payers in Spain (2.03%).

Acerinox's dividend is above the markets top 25% of dividend payers in Spain (5.35%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.2x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.7x coverage).


Next Steps

Management

What is the CEO of Acerinox's salary, the management and board of directors tenure and is there insider trading?

4.1yrs

Average board tenure


CEO

Bernardo Velázquez Herreros (55yo)

9.2yrs

Tenure

€1,121,000

Compensation

Mr. Bernardo Velázquez Herreros has been the Chief Executive Officer of Acerinox, S.A. since July 2010. Mr. Herreros served as Managing Director of Acerinox, S.A from 2007 to 2010. Mr. Velázquez Herreros  ...


CEO Compensation Analysis

Bernardo's remuneration is higher than average for companies of similar size in Spain.

Bernardo's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Board Age and Tenure

4.1yrs

Average Tenure

64yo

Average Age

The tenure for the Acerinox board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Miguel Ferrandis Torres

    Chief Financial Director

    • Tenure: 0yrs
  • Bernardo Velázquez Herreros (55yo)

    CEO & Executive Director

    • Tenure: 9.2yrs
    • Compensation: €1.12m
  • Lucien Matthews (64yo)

    Chief Executive of Columbus Stainless

    • Tenure: 4.8yrs
  • Luis Gimeno Valledor

    General Counsel & General Secretary

    • Tenure: 0yrs
  • Antonio Fernández-Pacheco Martínez

    Managing Director

    • Tenure: 0yrs
  • Carlos Lora-Tamayo

    Head of Investor & Media Relations

    • Tenure: 0yrs
  • Cristóbal Fuentes Tovar

    Chief Executive of North American Stainless

    • Tenure: 0yrs
  • Jorge Rodríguez Rovira

    Chief Executive of Roldán

    • Tenure: 0yrs
  • Ángel Bruñén Cea

    Chief Executive of Inoxfil

    • Tenure: 0yrs
  • Luis Gutiérrez Mas

    Chief Executive of Inoxcenter

    • Tenure: 0yrs

Board Members

  • Rafael Miranda Robredo (70yo)

    Chairman

    • Tenure: 5.4yrs
    • Compensation: €158.00k
  • Santos Martínez-Conde Gutiérrez-Barquín (64yo)

    External Proprietary Director

    • Tenure: 17.3yrs
    • Compensation: €81.00k
  • Bernardo Velázquez Herreros (55yo)

    CEO & Executive Director

    • Tenure: 9.2yrs
    • Compensation: €1.12m
  • Braulio Medel Cámara

    External Independent Director

    • Tenure: 11.3yrs
    • Compensation: €77.00k
  • Ryo Hattori

    External Proprietary Director

    • Tenure: 10.3yrs
    • Compensation: €88.00k
  • Tomás Hevia Armengol

    External Proprietary Director

    • Tenure: 2.8yrs
  • Laura González-Molero

    External Independent Director

    • Tenure: 2.7yrs
  • Rosa María García García Piñeiro

    External Independent Director

    • Tenure: 2.7yrs
  • Marta Martínez Alonso

    External Independent Director

    • Tenure: 2.7yrs
  • Pablo Gómez Garzón

    Propriety Director

    • Tenure: 0.4yrs

Company Information

Acerinox, S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Acerinox, S.A.
  • Ticker: ACX
  • Exchange: BME
  • Founded: 1970
  • Industry: Steel
  • Sector: Materials
  • Market Cap: €2.301b
  • Shares outstanding: 270.18m
  • Website: https://www.acerinox.com

Number of Employees


Location

  • Acerinox, S.A.
  • Calle Santiago de Compostela, 100
  • Madrid
  • Madrid
  • 28035
  • Spain

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ACE1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 1987
ACXBME (Bolsas y Mercados Espanoles)YesOrdinary SharesESEURDec 1987
0OIQLSE (London Stock Exchange)YesOrdinary SharesGBEURDec 1987
ACXEBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURDec 1987
ACXWBAG (Wiener Boerse AG)YesOrdinary SharesATEURDec 1987
ACX NBMV (Bolsa Mexicana de Valores)YesOrdinary SharesMXMXNDec 1987
ANIO.YOTCPK (Pink Sheets LLC)ADRUSUSDOct 2008

Biography

Acerinox, S.A., through its subsidiaries, manufactures, transforms, and markets stainless steel products in Spain, the Americas, Africa, Asia, Oceania, and rest of Europe. The company’s Flat Products segme ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/15 20:33
End of Day Share Price2019/09/13 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.