ENXTAM:APAM

Stock Analysis Report

Executive Summary

Aperam S.A., through its subsidiaries, produces and sells stainless and specialty steel products worldwide.

Snowflake

Fundamentals

Flawless balance sheet, good value and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

10.6%

APAM

3.5%

NL Metals and Mining

1.9%

NL Market


1 Year Return

-38.2%

APAM

-5.1%

NL Metals and Mining

7.6%

NL Market

Return vs Industry: APAM underperformed the Dutch Metals and Mining industry which returned -5.1% over the past year.

Return vs Market: APAM underperformed the Dutch Market which returned 7.6% over the past year.


Share holder returns

APAMIndustryMarket
7 Day10.6%3.5%1.9%
30 Day-9.9%-3.9%-0.8%
90 Day-0.7%-6.8%-0.7%
1 Year-34.3%-38.2%1.4%-5.1%12.4%7.6%
3 Year-38.4%-45.1%34.6%16.5%41.9%26.1%
5 Year22.6%6.9%38.5%14.2%70.4%36.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

37%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Undervalued: APAM (€22.51) is trading below our estimate of fair value (€35.57)

Significantly Undervalued: APAM is trading below fair value, but not by a significant amount.


Price Based on Earnings

PE vs Industry: APAM is poor value based on its PE Ratio (9.2x) compared to the Metals and Mining industry average (9.1x).

PE vs Market: APAM is good value based on its PE Ratio (9.2x) compared to the Dutch market (19x).


Price Based on Expected Growth

Low PEG Ratio: APAM is good value based on its PEG Ratio (0.5x)


Price Based on Value of Assets

PB vs Industry: APAM is good value based on its PB Ratio (0.8x) compared to the XE Metals and Mining industry average (0.9x).


Next Steps

Future Growth

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

19.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: APAM's forecast earnings growth (19.4% per year) is above the savings rate (0.4%).

Earnings vs Market: APAM's earnings (19.4% per year) are forecast to grow faster than the Dutch market (11.6% per year).

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

Revenue vs Market: APAM's revenue (5.6% per year) is forecast to grow slower than the Dutch market (5.9% per year).

High Growth Revenue: APAM's revenue (5.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: APAM's Return on Equity is forecast to be low in 3 years time (8.5%).


Next Steps

Past Performance

How has Aperam performed over the past 5 years?

27.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: APAM has become profitable over the past 5 years, growing earnings by 27.3% per year.

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

Earnings vs Industry: APAM had negative earnings growth (-36.8%) over the past year, making it difficult to compare to the Metals and Mining industry average (-6.3%).


Return on Equity

High ROE: APAM's Return on Equity (8.5%) is considered low.


Return on Assets

ROA vs Industry: APAM's Return on Assets is below or equal to the Metals and Mining industry average last year.


Return on Capital Employed

ROCE Improving: APAM has improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Aperam's financial position?


Financial Position Analysis

Short Term Liabilities: APAM's short term assets (€1.8B) exceeds its short term liabilities (€1.3B)

Long Term Liabilities: APAM's short term assets (€1.8B) exceeds its long term liabilities (€506.0M)


Debt to Equity History and Analysis

Debt Level: APAM's debt to equity ratio (14%) is considered satisfactory

Reducing Debt: APAM's debt to equity ratio has reduced from 26.3% to 14% over the past 5 years.

Debt Coverage: APAM's debt is well covered by operating cash flow (96.1%).

Interest Coverage: APAM earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: APAM has a high level of physical assets or inventory.

Debt Coverage by Assets: APAM's debt is covered by short term assets (assets are 5.534530x debt).


Next Steps

Dividend

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

7.85%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Aperam before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company7.8%marketbottom25%2.3%markettop25%6.0%industryaverage4.6%forecastin3Years7.8%

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: APAM's dividend (7.77%) is higher than the bottom 25% of dividend payers in the Dutch market (2.27%).

High Dividend: APAM's dividend (7.77%) is in the top 25% of dividend payers in the Dutch market (5.98%)

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

Growing Dividend: APAM's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (71.6%), APAM's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: APAM's dividends in 3 years are forecast to be covered by earnings (67.7% payout ratio).


Next Steps

Management

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

4.8yrs

Average management tenure


CEO

Tim Di Maulo (60yo)

4.8yrs

Tenure

0

Mr. Timoteo Di Maulo, also known as Tim, has been the Chief Executive Officer at Aperam since January 1, 2015 and serves as its Member of The Leadership Team. Mr. Di Maulo has over twenty-five years of exp ...


