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Metallus (MTUS)
NYSE:MTUS
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Metallus (MTUS) AI Stock Analysis

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MTUS

Metallus

(NYSE:MTUS)

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Neutral 51 (OpenAI - 5.2)
Rating:51Neutral
Price Target:
$19.00
▲(5.26% Upside)
Action:Reiterated
Date:07/01/26
The score is held back primarily by weak cash-flow quality (deeply negative free cash flow) and thin current profitability, plus a very high P/E that increases valuation risk. These negatives are partially offset by a notably strong balance sheet with very low leverage and an earnings-call narrative pointing to improving shipments, backlog, and EBITDA trends into 2026, though near-term cost and execution/timing risks remain.
Positive Factors
Enhanced Liquidity / Credit Facility
A long-dated $300M asset-based revolver materially strengthens funding optionality for working capital, H2 capex and potential M&A. The facility's size, availability to expand, and multi-year maturity reduce near-term refinancing risk and support execution of government-backed projects and capacity builds.
Negative Factors
Deeply Negative Free Cash Flow
Persistent negative free cash flow despite positive operating cash flow signals heavy capex, pension or working-capital demands. This limits the company's ability to self-fund growth or fully de-risk balance sheet, increasing reliance on external facilities or government funding for ongoing investments.
Read all positive and negative factors
Positive Factors
Negative Factors
Enhanced Liquidity / Credit Facility
A long-dated $300M asset-based revolver materially strengthens funding optionality for working capital, H2 capex and potential M&A. The facility's size, availability to expand, and multi-year maturity reduce near-term refinancing risk and support execution of government-backed projects and capacity builds.
Read all positive factors

Metallus Key Performance Indicators (KPIs)

Any
Any
Revenue by Product Type
Revenue by Product Type
Chart Insights
Data provided by:The Fly

Metallus (MTUS) vs. SPDR S&P 500 ETF (SPY)

Metallus Business Overview & Revenue Model

Company Description
Metallus Inc. specializes in the creation and global distribution of diverse steel products, including alloy, carbon, and micro-alloy varieties, serving both domestic and international markets. The company's extensive product portfolio features sp...
How the Company Makes Money
Metallus primarily makes money by manufacturing and selling specialty alloy steel products to customers that require engineered performance characteristics. Revenue is generated from (1) sales of steel in various grades and forms (e.g., bars or ot...

Metallus Earnings Call Summary

Earnings Call Date:May 04, 2026
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Jul 30, 2026
Earnings Call Sentiment Positive
The call presented multiple strong operational and financial positives: double-digit revenue growth (10% YoY), a 39% increase in adjusted EBITDA, an enlarged order book (>40% YoY), sequential shipment momentum (+11%), successful capital project milestones (bloom furnace run-rate +50%), solid liquidity ($375M) and ongoing shareholder returns. Offsetting these positives were cost pressures from higher energy/utility expenses, incremental labor costs from a new union agreement, seasonally higher cash outflows and front-loaded CapEx, extended lead times reflecting near-term capacity constraints, and some timing uncertainty around certain defense customer ramps. On balance, the company communicated clear operational progress and financial improvement while acknowledging manageable near-term headwinds and timing variability.
Positive Updates
Revenue Growth
Net sales of $308.3 million in Q1 2026, up $27.8 million or 10% year-over-year, driven primarily by higher shipments across most end markets.
Negative Updates
Energy and Utility Cost Pressure
Higher utility and energy costs negatively impacted results; prior favorable electricity contract benefits were present in Q1 2025 but not in Q1 2026, contributing to cost headwinds versus the prior-year period.
Read all updates
Q1-2026 Updates
Negative
Revenue Growth
Net sales of $308.3 million in Q1 2026, up $27.8 million or 10% year-over-year, driven primarily by higher shipments across most end markets.
Read all positive updates
Company Guidance
The company reiterated modestly positive near-term guidance: Q2 shipments are expected to increase sequentially in the low single digits, with Q2 adjusted EBITDA “modestly higher” sequentially and year‑over‑year; manufacturing costs are expected to improve by approximately $2.0 million sequentially (net of the full‑quarter run‑rate union cost), and average melt utilization is expected to rise sequentially; full‑year adjusted effective tax rate is guided to 27–30%; planned 2026 CapEx is ~$70 million (≈$35 million government‑funded) after Q1 CapEx of $24.7 million (≈$18.3 million government‑funded); liquidity was $375 million and cash was $104 million at 3/31/2026 with no borrowings; government funding received totaled $5.9 million in Q1 plus $9.5 million in April with ~ $2 million more expected in 2026 pending a final milestone; pension contributions were $19.8 million in Q1 (with ~$5 million made in April and ~$5 million remaining) and total 2026 required pension contributions are expected to fall nearly 60% vs. 2025; noted operational milestones include a new bloom reheat run rate of ~150 tons/hour (vs. ~100 t/hr legacy) with the reheat furnace expected fully operational early–mid Q3 and the roller furnace late Q3; lead times extend into late Q3 for VARs and seamless tubing; and prior actions include bar price increases totaling $120/ton and tube pricing averaging ~$100/ton (affecting roughly 30% of annual volume), with price realization expected to be gradual and weighted to H2.

