Executive Summary
Public Joint Stock Company Magnitogorsk Iron & Steel Works, together with its subsidiaries, produces and sells ferrous metal products in Russia and the CIS countries, the Middle East, Asia, Europe, and Africa.
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet average dividend payer.
Similar Companies
Share Price & News
How has Magnitogorsk Iron & Steel Works's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MAGN has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
1.1%
MAGN
-0.5%
RU Metals and Mining
-3.1%
RU Market
1 Year Return
-11.9%
MAGN
29.2%
RU Metals and Mining
-3.7%
RU Market
Return vs Industry: MAGN underperformed the Russian Metals and Mining industry which returned 30% over the past year.
Return vs Market: MAGN underperformed the Russian Market which returned -3.1% over the past year.
Shareholder returns
| MAGN | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.1% | -0.5% | -3.1% |
| 30 Day | -6.1% | 7.7% | -1.6% |
| 90 Day | 1.7% | 7.4% | 6.9% |
| 1 Year | -3.2%-11.9% | 36.7%29.2% | 3.1%-3.7% |
| 3 Year | 48.6%8.5% | 90.7%48.9% | 54.5%30.0% |
| 5 Year | 217.5%108.6% | 241.5%146.1% | 110.5%63.6% |
Price Volatility Vs. Market
How volatile is Magnitogorsk Iron & Steel Works's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Public Joint Stock Company Magnitogorsk Iron & Steel Works' (MCX:MAGN) Stock Has Been Sliding But Fundamentals Look Strong: Is The Market Wrong?1 month ago | Simply Wall St
Calculating The Intrinsic Value Of Public Joint Stock Company Magnitogorsk Iron & Steel Works (MCX:MAGN)1 month ago | Simply Wall St
Magnitogorsk Iron & Steel Works (MCX:MAGN) Has A Pretty Healthy Balance SheetValuation
Is Magnitogorsk Iron & Steel Works undervalued compared to its fair value and its price relative to the market?
26.8%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MAGN (RUB38.57) is trading below our estimate of fair value (RUB52.72)
Significantly Below Fair Value: MAGN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: MAGN is poor value based on its PE Ratio (8.1x) compared to the RU Metals and Mining industry average (7.7x).
PE vs Market: MAGN is poor value based on its PE Ratio (8.1x) compared to the Russian market (8x).
Price to Earnings Growth Ratio
PEG Ratio: MAGN is good value based on its PEG Ratio (0.6x)
Price to Book Ratio
PB vs Industry: MAGN is overvalued based on its PB Ratio (1.3x) compared to the RU Metals and Mining industry average (0.6x).
Next Steps
Future Growth
How is Magnitogorsk Iron & Steel Works forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
14.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MAGN's forecast earnings growth (14.6% per year) is above the savings rate (8.3%).
Earnings vs Market: MAGN's earnings (14.6% per year) are forecast to grow faster than the Russian market (3.2% per year).
High Growth Earnings: MAGN's earnings are forecast to grow, but not significantly.
Revenue vs Market: MAGN's revenue (5.7% per year) is forecast to grow faster than the Russian market (1.8% per year).
High Growth Revenue: MAGN's revenue (5.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: MAGN's Return on Equity is forecast to be low in 3 years time (19.2%).
Next Steps
Past Performance
How has Magnitogorsk Iron & Steel Works performed over the past 5 years?
18.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MAGN has high quality earnings.
Growing Profit Margin: MAGN's current net profit margins (10.2%) are lower than last year (15.8%).
Past Earnings Growth Analysis
Earnings Trend: MAGN's earnings have grown by 18.9% per year over the past 5 years.
Accelerating Growth: MAGN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: MAGN had negative earnings growth (-39.9%) over the past year, making it difficult to compare to the Metals and Mining industry average (30.7%).
Return on Equity
High ROE: MAGN's Return on Equity (16.6%) is considered low.
Next Steps
Financial Health
How is Magnitogorsk Iron & Steel Works's financial position?
Financial Position Analysis
Short Term Liabilities: MAGN's short term assets ($2.5B) exceed its short term liabilities ($1.1B).
Long Term Liabilities: MAGN's short term assets ($2.5B) exceed its long term liabilities ($1.1B).
Debt to Equity History and Analysis
Debt Level: MAGN's debt to equity ratio (19.4%) is considered satisfactory.
Reducing Debt: MAGN's debt to equity ratio has reduced from 59.4% to 19.4% over the past 5 years.
Debt Coverage: MAGN's debt is well covered by operating cash flow (173%).
Interest Coverage: MAGN's interest payments on its debt are well covered by EBIT (79.9x coverage).
Balance Sheet
Next Steps
Dividend
What is Magnitogorsk Iron & Steel Works's current dividend yield, its reliability and sustainability?
13.32%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: MAGN's dividend (13.32%) is higher than the bottom 25% of dividend payers in the Russian market (4.04%).
High Dividend: MAGN's dividend (13.32%) is in the top 25% of dividend payers in the Russian market (8.99%)
Stability and Growth of Payments
Stable Dividend: MAGN's dividend payments have been volatile in the past 10 years.
