Usinas Siderurgicas de Minas (USNZY)
OTHER OTC:USNZY
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Usiminas
(OTC:USNZY)
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Rating:58Neutral
Price Target:
$1.50
▲(20.00% Upside)
Action:ReiteratedDate:04/30/26
The score is held back primarily by weak profitability and persistent losses despite manageable leverage and improved free cash flow. Technicals are a clear positive with the price above key moving averages and positive momentum indicators. The latest earnings call points to meaningful QoQ EBITDA improvement but also emphasizes significant external risks (import surge, cost inflation, volume pressure) and only stable near-term guidance, while valuation remains unattractive due to negative earnings and no stated dividend yield.
Positive Factors
Balance-sheet flexibility
Manageable leverage (debt/equity ~0.32) and a sizable equity base, plus management noting a maintained net‑cash position, provide financial flexibility to fund capex and projects, absorb cyclical swings and prioritize deleveraging without immediate reliance on external markets.
Negative Factors
Weak profitability
Profitability has deteriorated sharply with EBITDA margin near 1.2% and persistent net losses (TTM net margin ~-11.7%). Continued negative returns and operating losses erode equity, constrain reinvestment capacity and require sustained operational improvement to restore durable earnings power.
Read all positive and negative factors
Positive Factors
Negative Factors
Balance-sheet flexibility
Manageable leverage (debt/equity ~0.32) and a sizable equity base, plus management noting a maintained net‑cash position, provide financial flexibility to fund capex and projects, absorb cyclical swings and prioritize deleveraging without immediate reliance on external markets.
Read all positive factors
Usiminas (USNZY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.99B
Dividend YieldN/A
Average Volume (3M)1.63K
Price to Earnings (P/E)2.5
Beta (1Y)0.77
Revenue Growth-1.86%
EPS Growth-2158.82%
CountryUS
Employees51,182
SectorBasic Materials
Sector Strength58
IndustrySteel
Share Statistics
EPS (TTM)-2.15
Shares Outstanding547,752,000
10 Day Avg. Volume854
30 Day Avg. Volume1,625
Financial Highlights & Ratios
PEG Ratio>-0.01
Price to Book (P/B)0.34
Price to Sales (P/S)0.27
P/FCF Ratio5.65
Enterprise Value/Market Cap5.19
Enterprise Value/Revenue0.41
Enterprise Value/Gross Profit5.00
Enterprise Value/Ebitda35.09
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)0.12
Revenue Forecast (FY)$5.17B
Usiminas Business Overview & Revenue Model
Company Description
Usinas Siderúrgicas de Minas Gerais S.A. manufactures and markets flat steel products in Brazil and internationally. The company operates through four segments: Mining and Logistics, Steel Metallurgy, Steel Transformation, and Capital Assets. It e...
How the Company Makes Money
Usiminas makes money primarily by producing and selling steel products, with revenue largely driven by shipment volumes and realized steel prices (often influenced by domestic demand conditions, import competition, and global steel/iron ore cycles...
Usiminas Earnings Call Summary
Earnings Call Date:Apr 24, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Jul 24, 2026
Earnings Call Sentiment Neutral
The quarter showed a clear operational recovery in profitability with a 56% QoQ EBITDA increase, improved revenue per ton (~5%), export mix gains and positive cash generation. However, material headwinds remain: a sharp YoY/quarterly rise in imports creating inventory overhang, a 21% drop in mining volumes due to seasonal rains, declining steel sales volumes (~7% QoQ), and looming cost pressure from higher slabs, coke, coal and freight. Additionally, a substantial portion of net income improvement came from noncash FX/deferred tax effects tied to real appreciation. Management is focused on efficiency, prioritizing value over volume and progressing key projects (PCI, coke retrofits) that should support margins over time. Overall, the operational improvements are meaningful but balanced by significant external risks and some one-off accounting gains, leaving the tone cautious.Positive Updates
Strong QoQ EBITDA Growth
Consolidated EBITDA of BRL 653 million in Q1 2026, a 56% increase versus Q4 2025, driven by a better product mix in steel and higher profitability that more than offset lower volumes.
Negative Updates
Decline in Steel Sales Volumes
Steel sales decreased ~7.0% quarter-over-quarter (reported as -7% / -6.9% vs Q4 2025), reflecting strategic prioritization of higher-margin activities and weather-related production impacts.
Read all updates
Q1-2026 Updates
Positive
Negative
Strong QoQ EBITDA Growth
Consolidated EBITDA of BRL 653 million in Q1 2026, a 56% increase versus Q4 2025, driven by a better product mix in steel and higher profitability that more than offset lower volumes.
