It's also true that the steel industry of fifty years ago is not the steel industry of today because the world of fifty years ago isn't the world of today either. The steel industry today competes internationally and is dominated by steel companies in other countries around the globe. As a result, I decided to take a look at today's American steel and iron companies and see what I could find out.
With this in mind, and the fact that Nucor Corporation keeps showing up on my best ideas list, I thought it was time to take a look at the big names in the American steel industry. Listed below are six of the largest (by market capitalization) steel and iron companies headquartered in the United States. This group may or may not contain one or two real gems that an investor may feel fits in with their own investing style. Of course additional research will probably be needed before making any investments, but this may be just the initial analysis needed to start that research.
Before digging into the company fundamentals below, it may be advantageous to watch the following video which explains the steel making processes and what's required to turn iron ore into rolled or slab steel. It's a very interesting summary of just how the processes work. As you will see, the steel industry is a very sophisticated and competitive industry and often the winner is the one that adds the most value for their customers.
11 January 2015 Price $47.78 1yr Target $59.06 Analysts 17 1yr Cap Gain 23.60% Dividend $1.49 Yield 3.11% 1yr Est Tot Return 26.71% 3yr DivGR 0.67% 5yr DivGR 0.97% P/E 22.75 PEG 0.57 | Market Cap $15.24 Bil Beta 1.29 EPS (ttm) $2.10 Payout Ratio 70.95% EPS next yr $3.43 Forward P/E 13.94 Debt/Equity 0.59 ROA 4.40% ROE 8.80% ROI 6.00% Sales $21.00 Bil Income $671.80 Mil Profit Margin 3.19% |
11 January 2015 Price $57.09 1yr Target $74.60 Analysts 10 1yr Cap Gain 30.67% Dividend $1.40 Yield 2.45% 1yr Est Tot Return 33.12% 3yr DivGR 42.36% 5yr DivGR 28.47 P/E 13.15 PEG 1.38 | Market Cap $4.46 Bil Beta 1.71 EPS (ttm) $4.34 Payout Ratio 32.25% EPS next yr $5.80 Forward P/E 9.84 Debt/Equity 0.57 ROA 4.40% ROE 8.50% ROI 6.70% Sales $10.18 Bil Income $341.00 Mil Profit Margin 3.34% |
11 January 2015 Price $18.90 1yr Target $26.73 Analysts 15 1yr Cap Gain 41.42% Dividend $0.46 Yield 2.43% 1yr Est Tot Return 43.85% 3yr DivGR 4.72% 5yr DivGR 7.52 P/E 17.66 PEG 0.62 | Market Cap $4.54 Bil Beta 1.64 EPS (ttm) $1.07 Payout Ratio 42.99% EPS next yr $2.10 Forward P/E 8.99 Debt/Equity 1.03 ROA 4.00% ROE 9.30% ROI 6.20% Sales $8.10 Bil Income $256.70 Mil Profit Margin 3.16% |
11 January 2015 Price $24.57 1yr Target $42.63 Analysts 16 1yr Cap Gain 73.50% Dividend $0.20 Yield 0.81% 1yr Est Tot Return 74.31% 3yr DivGR 0.00% 5yr DivGR 2.12% P/E 37.80 PEG 5.82 | Market Cap $3.57 Bil Beta 1.76 EPS (ttm) $0.65 Payout Ratio 30.76% EPS next yr $3.50 Forward P/E 7.02 Debt/Equity 0.89 ROA 0.70% ROE 2.70% ROI -18.40% Sales $17.70 Bil Income $97.00 Mil Profit Margin 0.54% |
11 January 2015 Price $26.25 1yr Target $41.67 Analysts 6 1yr Cap Gain 58.74% Dividend $0.72 Yield 2.74% 1yr Est Tot Return 61.48% 3yr DivGR 16.00% 5yr DivGR 7.98% P/E 12.56 PEG 1.05 | Market Cap $1.76 Bil Beta 1.79 EPS (ttm) $2.09 Payout Ratio 34.44% EPS next yr $2.92 Forward P/E 8.98 Debt/Equity 0.79 ROA 6.50% ROE 17.10% ROI 5.20% Sales $3.40 Bil Income $147.40 Mil Profit Margin 4.32% |
11 January 2015 Price $14.21 1yr Target $20.00 Analysts 8 1yr Cap Gain 40.74% Dividend $0.48 Yield 3.37% 1yr Est Tot Return 44.11% 3yr DivGR 0.00% 5yr DivGR 0.00% P/E 16.52 PEG 1.16 | Market Cap $1.67 Bil Beta 1.49 EPS (ttm) $0.86 Payout Ratio 55.81% EPS next yr $1.56 Forward P/E 9.11 Debt/Equity 0.96 ROA 3.20% ROE 8.60% ROI 6.70% Sales $7.04 Bil Income $102.10 Mil Profit Margin 1.44% |