Why ArcelorMittal Looks Solid

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, steel giant ArcelorMittal has earned a respected four-star ranking.

With that in mind, let's take a closer look at ArcelorMittal and see what CAPS investors are saying about the stock right now.

ArcelorMittal facts

Headquarters (Founded)

Luxembourg (1989)

Market Cap

$27.1 billion

Industry

Steel

Trailing-12-Month Revenue

$87.4 billion

Management

Chairman/CEO Lakshmi Mittal
CFO Aditya Mittal

Return on Capital (Average, Past 3 Years)

3.3%

Cash/Debt

$3.0 billion / $26.6 billion

Dividend Yield

3.6%

Competitors

POSCO
Nucor

United States Steel


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 97% of the 2,119 members who have rated ArcelorMittal believe the stock will outperform the S&P 500 going forward.

A few months ago, one of those Fools, All-Star athenamike, tapped ArcelorMittal as a solid bargain opportunity:

Largest integrated steel manufacturer in the world can probably weather the storm in steel prices and grow again when the global economy recovers. High debt level, over-capacity from Asia, and economic problems in Europe are all risks, but this has been over-discounted in the price. Broad geographic and product diversification, higher grade steel, and [vertical] integration provide some protection on the downside.

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The article Why ArcelorMittal Looks Solid originally appeared on Fool.com.

Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends Nucor and owns shares of ArcelorMittal. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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