Market Cap
₩21.6t
Last Updated
2021/01/18 08:31 UTC
Data Sources
Company Financials +
Executive Summary
POSCO manufactures and sells steel rolled products and plates in South Korea and internationally. More Details
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet, good value 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
-6.3%
A005490
-5.7%
KR Metals and Mining
-2.1%
KR Market
1 Year Return
7.7%
A005490
15.7%
KR Metals and Mining
38.5%
KR Market
Return vs Industry: A005490 underperformed the KR Metals and Mining industry which returned 15.7% over the past year.
Return vs Market: A005490 underperformed the KR Market which returned 38.5% over the past year.
Shareholder returns
| A005490 | Industry | Market | |
|---|---|---|---|
| 7 Day | -6.3% | -5.7% | -2.1% |
| 30 Day | -1.1% | 3.3% | 10.1% |
| 90 Day | 28.8% | 25.5% | 29.6% |
| 1 Year | 11.5%7.7% | 19.0%15.7% | 41.6%38.5% |
| 3 Year | -21.2%-29.5% | -19.2%-26.3% | 30.5%21.9% |
| 5 Year | 85.7%56.5% | 24.7%11.1% | 75.0%54.7% |
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
1 week ago | Simply Wall St
Could The POSCO (KRX:005490) Ownership Structure Tell Us Something Useful?3 weeks ago | Simply Wall St
Should You Buy POSCO (KRX:005490) For Its Upcoming Dividend?1 month ago | Simply Wall St
POSCO (KRX:005490) Has Compensated Shareholders With A Respectable 98% Return On Their InvestmentValuation
Is POSCO undervalued compared to its fair value and its price relative to the market?
49.2%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: A005490 (₩266000) is trading below our estimate of fair value (₩523275.15)
Significantly Below Fair Value: A005490 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: A005490 is poor value based on its PE Ratio (22.5x) compared to the KR Metals and Mining industry average (16.8x).
PE vs Market: A005490 is poor value based on its PE Ratio (22.5x) compared to the KR market (19.4x).
Price to Earnings Growth Ratio
PEG Ratio: A005490 is good value based on its PEG Ratio (0.7x)
Price to Book Ratio
PB vs Industry: A005490 is good value based on its PB Ratio (0.5x) compared to the KR Metals and Mining industry average (0.6x).
Next Steps
Future Growth
How is POSCO forecast to perform in the next 1 to 3 years based on estimates from 26 analysts?
30.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: A005490's forecast earnings growth (30.5% per year) is above the savings rate (3.7%).
Earnings vs Market: A005490's earnings (30.5% per year) are forecast to grow slower than the KR market (34.8% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: A005490's revenue (4.1% per year) is forecast to grow slower than the KR market (11.1% per year).
High Growth Revenue: A005490's revenue (4.1% 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 (6.4%).
Next Steps
Past Performance
How has POSCO performed over the past 5 years?
12.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: A005490 has a large one-off loss of ₩460.8B impacting its September 30 2020 financial results.
Growing Profit Margin: A005490's current net profit margins (1.6%) are higher than last year (1.4%).
Past Earnings Growth Analysis
Earnings Trend: A005490 has become profitable over the past 5 years, growing earnings by 12.6% per year.
Accelerating Growth: A005490's earnings growth over the past year (2.7%) is below its 5-year average (12.6% per year).
Earnings vs Industry: A005490 earnings growth over the past year (2.7%) exceeded the Metals and Mining industry -8.8%.
Return on Equity
High ROE: A005490's Return on Equity (2.3%) is considered low.
Next Steps
Financial Health
How is POSCO's financial position?
Financial Position Analysis
Short Term Liabilities: A005490's short term assets (₩38,215.7B) exceed its short term liabilities (₩18,411.6B).
Long Term Liabilities: A005490's short term assets (₩38,215.7B) exceed its long term liabilities (₩15,889.2B).
Debt to Equity History and Analysis
Debt Level: A005490's debt to equity ratio (49.3%) is considered high.
Reducing Debt: A005490's debt to equity ratio has reduced from 60.6% to 49.3% over the past 5 years.
Debt Coverage: A005490's debt is well covered by operating cash flow (34.1%).
Interest Coverage: A005490's interest payments on its debt are well covered by EBIT (9x coverage).
