Algoma Steel Group Inc. (ASTL) vs Metallus Inc. (MTUS)

Algoma Steel Group Inc. and Metallus Inc. are both Steel companies. Metallus Inc. is the larger, with a market value of $785.1M against $442.7M — 1.8× the size. Algoma Steel Group Inc. has negative trailing earnings, so its P/E is not meaningful; Metallus Inc. trades at 99.2×. Metallus Inc. grew revenue faster over the last twelve months: 16.1% against −34.4%. Metallus Inc. has the higher net margin (0.66% vs −71.1%) and the higher return on invested capital (0.82% vs −72.5%). Across the 18 metrics below, Metallus Inc. leads on 16 and Algoma Steel Group Inc. on 2.

Valuation

Metric ASTL MTUS Steel median
P/E n/m 99.16 21.10
P/S 0.42 0.64 0.70
P/B 2.18 1.13 1.39
Price to free cash flow n/m n/m 23.71
EV/EBITDA n/m 10.71 10.71
EV/Sales 0.97 0.56 0.85
Earnings yield (172.54%) 1.01% 4.56%
Free cash flow yield (55.91%) (12.45%) 0.00%

Profitability

Metric ASTL MTUS Steel median
Gross margin (47.42%) 8.20% 13.91%
Operating margin (86.59%) 0.63% 4.77%
Net margin (71.10%) 0.66% 3.40%
Free cash flow margin (23.33%) (7.98%) 0.00%
Return on equity (138.17%) 1.17% 2.21%
Return on assets (43.83%) 0.72% 1.83%
Return on invested capital (72.46%) 0.82% 2.52%

Growth

Metric ASTL MTUS Steel median
Revenue growth (TTM) (34.43%) 16.12% 11.33%
EPS growth (last fiscal year) (1,205.05%) (200.00%) —
Revenue growth, 5-year CAGR (13.24%) 6.87% 6.73%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric ASTL MTUS Steel median
Debt to equity 3.12 0.00 0.22
Current ratio 2.49 1.75 2.58
Net debt to EBITDA (0.84) (2.90) 0.10

Dividend

Metric ASTL MTUS Steel median
Dividend yield 2.52% — 2.48%
Payout ratio 0.25 0.00 0.04

Size

Metric ASTL MTUS Steel median
Market cap 442.72m 785.05m 1.46b

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