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Metal mining company · DE · FY ends Dec · Revenue $26.42B · 27.83% margin · $1.75B FCF
$63.63
$0.73 (-1.13%)
Price from 7 days ago
Margins and capital returns are both well above average: 25.15% operating margin, ROIC at 15.15%. Consistent with durable pricing power, though that alone doesn't make it a buy.
Revenue growth slowed to 1.8%, essentially flat. Margins also contracted 1.8pp. This is a business that needs a catalyst.
At 34x earnings, the current multiple leaves limited room for execution misses or growth deceleration. Free cash flow declined 53% versus the prior year, cash generation momentum has weakened.
33.5x earnings, 52.4x FCF. Not cheap, the quality is already reflected in the price. Upside from here requires either margin expansion or growth re-acceleration, not just continuation.
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$26.42B
▲ +1.8% YoY
Net Income (TTM)
$2.73B
▲ +16.7% YoY
Op. Margin
27.83%
▼ -1.8pp YoY
ROIC
17.35%
▼ -1.0pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$1.75B
▼ -52.6% YoY
Op. Cash Flow (TTM)
$6.05B
▼ -21.6% YoY
Net Debt
$6.66B
Cash & Equiv.
$3.74B
5Y CAGR: +12.8%
5Y CAGR: +1.1%
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