Metallus Financial Statement Overview

Summary
Mixed fundamentals: a strong, low-leverage balance sheet (very low debt-to-equity and meaningful equity base) is a key support, but profitability has cooled sharply from prior-cycle levels with very thin TTM margins and near-breakeven net income. Cash generation is the main weakness, with positive operating cash flow but deeply negative and persistent free cash flow, signaling pressure from investment and/or working-capital needs.
Income Statement
45
Neutral
Balance Sheet
78
Positive
Cash Flow
34
Negative
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue1.19B1.16B1.08B1.36B1.33B1.28B
Gross Profit98.30M95.10M97.70M186.50M126.70M220.00M
EBITDA65.60M60.30M58.70M153.30M156.00M246.00M
Net Income2.90M-1.20M1.30M69.40M65.10M171.00M
Balance Sheet
Total Assets1.14B1.14B1.12B1.18B1.08B1.16B
Cash, Cash Equivalents and Short-Term Investments104.00M156.70M240.70M280.60M257.20M259.60M
Total Debt13.20M14.90M17.10M24.60M32.90M59.40M
Total Liabilities455.20M454.20M426.20M443.70M395.50M494.30M
Stockholders Equity683.00M686.00M690.50M731.60M686.50M664.60M
Cash Flow
Free Cash Flow-78.20M-93.00M-24.00M73.70M107.40M184.70M
Operating Cash Flow28.00M16.00M40.30M125.30M134.50M196.90M
Investing Cash Flow-81.10M-75.20M-10.80M-49.90M-21.70M-4.80M
Financing Cash Flow-24.00M-25.20M-68.90M-51.90M-114.60M-35.30M

Metallus Technical Analysis

Technical Analysis Sentiment
Negative
Last Price18.05
Price Trends
50DMA
19.14
Negative
100DMA
18.25
Negative
200DMA
18.00
Negative
Market Momentum
MACD
-0.21
Positive
RSI
34.44
Neutral
STOCH
6.35
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MTUS, the sentiment is Negative. The current price of 18.05 is below the 20-day moving average (MA) of 19.55, below the 50-day MA of 19.14, and above the 200-day MA of 18.00, indicating a bearish trend. The MACD of -0.21 indicates Positive momentum. The RSI at 34.44 is Neutral, neither overbought nor oversold. The STOCH value of 6.35 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MTUS.

Metallus Risk Analysis

Metallus disclosed 29 risk factors in its most recent earnings report. Metallus 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

Metallus Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
$238.95M12.1813.66%0.75%45.50%214.32%
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
58
Neutral
$335.74M29.6654.83%19.32%-84.51%-87.88%
51
Neutral
$728.49M256.980.42%13.73%
50
Neutral
$137.92M152.601.40%-51.72%
49
Neutral
$1.63B91.4910.97%1.78%11.33%-84.72%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
MTUS
Metallus
17.50
1.40
8.70%
FRD
Friedman Industries
33.62
17.29
105.89%
ACNT
Ascent Industries
15.26
2.49
19.50%
MSB
Mesabi Shs
25.59
1.86
7.86%
WS
Worthington Steel, Inc.
32.02
1.23
4.00%

Metallus Corporate Events

Business Operations and StrategyPrivate Placements and Financing
Metallus Secures New Long-Term $300 Million Credit Facility
Positive
Jul 1, 2026
On June 30, 2026, Metallus Inc. and certain domestic subsidiaries executed a Fifth Amended and Restated Credit Agreement that replaces a prior secured facility with a $300 million asset-based revolving credit line, including sublimits for letters ...
Business Operations and StrategyStock BuybackFinancial Disclosures
Metallus Reports Strong Q1 2026 Sales and Earnings
Positive
May 4, 2026
On May 4, 2026, Metallus reported first-quarter 2026 net sales of $308.3 million, up 10% year over year and 15% sequentially, with net income rising to $5.4 million and adjusted EBITDA jumping 39% to $24.6 million, driven by higher shipments, bett...
Executive/Board ChangesShareholder Meetings
Metallus Shareholders Back Board, Auditor and Executive Pay
Positive
May 1, 2026
At Metallus’s Annual Meeting of Shareholders held on April 30, 2026, investors elected the three board nominees to new three-year terms ending at the 2029 annual meeting, with each director receiving strong majority support despite some with...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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.Date of analysis: Jul 01, 2026