Balance Sheet
Next Steps
Dividend
What is POSCO current dividend yield, its reliability and sustainability?
3.76%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: A005490's dividend (3.76%) is higher than the bottom 25% of dividend payers in the KR market (0.73%).
High Dividend: A005490's dividend (3.76%) is in the top 25% of dividend payers in the KR market (2.45%)
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 not increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (63.4%), A005490's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: A005490's dividends in 3 years are forecast to be well covered by earnings (29.8% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.2yrs
Average management tenure
CEO
Jeong-Woo Choi (63 yo)
2.5yrs
Tenure
₩1,617,000,000
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 ($USD1.47M) is about average for companies of similar size in the KR market ($USD1.67M).
Compensation vs Earnings: Jeong-Woo's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Representative Director | 2.5yrs | ₩1.62b | 0.0019% ₩ 420.6m | |
| President | 3.83yrs | ₩1.14b | 0.0018% ₩ 381.8m | |
| Chief Operating Officer | 3.83yrs | ₩1.45b | no data | |
| VP, Head of Steel Production & Technology Division and Inside Director | 1.83yrs | ₩630.00m | 0.0019% ₩ 401.2m | |
| Senior Executive VP | 1.83yrs | ₩628.00m | 0.0017% ₩ 358.1m | |
| Senior Executive Vice President and President of Pt Krakatau Posco Co Ltd | no data | ₩1.14b | no data | |
| Senior Executive VP | 2.83yrs | ₩948.00m | 0.0016% ₩ 347.3m | |
| Vice President | no data | ₩2.14b | no data | |
| Executive VP & Head of Finance Office | no data | no data | 0.00088% ₩ 189.8m | |
| Senior EVP and Head of Purchasing & Investment Division | no data | no data | 0.0015% ₩ 314.9m | |
| Senior EVP & Head of Legal Affairs Office | no data | no data | 0.00025% ₩ 53.9m | |
| Senior VP & Head of Communication Office | no data | no data | 0.00045% ₩ 97.1m |
2.2yrs
Average Tenure
61yo
Average Age
Experienced Management: A005490's management team is considered experienced (2.2 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Representative Director | 2.5yrs | ₩1.62b | 0.0019% ₩ 420.6m | |
| President | 3.83yrs | ₩1.14b | 0.0018% ₩ 381.8m | |
| VP, Head of Steel Production & Technology Division and Inside Director | 1.83yrs | ₩630.00m | 0.0019% ₩ 401.2m | |
| Senior Executive VP | 1.83yrs | ₩628.00m | 0.0017% ₩ 358.1m | |
| Senior Executive VP | 2.83yrs | ₩948.00m | 0.0016% ₩ 347.3m | |
| Independent External Director | 3.83yrs | no data | no data | |
| Independent External Director | 5.83yrs | no data | no data | |
| Independent External Director | 5.83yrs | no data | no data | |
| Independent Chairman | 0.83yr | no data | no data | |
| Independent External Director | 3.83yrs | no data | no data | |
| Independent Outside Director | 2.83yrs | no data | no data | |
| Independent External Director | 1.83yrs | no data | no data |
2.8yrs
Average Tenure
62yo
Average Age
Experienced Board: A005490's board of directors are not considered experienced ( 2.8 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: ₩21.571t
- Shares outstanding: 78.44m
- Website: https://www.posco.com
Location
- POSCO
- 6261, Donghaean-Ro
- Nam-Gu
- Pohang
- Gyeongsangbuk-do
- South Korea
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| A005490 | KOSE (Korea Stock Exchange) | Yes | Common Stock | KR | KRW | Jan 1992 |
| PKX | NYSE (New York Stock Exchange) | ADR EACH REP 1/4 ORD KRW5000 (BNY) | US | USD | Oct 1994 | |
| PKX | DB (Deutsche Boerse AG) | ADR EACH REP 1/4 ORD KRW5000 (BNY) | DE | EUR | Oct 1994 | |
| PKX N | BMV (Bolsa Mexicana de Valores) | ADR EACH REP 1/4 ORD KRW5000 (BNY) | MX | MXN | Oct 1994 |
Biography
POSCO manufactures and sells steel rolled products and plates in South Korea and internationally. It operates through four segments: Steel, Construction, Trading, and Others. The company offers hot and col...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/18 08:31 |
| End of Day Share Price | 2021/01/18 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.