Ferroglobe (GSM) AI Stock Analysis

• Market Cap: $871.54M
• Dividend Yield: 1.18%
• Average Volume (3M): 1.79M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.80
• Revenue Growth: -16.89%
• EPS Growth: -403.77%
• Country: US
• Employees: 3,283
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): -0.02
• Shares Outstanding: 186,625,870
• 10 Day Avg. Volume: 978,782
• 30 Day Avg. Volume: 1,788,385
• PEG Ratio: -0.32
• Price to Book (P/B): 0.99
• Price to Sales (P/S): 0.43
• P/FCF Ratio: 4.28
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 0.68
• Enterprise Value/Gross Profit: 3.93
• Enterprise Value/Ebitda: -30.06
• 1Y Price Target: $6.00
• Price Target Upside: 28.48% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): -0.46
• Revenue Forecast (FY): $1.30B

• Rating: 55 Neutral
• Price Target: $4.50 ▼(-3.64% Downside)

Ferroglobe's overall stock score reflects significant financial challenges, with declining profitability and revenue growth being the most impactful factors. Technical analysis shows mixed signals, while valuation concerns persist due to negative earnings. The earnings call provides some optimism for future improvements, but current conditions remain challenging.

Positive Factors

Regulatory Developments

The imposition of U.S. countervailing duties on imports is expected to improve market dynamics, potentially boosting Ferroglobe's competitive position in the U.S. market by reducing unfair competition from subsidized foreign producers.

Strategic Partnerships

The partnership with Coreshell to develop advanced battery systems positions Ferroglobe favorably in the growing EV market, enhancing its product offerings and supporting a domestic supply chain for EV batteries.

Energy Cost Management

The new energy agreement in France provides competitive pricing and operational flexibility, which can help Ferroglobe manage costs and improve margins, contributing to long-term operational efficiency.

Negative Factors

Revenue Decline

A significant decline in revenue indicates challenges in market demand and pricing power, which could hinder Ferroglobe's ability to invest in growth initiatives and maintain profitability.

Market Competition

Increased competition from Chinese imports in Europe pressures Ferroglobe's market share and pricing, potentially impacting revenue and margins in a key geographic market.

Profitability Challenges

A negative net profit margin reflects ongoing profitability issues, limiting Ferroglobe's ability to generate shareholder value and invest in future growth, posing a risk to long-term financial health.

Ferroglobe Business Overview & Revenue Model

Company Description

Ferroglobe PLC operates in the silicon and specialty metals industry in the United States, Europe, and internationally. It provides silicone chemicals that are used in a range of applications, including personal care items, construction-related products, health care products, and electronics, as well as silicon metal for primary and secondary aluminum producers; silicomanganese, which is used as deoxidizing agent in the steel manufacturing process; and ferromanganese that is used as a deoxidizing, desulphurizing, and degassing agent in the removal of nitrogen and other harmful elements from steel. The company also offers ferrosilicon products that are used to produce stainless steel, carbon steel, and various other steel alloys, as well as to manufacture electrodes and aluminum; calcium silicon, which is used in the deoxidation and desulfurization of liquid steel, and production of coatings for cast iron pipes, as well as in the welding process of powder metal and in pyrotechnics; and nodularizers and inoculants, which are used in the production of iron. In addition, it provides silica fume, a by-product of the electrometallurgical process of silicon metal and ferrosilicon. Further, the company operates quartz mines in Spain, South Africa, the United States, and Canada; and low-ash metallurgical coal mines in the United States, as well as holds interests in hydroelectric power plant in France. It serves silicone chemical, aluminum, and steel manufacturers; auto companies and their suppliers; ductile iron foundries; manufacturers of photovoltaic solar cells and computer chips; and concrete producers. The company was formerly known as VeloNewco Limited and changed its name to Ferroglobe PLC in December 2015. The company was incorporated in 2015 and is headquartered in London, the United Kingdom. Ferroglobe PLC is a subsidiary of Grupo Villar Mir, S.A.U.

How the Company Makes Money

Ferroglobe generates revenue primarily through the sale of its silicon products and alloys. The company's key revenue streams include the production and distribution of silicon metal, ferrosilicon, and specialty alloys, which are sold to customers across multiple industries. Ferroglobe benefits from long-term contracts with major clients, providing a stable income source, while also engaging in spot market sales to optimize pricing strategies. The company’s strategic partnerships with key players in sectors like automotive and renewable energy enhance its market position and contribute to its earnings. Additionally, fluctuations in global silicon demand and pricing, as well as operational efficiencies in production, significantly impact Ferroglobe's profitability.

