Acerinox (ACX) AI Stock Analysis

• Market Cap: €2.59B
• Dividend Yield: 5.33%
• Average Volume (3M): 611.01K
• Price to Earnings (P/E): 29.1
• Beta (1Y): 0.93
• Revenue Growth: -3.02%
• EPS Growth: 43.07%
• Country: ES
• Employees: 9,344
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): -0.11
• Shares Outstanding: 249,335,370
• 10 Day Avg. Volume: 516,144
• 30 Day Avg. Volume: 611,011
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €12.60
• Price Target Upside: 16.02% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 65 Neutral
• Price Target: €11.00 ▲(1.29% Upside)

Acerinox's stock score is primarily influenced by its strong technical indicators, suggesting positive momentum, and robust revenue growth. However, challenges in profitability, cash flow generation, and a high P/E ratio weigh down the score. The attractive dividend yield provides some support, but the company needs to address operational efficiency and leverage to improve its financial health.

Acerinox Business Overview & Revenue Model

Company Description

Acerinox, S.A., through its subsidiaries, manufactures, transforms, and markets stainless steel products in Spain, the Americas, Africa, Asia, Oceania, and Europe. The company offers flat products, including coil cold rollings, hot rolled and black coils, teardrop steel or coils, and hot and cold rolled sheets, as well as roughing materials, discs, billets, and plates. It also provides long products, which include steel and color coated wires, corrugated wires, hexagonal wire rods, bars, hot and cold rebars, decorticated bars, black bars, steel profiles, and corrugated hot rolls. The company was incorporated in 1970 and is headquartered in Madrid, Spain.

How the Company Makes Money

Acerinox generates revenue primarily through the sale of stainless steel products, which include flat products (such as sheets and coils) and long products (like bars and rods). The company benefits from a diversified customer base across various industries, which ensures stability in its revenue streams. Key revenue sources also include the sale of semi-finished products and value-added services such as processing and logistics. Acerinox's earnings are influenced by global steel demand, pricing fluctuations in raw materials (like nickel and chromium), and its strategic partnerships with suppliers and distributors that enhance its market reach. Additionally, the company invests in technological advancements and sustainable practices, which can lead to cost efficiencies and improved profit margins.

Acerinox Financial Statement Overview

Summary

Acerinox demonstrates robust revenue growth but faces challenges in profitability and cash flow generation. The increased leverage and declining margins highlight potential risks, while the stable equity ratio provides some balance. The company needs to focus on improving operational efficiency and cash flow management to enhance financial stability.

Income Statement

Acerinox shows a strong revenue growth rate of 25.89% in the TTM, indicating a recovery from previous declines. However, the gross profit margin has decreased to 20.22% from higher levels in previous years, suggesting increased cost pressures. The net profit margin is relatively low at 1.77%, reflecting challenges in converting revenue into profit. EBIT and EBITDA margins have also declined, indicating reduced operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has increased to 1.10, indicating higher leverage, which could pose a risk if not managed properly. Return on equity has decreased to 6.26%, showing reduced profitability for shareholders. However, the equity ratio remains stable, suggesting a balanced asset structure.

Cash Flow

Acerinox's free cash flow has significantly decreased by 90.16% in the TTM, raising concerns about cash generation. The operating cash flow to net income ratio is low at 0.14, indicating potential issues in converting income into cash. The free cash flow to net income ratio is also low, suggesting limited cash available for reinvestment or debt repayment.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.55B	5.41B	6.61B	8.69B	6.71B	4.67B
Gross Profit	1.73B	1.86B	2.18B	2.24B	1.66B	816.63M
EBITDA	758.03M	609.63M	627.52M	1.09B	994.38M	359.23M
Net Income	150.92M	224.95M	228.13M	556.05M	571.88M	49.05M
Balance Sheet
Total Assets	6.10B	6.47B	6.10B	6.32B	5.98B	4.73B
Cash, Cash Equivalents and Short-Term Investments	1.16B	1.35B	1.80B	1.56B	1.29B	939.78M
Total Debt	2.36B	2.40B	2.15B	2.00B	1.87B	1.69B
Total Liabilities	3.90B	3.89B	3.64B	3.77B	3.77B	3.12B
Stockholders Equity	2.15B	2.53B	2.41B	2.47B	2.16B	1.57B
Cash Flow
Free Cash Flow	17.82M	88.89M	306.58M	407.37M	285.67M	319.11M
Operating Cash Flow	274.66M	293.67M	481.48M	544.08M	387.81M	420.55M
Investing Cash Flow	-932.09M	-896.46M	-174.70M	-125.50M	-90.44M	-372.48M
Financing Cash Flow	-539.74M	-36.03M	-5.57M	-216.03M	10.31M	67.50M

Acerinox Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.86
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ES:ACX, the sentiment is Positive. The current price of 10.86 is above the 20-day moving average (MA) of 10.71, above the 50-day MA of 10.58, and above the 200-day MA of 10.17, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 57.67 is Neutral, neither overbought nor oversold. The STOCH value of 69.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ES:ACX.

Acerinox Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TUB	69 Neutral	441.40M	14.46	6.05%	5.38%	-10.37%	38.82%
ACX	65 Neutral	€2.59B	29.09	3.97%	5.33%	-3.02%	43.07%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Acerinox Corporate Events

Acerinox Surpasses Expectations in Q1 2025 Amid Geopolitical Challenges

Acerinox reported a strong performance in the first quarter of 2025, achieving an EBITDA of 102 million euros, surpassing previous expectations despite challenges from geopolitical and tariff issues. The company saw a significant increase in steel production and managed to reduce working capital while paying an interim dividend. Looking ahead, Acerinox anticipates a higher EBITDA in the second quarter, driven by a solid order book in the U.S. and strategic initiatives in Europe, although uncertainties in demand persist.

Acerinox Reports Strong Q1 2025 Amidst Geopolitical Challenges

Acerinox reported a strong first quarter in 2025, achieving an EBITDA of 102 million euros despite geopolitical and tariff uncertainties affecting demand. The company saw a 29% increase in steel production and a 17% rise in revenue compared to the previous quarter. Acerinox is concentrating on executing its strategic plan and integrating Haynes International, aiming for higher EBITDA in the next quarter. The integration of Haynes is progressing well, with estimated synergies increasing to 75 million dollars.