Ternium S.A. - ADR

Ternium S.A. - ADR

TX

Market Cap$591.67M
Close$

Compare to Similar Companies

P/E RatioDividendsReturn on EquityPrice-to-SalesDebt-to-Equity
Ternium S.A. - ADRTernium S.A. - ADR-1.72.99%-3%-0.2

Earnings Call Q3 2024

November 6, 2024 - AI Summary

Financial Performance: Ternium reported an adjusted EBITDA of $368 million and a net income of $93 million for Q3 2024. The adjusted EBITDA declined compared to previous quarters, primarily due to lower realized steel prices despite increased shipments across all primary markets.
Market Outlook: - In Mexico, the steel market remains healthy with increased demand, especially in the automotive sector, anticipated to reach a record 4.2 million units in production by 2025. A slight decline in shipments is expected for Q4 due to seasonal trends. - Brazil showed a 9% year-over-year increase in steel consumption in the first nine months of 2024, but a 20% rise in flat steel imports, primarily from China, poses challenges. The Brazilian government has implemented measures to safeguard against unfair trade but needs to close loopholes in the quota system. - Argentina is seeing a recovery in steel demand, yet there is a risk of increased imports that could undermine this progress.
CapEx and Growth Projects: Ternium’s capital expenditures are expected to range between $1.7 billion and $1.8 billion in 2024, focused on expansion projects in Pesquería, with an even higher CapEx estimate of $2.3 billion for 2025. This indicates a strong commitment to growth despite lower immediate cash flows.

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$32.00

Target Price by Analysts

10.1% upsideTernium S.A. Target Price DetailsTarget Price
$8.04

Current Fair Value

72.3% downside

Overvalued by 72.3% based on the discounted cash flow analysis.

Share Statistics

Market cap$591.67 Million
Enterprise Value$1.48 Billion
Dividend Yield$0.9 (2.98606502986065%)
Earnings per Share$-2.7
Beta1.5
Outstanding Shares19,630,776

Return

Return on Equity-
Return on Assets-
Return on Invested Capital-

Valuation & Multiples

P/E Ratio-1.73
PEG2.13
Price to Sales0.03
Price to Book Ratio0.03
Enterprise Value to Revenue0.09
Enterprise Value to EBIT1.75
Enterprise Value to Net Income-5
Total Debt to Enterprise1.84
Debt to Equity0.22

Revenue Sources

No data

Insider Trades

ESG Score

No data

About Ternium S.A.

CEO: Maximo Vedoya