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TMST

TimkenSteelNYSE:TMST Stock Report

Market Cap

US$606.3m

7D

1.1%

1Y

270.9%

Updated

25 Sep, 2021

Data

Company Financials +
TMST fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance2/6
Financial Health6/6
Dividends0/6

TMST Overview

TimkenSteel Corporation manufactures and sells alloy steel, and carbon and micro-alloy steel products in the United States and internationally.

TimkenSteel Competitors

Price History & Performance

Summary of all time highs, changes and price drops for TimkenSteel
Historical stock prices
Current Share PriceUS$13.13
52 Week HighUS$3.48
52 Week LowUS$17.35
Beta2.11
1 Month Change-4.44%
3 Month Change-9.76%
1 Year Change270.90%
3 Year Change-11.70%
5 Year Change25.65%
Change since IPO-65.21%

Recent News & Updates

Shareholder Returns

TMSTUS Metals and MiningUS Market
7D1.1%-2.8%0.1%
1Y270.9%42.6%35.3%

Return vs Industry: TMST exceeded the US Metals and Mining industry which returned 42.6% over the past year.

Return vs Market: TMST exceeded the US Market which returned 35.3% over the past year.

Price Volatility

Is TMST's price volatile compared to industry and market?
TMST volatility
TMST Beta2.11
Industry Beta1.32
Market Beta1

Stable Share Price: TMST is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: TMST's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20132,000Mike Williamshttps://www.timkensteel.com

TimkenSteel Corporation manufactures and sells alloy steel, and carbon and micro-alloy steel products in the United States and internationally. The company operates in SBQ Steel Bar, Seamless Mechanical Steel Tubes, and Billets; and Value-added Precision Products and Services segments. It offers carbon, micro-alloy, and alloy steel ingots, bars, tubes, and billets, as well as supplies machining and thermal treatment services.

TimkenSteel Fundamentals Summary

How do TimkenSteel's earnings and revenue compare to its market cap?
TMST fundamental statistics
Market CapUS$606.31m
Earnings (TTM)US$37.10m
Revenue (TTM)US$1.02b

16.3x

P/E Ratio

0.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TMST income statement (TTM)
RevenueUS$1.02b
Cost of RevenueUS$908.30m
Gross ProfitUS$109.70m
ExpensesUS$72.60m
EarningsUS$37.10m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.80
Gross Margin10.78%
Net Profit Margin3.64%
Debt/Equity Ratio7.8%

How did TMST perform over the long term?

See historical performance and comparison

Valuation

Is TimkenSteel 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: TMST ($13.13) is trading below our estimate of fair value ($43.59)

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


Price To Earnings Ratio

PE vs Industry: TMST is poor value based on its PE Ratio (16.3x) compared to the US Metals and Mining industry average (11.3x).

PE vs Market: TMST is good value based on its PE Ratio (16.3x) compared to the US market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: TMST is poor value based on its PEG Ratio (1.6x)


Price to Book Ratio

PB vs Industry: TMST is good value based on its PB Ratio (1.1x) compared to the US Metals and Mining industry average (2.3x).


Future Growth

How is TimkenSteel forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

10.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TMST's forecast earnings growth (10.2% per year) is above the savings rate (2%).

Earnings vs Market: TMST's earnings (10.2% per year) are forecast to grow slower than the US market (14.8% per year).

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

Revenue vs Market: TMST's revenue (8.6% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: TMST's revenue (8.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TMST's Return on Equity is forecast to be low in 3 years time (11.3%).


Past Performance

How has TimkenSteel performed over the past 5 years?

1.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TMST has a large one-off loss of $11.8M impacting its June 30 2021 financial results.

Growing Profit Margin: TMST became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: TMST has become profitable over the past 5 years, growing earnings by 1.1% per year.

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

Earnings vs Industry: TMST has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (108.8%).


Return on Equity

High ROE: TMST's Return on Equity (6.5%) is considered low.


Financial Health

How is TimkenSteel's financial position?


Financial Position Analysis

Short Term Liabilities: TMST's short term assets ($456.3M) exceed its short term liabilities ($235.7M).

Long Term Liabilities: TMST's short term assets ($456.3M) exceed its long term liabilities ($257.4M).


Debt to Equity History and Analysis

Debt Level: TMST's debt to equity ratio (7.8%) is considered satisfactory.

Reducing Debt: TMST's debt to equity ratio has reduced from 21.2% to 7.8% over the past 5 years.

Debt Coverage: TMST's debt is well covered by operating cash flow (326.6%).

Interest Coverage: TMST's interest payments on its debt are well covered by EBIT (6.2x coverage).


Balance Sheet


Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate TMST's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate TMST's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TMST's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TMST's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: TMST is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TMST's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.4yrs

Average management tenure


CEO

Mike Williams (61 yo)

0.67

Tenure

Mr. Michael S. Williams, also known as Mike, B.Sc. (Information Science), serves as the Chief Executive Officer and President of TimkenSteel Corporation since January 1, 2021 and also serves as its Directo...


Leadership Team

Experienced Management: TMST's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

Experienced Board: TMST's board of directors are considered experienced (6.1 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 been diluted in the past year, with total shares outstanding growing by 2.5%.


Top Shareholders

Company Information

TimkenSteel Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: TimkenSteel Corporation
  • Ticker: TMST
  • Exchange: NYSE
  • Founded: 2013
  • Industry: Steel
  • Sector: Materials
  • Market Cap: US$606.306m
  • Shares outstanding: 46.18m
  • Website: https://www.timkensteel.com

Number of Employees


Location

  • TimkenSteel Corporation
  • 1835 Dueber Avenue SW
  • Canton
  • Ohio
  • 44706
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/25 22:20
End of Day Share Price2021/09/24 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.