LSE:EVR

Stock Analysis Report

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Executive Summary

EVRAZ plc, together with its subsidiaries, produces and distributes steel and related products in Russia, the Americas, Asia, Europe, CIS, Africa, and internationally. More Details


Snowflake Analysis

Mediocre balance sheet second-rate dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: EVR is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: EVR's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

0.4%

EVR

-1.3%

GB Metals and Mining

-0.1%

GB Market


1 Year Return

25.8%

EVR

23.6%

GB Metals and Mining

-8.1%

GB Market

Return vs Industry: EVR exceeded the UK Metals and Mining industry which returned 23.6% over the past year.

Return vs Market: EVR exceeded the UK Market which returned -8.1% over the past year.


Shareholder returns

EVRIndustryMarket
7 Day0.4%-1.3%-0.1%
30 Day8.6%7.3%3.7%
90 Day33.5%32.3%16.2%
1 Year45.4%25.8%29.7%23.6%-4.3%-8.1%
3 Year105.7%34.5%50.6%26.1%3.8%-8.9%
5 Year1,290.9%730.7%360.8%252.4%46.9%13.6%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is EVRAZ undervalued compared to its fair value and its price relative to the market?

19.2x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: EVR (£5.04) is trading above our estimate of fair value (£4.82)

Significantly Below Fair Value: EVR is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: EVR is poor value based on its PE Ratio (19.2x) compared to the GB Metals and Mining industry average (15x).

PE vs Market: EVR is good value based on its PE Ratio (19.2x) compared to the UK market (22.9x).


Price to Earnings Growth Ratio

PEG Ratio: EVR is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: EVR is overvalued based on its PB Ratio (10.9x) compared to the GB Metals and Mining industry average (2.2x).


Next Steps

Future Growth

How is EVRAZ forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

15.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EVR's forecast earnings growth (15.8% per year) is above the savings rate (1%).

Earnings vs Market: EVR's earnings (15.8% per year) are forecast to grow slower than the UK market (25.4% per year).

High Growth Earnings: EVR's earnings are forecast to grow, but not significantly.

Revenue vs Market: EVR's revenue (5.3% per year) is forecast to grow slower than the UK market (6.5% per year).

High Growth Revenue: EVR's revenue (5.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EVR's Return on Equity is forecast to be very high in 3 years time (53.5%).


Next Steps

Past Performance

How has EVRAZ performed over the past 5 years?

54.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EVR has a large one-off loss of $421.0M impacting its June 30 2020 financial results.

Growing Profit Margin: EVR's current net profit margins (4.8%) are lower than last year (12.7%).


Past Earnings Growth Analysis

Earnings Trend: EVR has become profitable over the past 5 years, growing earnings by 54.3% per year.

Accelerating Growth: EVR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: EVR had negative earnings growth (-67.6%) over the past year, making it difficult to compare to the Metals and Mining industry average (-23.3%).


Return on Equity

High ROE: Whilst EVR's Return on Equity (47.13%) is outstanding, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is EVRAZ's financial position?


Financial Position Analysis

Short Term Liabilities: EVR's short term assets ($3.5B) exceed its short term liabilities ($3.0B).

Long Term Liabilities: EVR's short term assets ($3.5B) do not cover its long term liabilities ($4.8B).


Debt to Equity History and Analysis

Debt Level: EVR's debt to equity ratio (437.2%) is considered high.

Reducing Debt: EVR's debt to equity ratio has increased from 339.8% to 437.2% over the past 5 years.

Debt Coverage: EVR's debt is well covered by operating cash flow (41.1%).

Interest Coverage: EVR's interest payments on its debt are well covered by EBIT (4.9x coverage).


Balance Sheet


Next Steps

Dividend

What is EVRAZ current dividend yield, its reliability and sustainability?

16.76%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: EVR's dividend (16.76%) is higher than the bottom 25% of dividend payers in the UK market (1.54%).

