- Gerdau’s adjusted EBITDA for the fourth quarter was R$2.39 billion, surpassing the estimated R$2.33 billion.
- Adjusted net income stood at R$666 million.
- Both steel sales and production reached 2.72 million tons and 2.72 million metric tons, respectively.
- The adjusted EBITDA margin was recorded at 14.2%.
- Net debt for the period amounted to R$5.36 billion.
- The company generated a free cash flow of R$427 million.
- For the year 2024, Gerdau’s net income was R$4.60 billion, marking a 39% decrease year-over-year.
- Analyst ratings included 14 buys, 3 holds, and no sells.
A look at Gerdau Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 3 | |
| Growth | 2 | |
| Resilience | 4 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.2 |
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
Looking at Gerdau’s long-term outlook based on the Smartkarma Smart Scores, the company seems to be positioned well for the future. With a strong Value score of 4, Gerdau is deemed to be an attractive investment relative to its current market price. This could indicate that the company’s stock may be undervalued compared to its intrinsic value.
Additionally, Gerdau’s high Resilience score of 4 suggests that the company is robust and able to weather economic uncertainties and market volatilities effectively. This resilience could be attributed to Gerdau’s diversified operations across multiple countries and its reliance on the Mini Mill manufacturing process that efficiently converts scrap into steel. While the Growth score may be lower at 2, the company’s overall outlook appears stable with a promising Value and Resilience combination.
### Gerdau S.A. manufactures steel. The Company has operations in several countries located in the Americas, Europe, and Asia. Gerdau uses the concept of Mini Mill manufacturing process in most of its units, turning scrap into steel. ###
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.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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