Why ArcelorMittal Is Poised to Outperform

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

$23.6 billion

Industry

Steel

Trailing-12-Month Revenue

$84.2 billion

Management

Chairman/CEO Lakshmi Mittal

CFO Aditya Mittal

Return on Equity (average, past 3 years)

0.4%

Cash / Debt

$4.4 billion / $26.3 billion

Dividend Yield

4.3%

Competitors

POSCO

Nucor

United States Steel


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

On CAPS, 97% of the 2,107 members who have rated ArcelorMittal believe the stock will outperform the S&P 500 going forward.

Just yesterday, one of those Fools, Ikarruss, succinctly summed up the opportunity for our community:

This is a bet on iron going up. The stock is leveraged less than the industry average, it has a high [dividend yield], but it is not going anywhere unless iron/steel see some light. It is too big to react quickly, but it will make money if the price of steel goes up and it should hold on for a while.

If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, ArcelorMittal may not be your top choice.

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The article Why ArcelorMittal Is Poised to Outperform originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends Nucor. The Motley Fool owns shares of ArcelorMittal. Try any of our Foolish newsletter services free for 30 days. We Fools may not 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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