4-Star Stocks Poised to Pop: ArcelorMittal
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, steel giant ArcelorMittal (NYS: MT) has earned a respected four-star ranking.
With that in mind, let's take a closer look at ArcelorMittal's business and see what CAPS investors are saying about the stock right now.
|Headquarters (founded)||Luxembourg (1989)|
|Market Cap||$25.7 billion|
|Trailing-12-Month Revenue||$92.2 billion|
|Management||Chairman/CEO Lakshmi Mittal|
CFO Aditya Mittal
|Return on Equity (average, past 3 years)||1.9%|
|Cash/Debt||$2.8 billion / $27.7 billion|
|Competitors||Gerdau (NYS: GGB) |
Nucor (NYS: NUE)
United States Steel (NYS: X)
Sources: S&P Capital IQ and Motley Fool CAPS.
Just last week, baselineace tapped ArcelorMittal as a timely income opportunity:
U.S. infrastructure is deteriorating and emerging markets infrastructure is, well, emerging. Can't go wrong here at these prices. Great dividend yield too.
ArcelorMittal even sports a particularly paltry price-to-book of 0.4. That represents a discount to competitors like Nucor (1.6), U.S. Steel (0.9), and Gerdau (0.9).
CAPS member TXinvestor82 elaborates on the bull case:
Lakshmi Mittal is a savvy businessman who has spent the past 3 decades forging the largest steelmaker in the world. However, his financial prowess keeps him looking over profitability like a hawk, and even through the downturn he did not sacrifice the company's margins. With global operations, I feel that Europe's problems have been unfairly sinking this stock all year. It's still best-in-class. Outperform.
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At the time this article was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Fool owns shares of ArcelorMittal. Motley Fool newsletter services have recommended buying shares of Nucor. 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 Fool's disclosure policy always gets a perfect score.
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