Metallus (MTUS) AI Stock Analysis

• Market Cap: $590.85M
• Dividend Yield: N/A
• Average Volume (3M): 409.10K
• Price to Earnings (P/E): 30.6
• Beta (1Y): 1.29
• Revenue Growth: -23.34%
• EPS Growth: -128.05%
• Country: US
• Employees: 1,880
• Sector: Basic Materials
• Sector Strength: 62
• Industry: Steel
• EPS (TTM): 0.07
• Shares Outstanding: 42,023,270
• 10 Day Avg. Volume: 431,328
• 30 Day Avg. Volume: 409,104
• PEG Ratio: 0.02
• Price to Book (P/B): 0.92
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.75
• Enterprise Value/Market Cap: 0.76
• Enterprise Value/Revenue: 0.10
• Enterprise Value/Gross Profit: 6.48
• Enterprise Value/Ebitda: 1.54
• 1Y Price Target: $20.00
• Price Target Upside: 37.36% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 64 Neutral
• Price Target: $14.50 ▼(-0.41%Downside)

Metallus' overall stock score is driven by strong corporate events and positive earnings call guidance, indicating potential for future growth. However, financial performance challenges and technical indicators reflecting a bearish trend weigh down the score. The negative P/E ratio suggests valuation concerns, necessitating improvements in profitability to enhance attractiveness.

Metallus Business Overview & Revenue Model

Company Description

Metallus Inc. manufactures and sells alloy steel, and carbon and micro-alloy steel products in the United States and internationally. The company offers special bar quality (SBQ) bars, seamless mechanical tubes, precision steel components, and billets that are used in gears, hubs, axles, crankshafts and motor shafts, oil country drill pipes, bits and collars, bearing races and rolling elements, bushings, fuel injectors, wind energy shafts, anti-friction bearings, artillery and mortar bodies, and other applications. It also provides custom-make precision steel components. It offers its products and services to the automotive, energy, industrial equipment, mining, construction, rail, aerospace and defense, heavy truck, agriculture, and power generation sectors. The company was formerly known as TimkenSteel Corporation and changed its name to Metallus Inc. in February 2024. Metallus Inc. was founded in 1899 and is headquartered in Canton, Ohio.

How the Company Makes Money

Metallus generates revenue through the sale of metal components and materials to various industries. The company's key revenue streams include direct sales contracts with manufacturers in the automotive and aerospace sectors, where precision and quality are critical. Additionally, Metallus leverages strategic partnerships with construction firms and electronics manufacturers to supply specialized metal products tailored to their specific needs. The company also invests in research and development to create cutting-edge materials that command premium pricing. Metallus's focus on sustainability and efficient production processes helps reduce costs and increase profitability, while its wide distribution network ensures a steady flow of sales across domestic and international markets.

Metallus Financial Statement Overview

Summary

Metallus shows stability in its balance sheet with low leverage, yet faces challenges in profitability and cash conversion. Income statement and cash flow metrics reveal operational inefficiencies, with a notable negative free cash flow in 2024. Revenue growth has been inconsistent, necessitating improvements in cost management.

Income Statement

Metallus has experienced fluctuating revenue and profit margins. The gross profit margin improved significantly from 2020 to 2021 but declined afterwards, indicating potential cost management issues. The net profit margin has been volatile, with a notable decrease in 2022 and 2023. Revenue growth was inconsistent, with declines in 2023 and 2024. The EBIT and EBITDA margins reflect operational challenges, particularly in recent years.

Balance Sheet

The balance sheet shows a solid equity position with an improving equity ratio over the years, indicating increased stability. The debt-to-equity ratio is low, suggesting conservative leverage. However, there is a slight decline in stockholders' equity in 2024, which may require attention. Overall, the company maintains a strong financial position with manageable debt levels.