Growing Dividend: MAGN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (110.8%), MAGN's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MAGN's dividends in 3 years are forecast to be covered by earnings (77.3% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
6.0yrs
Average management tenure
CEO
Pavel Shilyaev (50yo)
6.5yrs
Tenure
Mr. Pavel V. Shilyaev has been the Chief Executive Officer, General Director and Member of Management Board at Open Joint Stock Company Magnitogorsk Iron & Steel Works since February 26, 2014 and May 25, 2 ...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of Management Board | 6.5yrs | no data | 0.0036% $15.5m | |
| Director of MRK LLC & Member of Management Board | 1.58yrs | no data | no data | |
| Deputy General Director for External Communications & Member of Management Board | 8.17yrs | no data | no data | |
| Director for Human Resources & Member of Management Board | 8.17yrs | no data | 0.00050% $2.2m | |
| Chief Legal Officer & Member of Management Board | 8.17yrs | no data | 0.00060% $2.6m | |
| Commercial Director & Member of Management Board | 5.42yrs | no data | no data | |
| Director for Economics | 1.17yrs | no data | 0.0010% $4.3m | |
| Director for Corporate Matters & Social Programmes and Member of Management Board | 8.17yrs | no data | no data | |
| Head of Domestic Sales Department & Member of the Management Board | 4.42yrs | no data | no data | |
| Director for Security & Member of Management Board | 4.42yrs | no data | no data | |
| Head of Financial Resources & Member of Management Board | 3.67yrs | no data | 0.000040% $172.4k | |
| Director of Occupational Health | 3.42yrs | no data | 0.0010% $4.3m |
6.0yrs
Average Tenure
48.5yo
Average Age
Experienced Management: MAGN's management team is seasoned and experienced (6 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of Management Board | 6.5yrs | no data | 0.0036% $15.5m | |
| Director for Economics | 1.17yrs | no data | 0.0010% $4.3m | |
| Independent Director | 5.17yrs | no data | no data | |
| Independent Director | 14.25yrs | no data | no data | |
| Chairman of the Board | 27.25yrs | no data | no data | |
| Independent Director | 6.17yrs | no data | no data | |
| Director | 3.5yrs | no data | 0.0014% $6.0m | |
| Non-Executive Director | 8.5yrs | no data | no data | |
| Independent Director | 6.17yrs | no data | no data | |
| Independent Director | 1.17yrs | no data | no data |
6.2yrs
Average Tenure
50yo
Average Age
Experienced Board: MAGN's board of directors are considered experienced (6.2 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
Public Joint Stock Company Magnitogorsk Iron & Steel Works's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Public Joint Stock Company Magnitogorsk Iron & Steel Works
- Ticker: MAGN
- Exchange: MISX
- Founded: 1932
- Industry: Steel
- Sector: Materials
- Market Cap: ₽430.994b
- Shares outstanding: 11.17b
- Website: https://www.mmk.ru
Number of Employees
Location
- Public Joint Stock Company Magnitogorsk Iron & Steel Works
- 93, Kirova Street
- Magnitogorsk
- Chelyabinskaya obl.
- 455000
- Russia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| MAGN | MISX (Micex - Rts) | Yes | Common Stock | RU | RUB | Apr 1995 |
| MMK | LSE (London Stock Exchange) | GDR EACH REPR 13 ORD 'REGS' | GB | USD | Apr 2007 | |
| MHQ | DB (Deutsche Boerse AG) | GDR EACH REPR 13 ORD 'REGS' | DE | EUR | Apr 2007 | |
| MMKL | BATS-CHIXE (BATS 'Chi-X Europe') | GDR EACH REPR 13 ORD 'REGS' | GB | USD | Apr 2007 |
Biography
Public Joint Stock Company Magnitogorsk Iron & Steel Works, together with its subsidiaries, produces and sells ferrous metal products in Russia and the CIS countries, the Middle East, Asia, Europe, and Africa. It offers rolled products made of high-strength steels; flat products, including hot rolled coils, hot rolled sheets, cold rolled coils and sheets, black plates, and cold rolled narrow strips; long products, such as wire rods, rebars, square bars, strips, and round bars; and coated products comprising color coated products, hot dip galvanized products, and tin plates. The company also provides cold formed sections; special hot rolled sections; shaped sections, such as U-beams, angles, and hot rolled beams; water and gas mains pipes; slabs; square and rectangular billets for re-rolling; products for the automotive industry; and miscellaneous products. In addition, it is also involved in the construction activities; production of metal hardware; maintenance of metallurgical equipment; production of cement and refractory materials; collection and processing of metal scrap; mining, refining, and sale of coal; and trading activities. The company was founded in 1932 and is based in Magnitogorsk, Russia. Public Joint Stock Company Magnitogorsk Iron & Steel Works is a subsidiary of Mintha Holding Limited.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/07/14 20:51 |
| End of Day Share Price | 2020/07/14 00:00 |
| Earnings | 2020/03/31 |
| 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.