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MT

ArcelorMittalENXTAM:MT Stock Report

Market Cap

€24.3b

7D

3.9%

1Y

127.4%

Updated

27 Sep, 2021

Data

Company Financials +
MT fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance3/6
Financial Health6/6
Dividends2/6

MT Overview

ArcelorMittal, together with its subsidiaries, owns and operates steel manufacturing and mining facilities in Europe, North and South America, Asia, and Africa.

ArcelorMittal Competitors

Price History & Performance

Summary of all time highs, changes and price drops for ArcelorMittal
Historical stock prices
Current Share Price€26.00
52 Week High€10.86
52 Week Low€30.88
Beta1.88
1 Month Change-11.60%
3 Month Change-1.46%
1 Year Change127.35%
3 Year Change-2.27%
5 Year Change58.29%
Change since IPO-68.18%

Recent News & Updates

Jul 06
Does ArcelorMittal (AMS:MT) Have A Healthy Balance Sheet?

Does ArcelorMittal (AMS:MT) Have A Healthy Balance Sheet?

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Shareholder Returns

MTNL Metals and MiningNL Market
7D3.9%-1.3%0.4%
1Y127.4%40.7%41.3%

Return vs Industry: MT exceeded the Dutch Metals and Mining industry which returned 33.1% over the past year.

Return vs Market: MT exceeded the Dutch Market which returned 41.3% over the past year.

Price Volatility

Is MT's price volatile compared to industry and market?
MT volatility
MT Beta1.88
Industry Beta1.14
Market Beta1

Stable Share Price: MT is more volatile than 75% of Dutch stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: MT's weekly volatility (6%) has been stable over the past year, but is still higher than 75% of Dutch stocks.

About the Company

FoundedEmployeesCEOWebsite
1976168,000Aditya Mittalhttps://corporate.arcelormittal.com

ArcelorMittal, together with its subsidiaries, owns and operates steel manufacturing and mining facilities in Europe, North and South America, Asia, and Africa. The company’s principal steel products include semi-finished flat products, such as slabs; finished flat products comprising plates, hot- and cold-rolled coils and sheets, hot-dipped and electro-galvanized coils and sheets, tinplate, and color coated coils and sheets; semi-finished long products, such as blooms and billets; finished long products, including bars, wire-rods, structural sections, rails, sheet piles, and wire-products; and seamless and welded pipes and tubes. Its principal mining products comprise iron ore lumps, fines, concentrates, pellets, and sinter feeds; and coking and thermal coal, and pulverized coal injections.

ArcelorMittal Fundamentals Summary

How do ArcelorMittal's earnings and revenue compare to its market cap?
MT fundamental statistics
Market CapUS$28.47b
Earnings (TTM)US$7.24b
Revenue (TTM)US$62.99b

4.0x

P/E Ratio

0.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MT income statement (TTM)
RevenueUS$62.99b
Cost of RevenueUS$51.14b
Gross ProfitUS$11.85b
ExpensesUS$4.61b
EarningsUS$7.24b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Nov 11, 2021

Earnings per share (EPS)7.68
Gross Margin18.81%
Net Profit Margin11.49%
Debt/Equity Ratio18.3%

How did MT perform over the long term?

See historical performance and comparison

Dividends

1.0%

Current Dividend Yield

5%

Payout Ratio

Valuation

Is ArcelorMittal 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: MT (€25.83) is trading below our estimate of fair value (€77.41)

Significantly Below Fair Value: MT is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: MT is good value based on its PE Ratio (3.9x) compared to the European Metals and Mining industry average (9.7x).

PE vs Market: MT is good value based on its PE Ratio (3.9x) compared to the Dutch market (21.8x).


Price to Earnings Growth Ratio

PEG Ratio: MT's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: MT is good value based on its PB Ratio (0.6x) compared to the XE Metals and Mining industry average (1.8x).


Future Growth

How is ArcelorMittal forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?

-47.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MT's earnings are forecast to decline over the next 3 years (-47.3% per year).

Earnings vs Market: MT's earnings are forecast to decline over the next 3 years (-47.3% per year).

High Growth Earnings: MT's earnings are forecast to decline over the next 3 years.

Revenue vs Market: MT's revenue is expected to decline over the next 3 years (-8.6% per year).

High Growth Revenue: MT's revenue is forecast to decline over the next 3 years (-8.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MT's Return on Equity is forecast to be low in 3 years time (11.6%).


Past Performance

How has ArcelorMittal performed over the past 5 years?

1.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MT has high quality earnings.

Growing Profit Margin: MT became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: MT has become profitable over the past 5 years, growing earnings by 1.3% per year.

Accelerating Growth: MT has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: MT has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (81.9%).


Return on Equity

High ROE: MT's Return on Equity (16.5%) is considered low.


Financial Health

How is ArcelorMittal's financial position?


Financial Position Analysis

Short Term Liabilities: MT's short term assets ($29.4B) exceed its short term liabilities ($22.9B).

Long Term Liabilities: MT's short term assets ($29.4B) exceed its long term liabilities ($16.2B).


Debt to Equity History and Analysis

Debt Level: MT's debt to equity ratio (18.3%) is considered satisfactory.

Reducing Debt: MT's debt to equity ratio has reduced from 45.5% to 18.3% over the past 5 years.

Debt Coverage: MT's debt is well covered by operating cash flow (76.8%).

Interest Coverage: MT's interest payments on its debt are well covered by EBIT (26.1x coverage).


Balance Sheet


Dividend

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

0.99%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MT's dividend (0.99%) isn’t notable compared to the bottom 25% of dividend payers in the Dutch market (1.4%).

High Dividend: MT's dividend (0.99%) is low compared to the top 25% of dividend payers in the Dutch market (4.68%).


Stability and Growth of Payments

Stable Dividend: MT's dividend payments have been volatile in the past 10 years.

Growing Dividend: MT's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (4.9%), MT's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MT's dividends in 3 years are forecast to be thoroughly covered by earnings (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

Aditya Mittal (44 yo)

0.58

Tenure

US$3,667,000

Compensation

Mr. Aditya Mittal serves as Chief Executive Officer at ArcelorMittal since February 11, 2021 and served as its Chief Financial Officer until February 2021. He had been President at ArcelorMittal since Marc...


CEO Compensation Analysis

Compensation vs Market: Aditya's total compensation ($USD3.67M) is about average for companies of similar size in the Dutch market ($USD3.02M).

Compensation vs Earnings: Insufficient data to compare Aditya's compensation with company performance.


Leadership Team

Experienced Management: MT's management team is considered experienced (2.2 years average tenure).


Board Members

Experienced Board: MT's board of directors are considered experienced (6.3 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

ArcelorMittal's employee growth, exchange listings and data sources


Key Information

  • Name: ArcelorMittal
  • Ticker: MT
  • Exchange: ENXTAM
  • Founded: 1976
  • Industry: Steel
  • Sector: Materials
  • Market Cap: €24.332b
  • Shares outstanding: 942.00m
  • Website: https://corporate.arcelormittal.com

Number of Employees


Location

  • ArcelorMittal
  • 24-26, Boulevard d’Avranches
  • Luxembourg City
  • 1160
  • Luxembourg

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/27 17:57
End of Day Share Price2021/09/27 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.