Market Cap
₩27.7t
Last Updated
2021/07/31 08:54 UTC
Data Sources
Company Financials +
Executive Summary
POSCO, together with its subsidiaries, manufactures and sells steel rolled products and plates in South Korea and internationally. More Details
Rewards
Risk Analysis
Earnings are forecast to decline by an average of 10.3% per year for the next 3 years
Snowflake Analysis
Flawless balance sheet, undervalued and pays a dividend.
Similar Companies
Share Price & News
How has POSCO's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: A005490 is not significantly more volatile than the rest of KR stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: A005490's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
3.7%
A005490
2.1%
KR Metals and Mining
-1.7%
KR Market
1 Year Return
89.4%
A005490
77.2%
KR Metals and Mining
38.9%
KR Market
Return vs Industry: A005490 exceeded the KR Metals and Mining industry which returned 77.2% over the past year.
Return vs Market: A005490 exceeded the KR Market which returned 38.9% over the past year.
Shareholder returns
| A005490 | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.7% | 2.1% | -1.7% |
| 30 Day | 6.2% | 6.0% | -2.2% |
| 90 Day | 0.7% | 2.8% | 1.5% |
| 1 Year | 96.1%89.4% | 82.2%77.2% | 42.4%38.9% |
| 3 Year | 27.8%13.8% | 31.3%20.0% | 48.1%38.1% |
| 5 Year | 97.3%65.5% | 40.2%24.1% | 67.5%47.1% |
Long-Term Price Volatility Vs. Market
How volatile is POSCO's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 months ago | Simply Wall St
Do Institutions Own POSCO (KRX:005490) Shares?4 months ago | Simply Wall St
Should You Buy POSCO (KRX:005490) For Its Upcoming Dividend?4 months ago | Simply Wall St
Did You Miss POSCO's (KRX:005490) 100% Share Price Gain?Valuation
Is POSCO undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: A005490 (₩366500) is trading below our estimate of fair value (₩799223.46)
Significantly Below Fair Value: A005490 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: A005490 is good value based on its PE Ratio (7.2x) compared to the KR Metals and Mining industry average (17.9x).
PE vs Market: A005490 is good value based on its PE Ratio (7.2x) compared to the KR market (19x).
Price to Earnings Growth Ratio
PEG Ratio: A005490's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: A005490 is good value based on its PB Ratio (0.6x) compared to the KR Metals and Mining industry average (0.9x).
Future Growth
How is POSCO forecast to perform in the next 1 to 3 years based on estimates from 26 analysts?
-10.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: A005490's earnings are forecast to decline over the next 3 years (-10.3% per year).
Earnings vs Market: A005490's earnings are forecast to decline over the next 3 years (-10.3% per year).
High Growth Earnings: A005490's earnings are forecast to decline over the next 3 years.
Revenue vs Market: A005490's revenue (1.7% per year) is forecast to grow slower than the KR market (9.8% per year).
High Growth Revenue: A005490'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: A005490's Return on Equity is forecast to be low in 3 years time (7.1%).
Past Performance
How has POSCO performed over the past 5 years?
3.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: A005490 has high quality earnings.
Growing Profit Margin: A005490's current net profit margins (6%) are higher than last year (1.5%).
Past Earnings Growth Analysis
Earnings Trend: A005490's earnings have grown by 3.9% per year over the past 5 years.
Accelerating Growth: A005490's earnings growth over the past year (322%) exceeds its 5-year average (3.9% per year).
Earnings vs Industry: A005490 earnings growth over the past year (322%) exceeded the Metals and Mining industry 33.9%.
Return on Equity
High ROE: A005490's Return on Equity (8.3%) is considered low.
Financial Health
How is POSCO's financial position?
Financial Position Analysis
Short Term Liabilities: A005490's short term assets (₩40,182.0B) exceed its short term liabilities (₩17,744.0B).
Long Term Liabilities: A005490's short term assets (₩40,182.0B) exceed its long term liabilities (₩14,871.0B).
Debt to Equity History and Analysis
Debt Level: A005490's debt to equity ratio (38.2%) is considered satisfactory.
Reducing Debt: A005490's debt to equity ratio has reduced from 53.2% to 38.2% over the past 5 years.
Debt Coverage: A005490's debt is well covered by operating cash flow (38.8%).
Interest Coverage: A005490's interest payments on its debt are well covered by EBIT (23.4x coverage).
Balance Sheet
Dividend
What is POSCO current dividend yield, its reliability and sustainability?
2.18%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: A005490's dividend (2.18%) is higher than the bottom 25% of dividend payers in the KR market (0.64%).
High Dividend: A005490's dividend (2.18%) is in the top 25% of dividend payers in the KR market (2.17%)
Stability and Growth of Payments
Stable Dividend: A005490's dividend payments have been volatile in the past 10 years.
Growing Dividend: A005490's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (14.8%), A005490's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: A005490's dividends in 3 years are forecast to be well covered by earnings (23.3% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.3yrs
Average board tenure
CEO
Jeong-Woo Choi (64 yo)
3yrs
Tenure
₩2,260,000,000
Compensation
Mr. Jeong-Woo Choi has been Chief Executive Officer of POSCO since July 27, 2018 and served as its Chairman from July 27, 2018 to March 15, 2019. He served as the President of POSCO from March 10, 2017 to ...
CEO Compensation Analysis
Compensation vs Market: Jeong-Woo's total compensation ($USD1.96M) is about average for companies of similar size in the KR market ($USD2.15M).
Compensation vs Earnings: Jeong-Woo's compensation has increased by more than 20% in the past year.
Board Members
Experienced Board: A005490's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.
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
POSCO's company bio, employee growth, exchange listings and data sources
Key Information
- Name: POSCO
- Ticker: A005490
- Exchange: KOSE
- Founded: 1968
- Industry: Steel
- Sector: Materials
- Market Cap: ₩27.717t
- Shares outstanding: 75.63m
- Website: https://www.posco.com
Location
- POSCO
- 6261, Donghaean-Ro
- Nam-Gu
- Pohang
- Gyeongsangbuk-do
- South Korea
Listings
Biography
POSCO, together with its subsidiaries, manufactures and sells steel rolled products and plates in South Korea and internationally. It operates through four segments: Steel, Construction, Trading, and Other...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/07/31 08:54 |
| End of Day Share Price | 2021/07/30 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
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.