China Steel (2002) Earnings: 1H Reports NT$1.66B Net Loss Amid NT$168.27B Revenue

China Steel on Smartkarma

Analysts on Smartkarma, such as Rahul Jain, are closely following China Steel Corporation (TWSE: 2002) and providing valuable insights. In a recent report titled “China Steel Corporation (TWSE: 2002) – Premium Valuations Amid Structural Constraints,” Jain expresses a bearish lean on the company. The report highlights that CSC’s profitability peaked in 2021 but has since declined, with a focus on green steel and expansion despite high execution risks and valuation above regional peers. Despite targeting significant capex over 5 years towards green steel and ASEAN expansion, execution risks remain high, with CSC trading at a valuation well above its peers at 15x EV/EBITDA.

A look at China Steel Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

China Steel Corporation, a prominent manufacturer of various steel products, appears to have a positive long-term outlook based on its Smartkarma Smart Scores. The company excels in terms of value, receiving the highest score possible. This indicates that China Steel is considered undervalued in the market, presenting a strong investment opportunity for those interested in the sector. Although the company’s dividend, growth, resilience, and momentum scores are not as high as its value score, they still suggest a stable and moderately growing company. With an overall positive outlook, China Steel Corporation may present a solid investment option for those looking for value in the steel industry.

In summary, China Steel Corporation specializes in manufacturing and selling a range of steel products such as hot rolled coils and sheets, cold rolled coils and sheets, wire rods, steel plates, and steel bars. The company’s Smartkarma Smart Scores indicate a particularly strong performance in terms of value, while also demonstrating reasonable scores in dividend, growth, resilience, and momentum. This suggests that China Steel Corporation is well-positioned for long-term success in the steel market, offering investors an opportunity to capitalize on its undervalued status and overall positive outlook.

Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
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