As of Wednesday close, Gerdau S.A.’s (NYSE:GGB) stock was up $0.07, moving up 1.39 percent to $5.10. The average number of shares traded per day over the past five days has been 5,818,840 shares. 2 times new highs have been achieved over the past 5 days, with a -$0.04 fall in that time frame. In the last twenty days, the average volume was 6,293,915, while in the previous 50 days, it was 7,001,446.
Since last month, GGB stock rose 3.24%. Shares of the company fell to $4.91 on 08/21/23, the lowest level in the past month. A 52-week high of $6.21 was reached on 01/18/23 after having rallying from a 52-week low of $3.95. Since the beginning of this year, GGB’s stock price has dropped by -1.34% or -$0.18, and marked a new high 10 times. However, the stock has declined by -17.87% since its 52-week high.
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Valuation Metrics
Right now, Gerdau S.A. (GGB) has a P/E ratio of about 4.57. The stock’s beta is 1.65. Besides these, the trailing price-to-sales (P/S) ratio of 0.56, the price-to-book (PB) ratio of 0.89.
The latest dividend of $0.0878 per share was paid out, which is -13.07% less than last year’s $0.1010. On Wednesday August 9 2023, a $0.0132 dividend decrease was announced.
Financial Health
In the three months ended June 29, Gerdau S.A.’s quick ratio stood at 1.30, while its current ratio was 2.90, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending June 29 was 0.22, and the total debt-to-equity ratio was 0.24. On the profitability front, the trailing twelve-month gross margin is 19.10% percent. In the year ended June 29, EBITDA margin amounted to 23.58%, whereas operating margins totaled 18.90%. Based on annual data, GGB earned $3.63 billion in gross profit and brought in $15.96 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 22.40%. Return on equity (ROE) for the past 12 months was 19.80%.
According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. GGB’s revenue rose 4.94% during the quarter, while net income inched up to $15.66 billion. While analysts expected Gerdau S.A. to report $0.29 quarterly earnings, the actual figure was $0.25 per share, beating the consensus estimate by -13.80%. During the quarter, the company generated $741.54 million in EBITDA. The liabilities of Gerdau S.A. were 4.98 billion at the end of its most recent quarter ended June 29, and its total debt was $11.93 billion.
Technical Picture
This quick technical analysis looks at Gerdau S.A.’s (GGB) price momentum. With a historical volatility rate of 25.19%, the RSI 9-day stood at 45.63% on 20 September.
With respect to its five-day moving average, the current Gerdau S.A. price is down by -0.78% percent or -$0.04. At present, GGB shares trade +0.79% above its 20-day simple moving average and +4.94% percent above its 100-day simple moving average. However, the stock is currently trading approximately -5.73% below its SMA50 and -10.00% below its SMA200.
Stochastic coefficient K was 37.65% and Stochastic coefficient D was 51.24%, while ATR was 0.12. Given the Stochastic reading of 40.00% for the 14-day period, the RSI (14) reading has been calculated as 45.31%. As of today, the MACD Oscillator reading stands at -0.05, while the 14-day reading stands at -0.05.
Analyst Ratings
Gerdau S.A. downgraded its rating on Gerdau S.A. (NYSE: GGB) to a Neutral in a note to investors on February 09, 2023. The analysts firm previously had an Overweight rating on the stock.Gerdau S.A. (GGB) has been rated Overweight by analysts. According to 0 brokerage firms, GGB is a sell, and 4 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 0 analysts rate Gerdau S.A. stock as buy, with 9 recommending it as overweight.
With a median target price of $6.64, the current consensus forecast for the stock is $5.33 – $7.95. Based on these forecasts, analysts predict Gerdau S.A. (GGB) will achieve an average price target of $6.62.