Ferroglobe Financial Statement Overview

Summary

Ferroglobe faces significant financial challenges, particularly in profitability and revenue growth. The income statement shows a negative net profit margin and declining revenue growth, while the balance sheet reflects a moderate position with reduced leverage but negative return on equity. Cash flow improvements are a positive sign, but overall financial health remains under pressure.

Income Statement

Ferroglobe's income statement shows significant challenges. The TTM data indicates a negative net profit margin of -6.99% and a declining revenue growth rate of -8.15%. The gross profit margin has also decreased to 23.76% from previous years. These figures suggest declining profitability and revenue, which are concerning for future growth.

Balance Sheet

The balance sheet reflects a moderate financial position. The debt-to-equity ratio has improved to 0.17 in the TTM period, indicating reduced leverage. However, the return on equity is negative at -13.97%, highlighting profitability issues. The equity ratio remains stable, suggesting a balanced asset structure.

Cash Flow

Cash flow analysis reveals mixed results. The TTM free cash flow growth rate is strong at 128.26%, but the operating cash flow to net income ratio is low at 0.14, indicating limited cash generation relative to net income. The free cash flow to net income ratio is also low at 0.11, suggesting potential cash flow constraints.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.37B	1.64B	1.65B	2.60B	1.78B	1.14B
Gross Profit	238.06M	541.35M	697.22M	1.23B	496.68M	200.76M
EBITDA	-31.09M	127.99M	263.08M	725.48M	33.74M	-69.12M
Net Income	-117.88M	23.54M	82.66M	440.31M	-110.62M	-246.34M
Balance Sheet
Total Assets	1.54B	1.47B	1.76B	1.96B	1.52B	1.35B
Cash, Cash Equivalents and Short-Term Investments	134.00M	138.47M	136.47M	317.94M	114.50M	132.56M
Total Debt	212.82M	198.82M	340.05M	536.47M	462.32M	551.55M
Total Liabilities	754.57M	638.20M	888.88M	1.20B	1.20B	981.43M
Stockholders Equity	786.81M	720.51M	748.06M	650.06M	213.98M	251.22M
Cash Flow
Free Cash Flow	18.89M	167.09M	91.91M	351.72M	-28.94M	121.36M
Operating Cash Flow	84.40M	243.26M	178.37M	405.02M	-1.34M	154.27M
Investing Cash Flow	-66.53M	-66.94M	-81.81M	-51.77M	-23.85M	-31.94M
Financing Cash Flow	-19.85M	-175.51M	-282.15M	-140.46M	10.45M	-113.33M

Ferroglobe Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.67
• 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 GSM, the sentiment is Positive. The current price of 4.67 is above the 20-day moving average (MA) of 4.48, above the 50-day MA of 4.56, and above the 200-day MA of 4.14, indicating a bullish trend. The MACD of 0.07 indicates Negative momentum. The RSI at 55.51 is Neutral, neither overbought nor oversold. The STOCH value of 68.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GSM.

Ferroglobe Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NEXA	65 Neutral	$1.08B	-66.86	-1.64%	1.24%	7.92%	91.83%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
GSM	55 Neutral	$871.54M	-6.43	-16.00%	1.18%	-16.89%	-403.77%
CMP	53 Neutral	$820.08M	-10.23	-28.98%	―	11.32%	61.60%
UAMY	53 Neutral	$674.97M	-117.56	-10.59%	―	240.12%	0.98%

Ferroglobe Corporate Events

Ferroglobe Announces Q3 2025 Financial Results Amid Trade Case Progress

On November 5, 2025, Ferroglobe PLC announced its financial results for the third quarter of 2025, reporting a decrease in sales by 19.4% from the previous quarter and 28.1% from the same period last year. Despite challenging market conditions and weak demand, the company made progress in a U.S. trade case on antidumping and countervailing duties, which is expected to benefit the company in 2026. Additionally, Ferroglobe has strengthened its partnership with Coreshell, advancing silicon anode technology in EV batteries, with pilot deliveries already underway.