Cash Flow

Cash flow analysis reveals a decreasing trend in operating cash flow over recent years, impacting free cash flow, which turned negative in 2024. The free cash flow to net income ratio indicates challenges in converting profits into cash. The company has maintained positive operating cash flow, yet fluctuations suggest some cash management difficulties.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.04B	1.08B	1.36B	1.30B	1.25B	830.70M
	Gross Profit
69.00M	97.70M	186.50M	101.20M	189.10M	15.60M
	EBIT
-18.90M	10.00M	101.90M	112.10M	202.70M	-46.10M
	EBITDA
13.60M	58.70M	153.30M	156.00M	244.20M	18.10M
	Net Income Common Stockholders
-21.40M	1.30M	69.40M	65.10M	171.00M	-61.90M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
7.80M	240.70M	280.60M	257.20M	259.60M	102.80M
	Total Assets
1.20B	1.12B	1.18B	1.08B	1.16B	994.00M
	Total Debt
225.20M	17.10M	24.60M	32.90M	59.40M	99.20M
	Net Debt
217.40M	-223.60M	-256.00M	-224.30M	-200.20M	-3.60M
	Total Liabilities
663.40M	426.20M	443.70M	395.50M	494.30M	486.50M
	Stockholders Equity
541.30M	690.50M	731.60M	686.50M	664.60M	507.50M
Cash Flow		Free Cash Flow
-106.40M	-24.00M	73.70M	107.40M	184.70M	156.60M
	Operating Cash Flow
-32.00M	40.30M	125.30M	134.50M	196.90M	173.50M
	Investing Cash Flow
-6.30M	-10.80M	-49.90M	-21.70M	-4.80M	-6.00M
	Financing Cash Flow
-50.20M	-68.90M	-51.90M	-114.60M	-35.30M	-91.80M

Metallus Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.56
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MTUS, the sentiment is Positive. The current price of 14.56 is above the 20-day moving average (MA) of 13.14, above the 50-day MA of 12.96, and above the 200-day MA of 14.47, indicating a neutral trend. The MACD of 0.25 indicates Negative momentum. The RSI at 59.28 is Neutral, neither overbought nor oversold. The STOCH value of 86.85 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MTUS.

Metallus Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FRD	73 Outperform	$117.52M	20.84	4.51%	0.95%	-12.19%	-67.95%
WS	67 Neutral	$1.32B	11.85	11.10%	2.46%	-6.82%	-36.02%
MTUS	64 Neutral	$590.85M	30.62	-3.00%	―	-23.34%	-128.05%
ACNT	55 Neutral	$138.09M	―	-8.42%	―	-6.70%	61.17%
ZEUS	53 Neutral	$352.85M	22.00	2.95%	1.93%	-9.65%	-61.57%
RDUS	53 Neutral	$835.34M	―	-41.03%	2.53%	-2.75%	-339.59%
Sector *	51 Neutral	$2.02B	-1.19	-21.37%	3.64%	2.88%	-30.57%

Metallus Corporate Events

Metallus Announces New Leadership Appointments

On May 19, 2025, Metallus Inc. announced the promotion of Kristopher R. Westbrooks to President and Chief Operating Officer, effective June 16, 2025. Westbrooks, who has been with the company since 2018, will lead Metallus’ safety, manufacturing operations, and supply chain organizations, aligning with strategic initiatives to support growth objectives. Concurrently, John M. Zaranec III was appointed as Executive Vice President and Chief Financial Officer. Zaranec brings over 20 years of financial experience from the manufacturing and industrial sectors, most recently serving at Materion Corporation. These leadership changes are expected to enhance Metallus’ operational excellence and strategic growth, benefiting stakeholders and positioning the company for continued success.

The most recent analyst rating on (MTUS) stock is a Hold with a $20.00 price target. To see the full list of analyst forecasts on Metallus stock, see the MTUS Stock Forecast page.

Metallus Shareholders Elect Directors and Ratify Auditor

At the Annual Meeting of Shareholders on May 7, 2025, Metallus shareholders elected four directors for three-year terms, ratified Ernst & Young LLP as the independent auditor for 2025, and approved executive compensation on an advisory basis. These decisions reflect shareholder support for the company’s current leadership and financial oversight, potentially strengthening its governance and operational strategies moving forward.

Metallus Reports Q1 2025 Financial Results

On May 8, 2025, Metallus reported its first-quarter 2025 financial results, showing net sales of $280.5 million, a 17% increase from the previous quarter, but a 13% decrease compared to the same period last year. The company achieved a net income of $1.3 million and adjusted EBITDA of $17.7 million. Metallus also invested $27.5 million in capital expenditures and repurchased $5.6 million in common shares. The company highlighted its strong order book and market share gains, supported by steel tariffs, and noted increased order bookings. Despite some volatility in the defense supply chain, Metallus remains committed to expanding capacity and supporting the U.S. Army’s munitions production. The company plans to continue strategic investments and share repurchases while focusing on safety and customer service to ensure sustainable profitability.