High Dividend: EVR's dividend (16.76%) is in the top 25% of dividend payers in the UK market (4.55%)


Stability and Growth of Payments

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

Growing Dividend: EVR's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (167.9%), EVR's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: EVR's dividends in 3 years are forecast to be covered by earnings (70.8% payout ratio).


Next Steps

Management

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

5.8yrs

Average management tenure


CEO

Alexander Frolov (56 yo)

9.25yrs

Tenure

US$2,657,970

Compensation

Mr. Alexander Vladimirovich Frolov has been Chief Executive Officer of Evraz Plc (also known as Evraz Group) since October 14, 2011. Mr. Frolov served as President and Managing Director of Corporate of Evr...


CEO Compensation Analysis

Compensation vs Market: Alexander's total compensation ($USD2.66M) is about average for companies of similar size in the UK market ($USD3.78M).

Compensation vs Earnings: Alexander's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Alexander Frolov
CEO & Executive Director9.25yrsUS$2.66m0.053%
$ 3.9m
Nikolay Ivanov
Chief Financial Officer4.17yrsno data0.035%
$ 2.6m
Irina Bakhturina
Director of Investor Relations5.83yrsno datano data
Sergey Vasiliev
Vice President of Compliance with Business Procedures & Asset Protection5.5yrsno datano data
Yanina Staniulenaite
Vice President of Legal2.58yrsno datano data
Vsevolod Sementsov
Vice President of Corporate Communications7.58yrsno datano data
Ilya Shirokobrod
Vice President of Sales6.17yrsno datano data
Natalia Ionova
Vice President of Human Resources15yrsno datano data
Aleksey Ivanov
Senior Vice President of Commerce & Business Development9.67yrsno datano data
Denis Novozhenov
VP & Head of Urals Divisionno datano datano data
Alexey Soldatenkov
VP & Head of the Siberia Division5.08yrsno datano data
Alexander Erenburg
VP & Head of Vanadium Division2.08yrsno datano data

5.8yrs

Average Tenure

48yo

Average Age

Experienced Management: EVR's management team is seasoned and experienced (5.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Alexander Frolov
CEO & Executive Director9.25yrsUS$2.66m0.053%
$ 3.9m
Alexander Izosimov
Independent Non-Executive Director8.92yrsUS$278.00k0.0055%
$ 403.0k
Eugene Shvidler
Non-Executive Director9.25yrsUS$204.00k0.060%
$ 4.4m
Eugene Tenenbaum
Non-Executive Director9.25yrsUS$180.00kno data
Karl Gruber
Independent Non-Executive Director9.25yrsUS$254.00kno data
Alexander Abramov
Non-Executive Chairman9.25yrsUS$780.00k0.10%
$ 7.7m
Michael Charles Peat
Senior Independent Non-Executive Directorno dataUS$254.00kno data
Laurie Argo
Independent Non-Executive Director2.42yrsUS$204.00kno data
Deborah Gudgeon
Independent Non-Executive Director5.67yrsUS$304.00kno data

9.3yrs

Average Tenure

56yo

Average Age

Experienced Board: EVR's board of directors are considered experienced (9.3 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.


Ownership Breakdown

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


Top Shareholders

Company Information

EVRAZ plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: EVRAZ plc
  • Ticker: EVR
  • Exchange: LSE
  • Founded: 1992
  • Industry: Steel
  • Sector: Materials
  • Market Cap: UK£7.340b
  • Shares outstanding: 1.46b
  • Website: https://www.evraz.com

Number of Employees


Location

  • EVRAZ plc
  • 2 Portman
  • Block B
  • London
  • W1H 6DU
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EVRLSE (London Stock Exchange)YesOrdinary SharesGBGBPNov 2011
EVZDB (Deutsche Boerse AG)YesOrdinary SharesDEEURNov 2011
EVRZ.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDNov 2011
EVRLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPNov 2011

Biography

EVRAZ plc, together with its subsidiaries, produces and distributes steel and related products in Russia, the Americas, Asia, Europe, CIS, Africa, and internationally. It operates through four segments: St...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/20 01:34
End of Day Share Price2021/01/19 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.