Grupo Simec. de
Market Cap
US$919.2m
Last Updated
2020/07/14 23:57 UTC
Data Sources
Company Financials +
Executive Summary
Grupo Simec, S.A.B. de C.V. manufactures, processes, and distributes special bar quality (SBQ) steel and steel alloys products in Mexico, the United States, Brazil, and Canada.
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet with reasonable growth potential.
Similar Companies
Share Price & News
How has Grupo Simec. de's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SIM's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
3.5%
SIM
2.4%
US Metals and Mining
1.5%
US Market
1 Year Return
-30.2%
SIM
7.3%
US Metals and Mining
6.9%
US Market
Return vs Industry: SIM underperformed the US Metals and Mining industry which returned 3.9% over the past year.
Return vs Market: SIM underperformed the US Market which returned 5.3% over the past year.
Shareholder returns
| SIM | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.5% | 2.4% | 1.5% |
| 30 Day | -15.1% | 9.5% | 5.9% |
| 90 Day | -4.6% | 26.3% | 17.9% |
| 1 Year | -26.1%-30.2% | 9.9%7.3% | 9.2%6.9% |
| 3 Year | -41.5%-44.7% | 9.6%2.6% | 36.4%27.5% |
| 5 Year | -27.3%-31.4% | 60.0%46.3% | 64.9%47.0% |
Price Volatility Vs. Market
How volatile is Grupo Simec. de's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 months ago | Simply Wall St
What You Need To Know About The Grupo Simec, S.A.B. de C.V. (NYSEMKT:SIM) Analyst Downgrade Today5 months ago | Simply Wall St
Estimating The Fair Value Of Grupo Simec, S.A.B. de C.V. (NYSEMKT:SIM)6 months ago | Simply Wall St
Is Grupo Simec, S.A.B. de C.V.'s (NYSEMKT:SIM) 4.7% ROE Worse Than Average?Valuation
Is Grupo Simec. de undervalued compared to its fair value and its price relative to the market?
0.6x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: SIM ($5.95) is trading above our estimate of fair value ($5.36)
Significantly Below Fair Value: SIM is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: SIM is unprofitable, so we can't compare its PE Ratio to the US Metals and Mining industry average.
PE vs Market: SIM is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate SIM's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: SIM is good value based on its PB Ratio (0.6x) compared to the US Metals and Mining industry average (1.3x).
Next Steps
Future Growth
How is Grupo Simec. de forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
40.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SIM is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).
Earnings vs Market: SIM is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: SIM's is expected to become profitable in the next 3 years.
Revenue vs Market: SIM's revenue (9.4% per year) is forecast to grow faster than the US market (9.2% per year).
High Growth Revenue: SIM's revenue (9.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SIM's Return on Equity is forecast to be low in 3 years time (6.7%).
Next Steps
Past Performance
How has Grupo Simec. de performed over the past 5 years?
9.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SIM is currently unprofitable.
Growing Profit Margin: SIM is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: SIM is unprofitable, but has reduced losses over the past 5 years at a rate of 9.8% per year.
Accelerating Growth: Unable to compare SIM's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: SIM is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-11.3%).
Return on Equity
High ROE: SIM has a negative Return on Equity (-0.38%), as it is currently unprofitable.
Next Steps
Financial Health
How is Grupo Simec. de's financial position?
Financial Position Analysis
Short Term Liabilities: SIM's short term assets (MX$28.6B) exceed its short term liabilities (MX$10.7B).
Long Term Liabilities: SIM's short term assets (MX$28.6B) exceed its long term liabilities (MX$4.3B).
Debt to Equity History and Analysis
Debt Level: SIM's debt to equity ratio (0.02%) is considered satisfactory.
Reducing Debt: SIM's debt to equity ratio has reduced from 2.8% to 0.02% over the past 5 years.
Debt Coverage: SIM's debt is well covered by operating cash flow (18127.7%).
Interest Coverage: SIM is unprofitable, therefore interest payments are not well covered by earnings.
Balance Sheet
Next Steps
Dividend
What is Grupo Simec. de current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate SIM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate SIM'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 SIM's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if SIM's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of SIM'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?
16.5yrs
Average management tenure
CEO
Luis García Limón (76yo)
38.5yrs
Tenure
Mr. Luis García Limón has been the Chief Executive Officer of Grupo Simec S.A.B. de C.V (Alternate Name: Grupo Simec Sa De Cv) since 1982. Mr. García Limón served as a General Director at CSG from 1982 to ...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 38.5yrs | no data | no data | |
| Financial Coordinator | 8.5yrs | no data | no data | |
| Chief Operating Officer | 16.5yrs | no data | no data | |
| Corporate Legal Manager | no data | no data | no data | |
| Chief Sale and Commercialization Officer | no data | no data | no data |
16.5yrs
Average Tenure
57.5yo
Average Age
Experienced Management: SIM's management team is seasoned and experienced (16.5 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 38.5yrs | no data | no data | |
| Chairman of the Board | 19.5yrs | no data | no data | |
| Independent Director | 17.25yrs | no data | no data | |
| Independent Director | 19.25yrs | no data | no data | |
| Independent Director | 1.5yrs | no data | no data |
17.3yrs
Average Tenure
67yo
Average Age
Experienced Board: SIM's board of directors are seasoned and experienced ( 17.3 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.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Grupo Simec, S.A.B. de C.V.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Grupo Simec, S.A.B. de C.V.
- Ticker: SIM
- Exchange: AMEX
- Founded: 1969
- Industry: Steel
- Sector: Materials
- Market Cap: US$919.247m
- Shares outstanding: 154.50m
- Website: https://www.gsimec.com.mx
Number of Employees
Location
- Grupo Simec, S.A.B. de C.V.
- Calzada LAzaro CArdenas 601
- Colonia La Nogalera
- Guadalajara
- Jalisco
- 44440
- Mexico
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SIM | AMEX (NYSE MKT LLC) | Yes | ADR(EACH REP 3'B'ORD NPV) | US | USD | Jul 1993 |
| GSM | DB (Deutsche Boerse AG) | Yes | ADR(EACH REP 3'B'ORD NPV) | DE | EUR | Jul 1993 |
| SIMEC B | BMV (Bolsa Mexicana de Valores) | Series B Common Shares | MX | MXN | Sep 1995 | |
| 4FV | DB (Deutsche Boerse AG) | Series B Common Shares | DE | EUR | Sep 1995 |
Biography
Grupo Simec, S.A.B. de C.V. manufactures, processes, and distributes special bar quality (SBQ) steel and steel alloys products in Mexico, the United States, Brazil, and Canada. The company produces I-beams, channels, structural and commercial angles, hot rolled bars, flat bars, rebars, cold finished bars, and wire rods, as well as semi-finished tube rounds and other semi-finished trade products. Its SBQ steel products are used across a range of engineered end-user applications, including axles, hubs, and crankshafts for automobiles and light trucks, machine tools, and off-highway equipment; and structural steel products are used in the non-residential construction market and other construction applications. The company also exports its steel products to Central and South America, and Europe. The company was founded in 1969 and is headquartered in Guadalajara, Mexico. Grupo Simec, S.A.B. de C.V. is a subsidiary of Industrias CH, S.A.B. de C.V.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/07/14 23:57 |
| 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.