Read all positive updates
Company Guidance
Management guided to "relatively stable" consolidated results into Q2 despite cost headwinds from higher oil, gas, energy and freight: Q1 delivered consolidated EBITDA of BRL 653 million (+56% QoQ) on steel sales down ≈7% QoQ (or 6.9%), a ~5% increase in steel net revenue/ton, mining sales volume down 21% (mining net revenue/ton stable at $87, reference prices +0.9%), and exports up ~9%. Key cash/financial metrics: operating cash flow BRL 370 million, working‑capital use BRL 120 million, BRL 67 million reduction in trading, CapEx BRL 285 million (‑23% QoQ), free cash flow BRL 84 million, net‑cash position maintained and net‑debt/EBITDA stable; FX effects added ~BRL 110 million and a noncash deferred‑tax gain ~BRL 450 million. Management noted large import pressure (≈78% YoY and ≈30% QoQ in Q1), expects steel volumes to remain broadly stable with mining volumes recovering in drier quarters, has implemented ~5% spot/distribution price increases (industrial agreements ~5–6%) to help offset input cost rises, highlighted ~$15/ton savings from lower major‑maintenance, and expects progressive upside from the PCI project (completion H2‑2026) reducing external coke purchases.Usiminas Financial Statement Overview
Summary
Income Statement
34
Negative
Balance Sheet
66
Positive
Cash Flow
62
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 25.37B | 25.84B | 25.87B | 27.64B | 32.47B | 33.74B |
| Gross Profit | 2.07B | 2.12B | 1.66B | 1.79B | 5.68B | 11.27B |
| EBITDA | 295.21M | 1.83B | 1.81B | 2.92B | 4.77B | 13.57B |
| Net Income | -2.61B | -3.02B | -145.95M | 1.39B | 1.62B | 9.07B |
Balance Sheet | ||||||
| Total Assets | 34.75B | 36.81B | 39.87B | 40.16B | 40.00B | 39.48B |
| Cash, Cash Equivalents and Short-Term Investments | 6.69B | 6.94B | 5.95B | 6.01B | 5.07B | 7.02B |
| Total Debt | 6.80B | 6.57B | 7.76B | 7.60B | 6.32B | 6.38B |
| Total Liabilities | 11.35B | 13.12B | 13.19B | 13.61B | 14.11B | 15.12B |
| Stockholders Equity | 20.54B | 20.80B | 23.88B | 23.86B | 23.16B | 21.75B |
Cash Flow | ||||||
| Free Cash Flow | 1.93B | 1.25B | -6.00M | 1.58B | -1.09B | 3.81B |
| Operating Cash Flow | 3.12B | 2.28B | 989.16M | 4.57B | 997.12M | 5.30B |
| Investing Cash Flow | -2.38B | -2.12B | -900.93M | -2.00B | -3.34B | -325.73M |
| Financing Cash Flow | -1.44B | -65.22M | -423.37M | -775.79M | -1.09B | -1.88B |
Usiminas Technical Analysis
Positive
1.25
Price Trends
1.29
Positive
1.21
Positive
1.03
Positive
Market Momentum
0.05
Negative
61.44
Neutral
48.16
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For USNZY, the sentiment is Positive. The current price of 1.25 is below the 20-day moving average (MA) of 1.34, below the 50-day MA of 1.29, and above the 200-day MA of 1.03, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 61.44 is Neutral, neither overbought nor oversold. The STOCH value of 48.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for USNZY.
Usiminas Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
65 Neutral | $8.39B | 15.47 | 3.53% | 7.02% | -11.93% | ― | |
64 Neutral | $7.44B | 21.86 | 11.88% | 1.02% | 8.38% | 626.64% | |
63 Neutral | $41.37B | 17.20 | 5.87% | 1.03% | -1.31% | 149.74% | |
61 Neutral | $10.43B | 7.12 | -0.05% | 2.87% | 2.86% | -36.73% | |
58 Neutral | $1.99B | 2.52 | -13.68% | ― | -1.86% | -2158.82% | |
56 Neutral | $8.40B | 9.20 | 2.53% | 2.92% | 4.46% | -47.34% | |
42 Neutral | $1.61B | -2.65 | -13.62% | ― | -0.94% | 24.97% |
* Basic Materials Sector Average
USNZY
Usiminas
1.66
0.71
73.67%
MT
ArcelorMittal
55.39
25.52
85.44%
CMC
Commercial Metals Company
67.06
21.99
48.80%
GGB
Gerdau SA
4.50
2.03
82.11%
SID
Companhia Siderúrgica Nacional
1.26
-0.40
-24.10%
TX
Ternium SA
42.76
15.61
57.49%
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.