Produces and sells iron ore and iron ore pellets, essential raw materials for steel production. Now — the numbers.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
This is an established company with proven profits.
An average decline of 8% a year over the last 4 years — the most striking risk in this picture.
The market pays 26.3× for every dollar of annual profit — around what a business like this usually costs.
Against companies in its own sector, it looks cheaper than 68% of them.
Analysts' average target sits 7% above today's price.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Clearly above the class average — a step short of the very top.
A solid grade overall — yet the debt outweighs the cash. The strength here comes from earnings power.
Clearly above the class average — a step short of the very top.
Clearly below the class average.
Clearly above the class average — a step short of the very top.
Growth: Sales growth trails the sector average.
The stock trades 28% below its peak. The market has trimmed its expectations for the company.
Over the last 12 months, company executives reported 13 buys and 3 sells. Management buying with its own money is usually read as a good sign.
It pays out $1.06 per share each year — regular cash for whoever holds the stock.
Over the last 4 years, sales fell about 8% a year on average. Profit is holding up, but a shrinking business is a risk worth watching.
The growth engine is running at low revs right now. Report-card grade: 36/100.
On our five-subject report card, VALE sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: VALE is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s what that quality should cost.