Management Age and Tenure

4.8yrs

Average Tenure

49yo

Average Age

Experienced Management: APAM's management team is considered experienced (4.8 years average tenure).


Board Age and Tenure

7.6yrs

Average Tenure

66.5yo

Average Age

Experienced Board: APAM's board of directors are considered experienced (7.6 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Vanisha Mittal Bhatia (38yo)

    Chief Strategy Officer

    • Tenure: 8.5yrs
  • Thorsten Zimmermann

    Head of Investor Relations

    • Tenure: 0yrs
  • Sandeep Jalan (52yo)

    Chief Financial Officer

    • Tenure: 5.8yrs
  • Tim Di Maulo (60yo)

    Chief Executive Officer

    • Tenure: 4.8yrs
  • Laurent Beauloye

    • Tenure: 0yrs
  • Guillaume Bazetoux

    Head of Finance & Secretary to the Leadership Team

    • Tenure: 0yrs
  • Frederico Lima (47yo)

    Chief Operating Officer of Stainless & Electrical Steel South America

    • Tenure: 4.8yrs
  • Bernard Hallemans (51yo)

    Chief Operating Officer of Stainless & Electrical Steel - Europe

    • Tenure: 3yrs
  • Nicolas Changeur (47yo)

    Chief Marketing Officer of Stainless & Electrical Steel

    • Tenure: 4.9yrs
  • Bert Lyssens (49yo)

    Head of Sustainability

    • Tenure: 4.5yrs

Board Members

  • Romain Bausch (66yo)

    Lead Independent Director

    • Tenure: 0yrs
  • Lakshmi Mittal (69yo)

    Chairman

    • Tenure: 0yrs
  • Aditya Mittal (42yo)

    Non-Independent Director

    • Tenure: 8.8yrs
  • Joe Greenwell (68yo)

    Independent Director

    • Tenure: 6.4yrs
  • Kathryn Matthews (59yo)

    Independent Director

    • Tenure: 8.8yrs
  • Philippe Darmayan (67yo)

    Non-Independent Director

    • Tenure: 4.4yrs
  • Bernadette Baudier

    Independent Director

    • Tenure: 0yrs

Company Information

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


Key Information

  • Name: Aperam S.A.
  • Ticker: APAM
  • Exchange: ENXTAM
  • Founded: 2010
  • Industry: Steel
  • Sector: Materials
  • Market Cap: €1.796b
  • Shares outstanding: 79.80m
  • Website: https://www.aperam.com

Number of Employees


Location

  • Aperam S.A.
  • 12C, rue Guillaume Kroll
  • Luxembourg City
  • 1882
  • Luxembourg

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
APEM.YOTCPK (Pink Sheets LLC)NY REGISTR SHSUSUSDJan 2011
APMS.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 2011
APAMENXTAM (Euronext Amsterdam)YesOrdinary SharesNLEURJan 2011
APAMBME (Bolsas y Mercados Espanoles)YesOrdinary SharesESEURJan 2011
0OLFLSE (London Stock Exchange)YesOrdinary SharesGBEURJan 2011
APAMLBDL (Bourse de Luxembourg)YesOrdinary SharesLUEURJan 2011
APAMABATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 2011
7AADB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 2011
APAMWBAG (Wiener Boerse AG)YesOrdinary SharesATEURJan 2011
APAM NBMV (Bolsa Mexicana de Valores)YesOrdinary SharesMXMXNJan 2011
APAMEBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 2011

Biography

Aperam S.A., through its subsidiaries, produces and sells stainless and specialty steel products worldwide. The company operates through three segments: Stainless & Electrical Steel; Services & Solutions;  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/12 22:00
End of Day Share Price2019/10/11 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.

© 2018 SIMPLY WALL STREET PTY LTD, COMMUNITY DESIGN 2845206, US DESIGN PATENT #29/544/281, EUROPEAN DESIGN REGISTRATION #2845206, STANDARD & POOR’S FINANCIAL SERVICES LLC. ALL RIGHTS RESERVED.

Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.

Copyright © 2018, Standard & Poor’s Financial Services LLC. Reproduction of S&P Capital IQ in any form is prohibited except with the prior written permission of S&P. S&P does not guarantee the accuracy, adequacy, completeness or availability of any information and is not responsible for any errors or omissions, regardless of the cause or for the results obtained from the use of such information. S&P DISCLAIMS ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE. In no event shall S&P be liable for any direct, indirect, special or consequential damages, costs, expenses, legal fees, or losses (including lost income or lost profit and opportunity costs) in connection with subscriber’s or others’ use of S&P Capital IQ. (2018)