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Nippon Steel & Sumitomo (NPSCY)
:NPSCY
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Nippon Steel & Sumitomo Metal
(OTC:NPSCY)
73Outperform
Nippon Steel & Sumitomo Metal (NPSCY) vs. S&P 500 (SPY)
Market Cap
$22.28B
Dividend Yield3.35%
Average Volume (3M)56.42K
Price to Earnings (P/E)6.7
Beta (1Y)0.59
Revenue Growth-5.86%
EPS Growth-33.57%
CountryUS
Employees113,639
SectorBasic Materials
Sector Strength60
IndustrySteel
Share Statistics
EPS (TTM)1.06
Shares Outstanding3,224,212,400
10 Day Avg. Volume40,951
30 Day Avg. Volume56,419
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.39
Price to Cash Flow (P/CF)N/A
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
Nippon Steel & Sumitomo Metal Business Overview & Revenue Model
Company DescriptionNippon Steel & Sumitomo Metal Corporation (NPSCY) is a leading Japanese steel manufacturing company, formed through the merger of Nippon Steel Corporation and Sumitomo Metal Industries. The company operates in various sectors, including steel production, engineering, chemicals, and new materials. Its core products include a wide range of steel products, such as flat products, bar and wire rods, pipes and tubes, as well as engineering services for plant construction and infrastructure development.
How the Company Makes MoneyNippon Steel & Sumitomo Metal Corporation generates revenue primarily through the manufacturing and sale of steel products. The company's key revenue streams include the production of flat steel products, which are used in automotive, construction, and machinery industries, and long steel products, utilized in infrastructure projects and construction. NPSCY also earns from specialty products like pipes and tubes, which are in demand in the energy sector, particularly oil and gas. Additionally, the company is involved in engineering services, providing comprehensive solutions for plant construction and infrastructure development. Strategic partnerships and collaborations with global companies further enhance its market reach and contribute to its earnings.
Nippon Steel & Sumitomo Metal Financial Statement Overview
Summary
Nippon Steel & Sumitomo Metal exhibits strong revenue growth and operational efficiency, as indicated by stable EBIT and EBITDA margins. The balance sheet shows prudent leverage and a solid return on equity, while cash flow generation is robust, supported by significant free cash flow growth. However, attention is needed on net profit margin declines and optimizing cost structures.Income Statement
Nippon Steel & Sumitomo Metal shows strong revenue growth, with a 11.2% increase over the last year. The gross profit margin stands at 15.6%, indicating efficient production processes. However, net profit margin has decreased to 6.2%, signaling higher expenses or cost pressures that need attention. EBIT and EBITDA margins are healthy at 8.8% and 13.1%, respectively, suggesting operational efficiency.75
Positive
Balance Sheet
The company maintains a moderate debt-to-equity ratio of 0.57, reflecting balanced leverage. Return on equity is solid at 11.5%, indicating effective use of equity capital. The equity ratio of 44.6% suggests a stable financial structure, though there is room to increase asset financing through equity.70
Positive
Cash Flow
Operating cash flow has grown significantly, outpacing net income, which indicates robust cash generation from operations. Free cash flow growth is impressive at 184.4%, suggesting improved cash management and capital efficiency. Operating cash flow to net income ratio stands at 1.84, highlighting strong operational cash flow relative to reported earnings.80
Positive
| Breakdown | |||||
| TTM | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 | Mar 2020 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 8.86T | 8.87T | 7.98T | 6.81T | 4.83T | 5.92T | Gross Profit |
| 1.41T | 1.39T | 1.28T | 1.21T | 560.91B | 613.82B | EBIT |
| 741.87B | 778.66B | 714.15B | 676.83B | 96.20B | 37.38B | EBITDA |
| 1.01T | 1.16T | 1.23T | 1.01T | 382.29B | 454.72B | Net Income Common Stockholders |
| 529.87B | 549.37B | 694.02B | 637.32B | -32.43B | -431.51B |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 90.92B | 482.82B | 687.96B | 572.38B | 359.46B | 304.38B | Total Assets |
| 5.00T | 10.71T | 9.57T | 8.75T | 7.57T | 7.44T | Total Debt |
| 1.38T | 2.71T | 2.70T | 2.65T | 2.56T | 2.49T | Net Debt |
| 1.31T | 2.26T | 2.03T | 2.10T | 2.20T | 2.20T | Total Liabilities |
| 2.67T | 5.36T | 4.92T | 4.86T | 4.44T | 4.45T | Stockholders Equity |
| 1.84T | 4.78T | 4.18T | 3.47T | 2.76T | 2.64T |
| Cash Flow | Free Cash Flow | ||||
| 436.85B | 543.81B | 191.26B | 148.73B | -56.63B | 33.77B | Operating Cash Flow |
| 806.38B | 1.01T | 661.27B | 615.63B | 403.19B | 494.33B | Investing Cash Flow |
| -543.00B | -710.65B | -364.66B | -375.98B | -389.04B | -345.63B | Financing Cash Flow |
| -428.23B | -543.95B | -197.66B | -61.30B | 52.69B | -14.58B |
Nippon Steel & Sumitomo Metal Technical Analysis
Negative
7.02
Price Trends
7.40
Negative
7.05
Negative
7.08
Negative
Market Momentum
0.02
Positive
32.62
Neutral
20.11
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NPSCY, the sentiment is Negative. The current price of 7.02 is below the 20-day moving average (MA) of 7.66, below the 50-day MA of 7.40, and below the 200-day MA of 7.08, indicating a bearish trend. The MACD of 0.02 indicates Positive momentum. The RSI at 32.62 is Neutral, neither overbought nor oversold. The STOCH value of 20.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NPSCY.
Nippon Steel & Sumitomo Metal Risk Analysis
Nippon Steel & Sumitomo Metal disclosed 42 risk factors in its most recent earnings report. Nippon Steel & Sumitomo Metal reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Nippon Steel & Sumitomo Metal Peers Comparison
Overall Rating
UnderperformOutperform
Sector (47)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | $23.84B | 16.94 | 2.60% | 1.47% | -8.56% | 68.36% | |
73 Outperform | $18.75B | 12.71 | 17.27% | 1.48% | -6.68% | -32.96% | |
73 Outperform | $22.28B | 6.73 | 9.28% | 3.35% | -5.86% | -33.57% | |
71 Outperform | $28.14B | 14.41 | 9.79% | 1.80% | -11.46% | -53.33% | |
49 Neutral | $9.74B | 27.51 | 3.43% | 0.47% | -13.48% | -56.94% | |
48 Neutral | $4.06B | ― | -10.36% | ― | -12.78% | -301.57% | |
47 Neutral | $2.64B | -3.21 | -21.68% | 3.30% | 4.19% | -30.23% |
* Basic Materials Sector Average
Performance Comparison
NPSCY
Nippon Steel & Sumitomo Metal
7.02
-0.97
-12.14%
MT
ArcelorMittal
28.99
1.90
7.01%
CLF
Cleveland-Cliffs
8.10
-14.28
-63.81%
NUE
Nucor
119.66
-75.49
-38.68%
STLD
Steel Dynamics
124.00
-21.63
-14.85%
X
United States Steel
42.17
0.98
2.38%
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.