Fortescue Metals Group Ltd
ASX:FMG

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Fortescue Metals Group Ltd Logo
Fortescue Metals Group Ltd
ASX:FMG
Watchlist
Price: 16.06 AUD 0.56% Market Closed
Market Cap: 49.4B AUD
Section:
Relative Value
Relative Value
Valuation Multiples
Multiples Across Competitors
See Also

Relative Value

The Relative Value of one FMG stock under the Base Case scenario is 21.75 AUD. Compared to the current market price of 16.06 AUD, Fortescue Metals Group Ltd is Undervalued by 26%.

Relative Value is the estimated value of a stock based on various valuation multiples like P/E and EV/EBIT ratios. It offers a quick snapshot of a stock's valuation in relation to its peers and historical norms.

FMG Relative Value
Base Case
21.75 AUD
Undervaluation 26%
Relative Value
Price
Worst Case
Base Case
Best Case

Valuation Multiples

1.9
P/S
P/S
Price to Sales
1.9
vs History
57
vs Industry
51
Median 3Y
2.2
Median 5Y
2
Industry
1.8
Forward
2.1
More Details
8.2
P/E
P/E
Price to Earnings
8.2
vs History
19
vs Industry
23
Median 3Y
7.3
Median 5Y
5.7
Industry
15.7
Forward
9.3
More Details
5.2
P/OCF
P/OCF
Price to OCF
5.2
vs History
31
vs Industry
25
Median 3Y
5.1
Median 5Y
4.6
Industry
9.6
More Details
9.3
P/FCFE
P/FCFE
Price to FCFE
9.3
vs History
22
vs Industry
18
Median 3Y
8.2
Median 5Y
6.4
Industry
16
More Details
1.7
P/B
P/B
Price to Book Value
1.7
vs History
80
vs Industry
38
Median 3Y
2.1
Median 5Y
2
Industry
1.5
More Details
2.1
EV/S
EV/S
Enterprise Value to Sales
2.1
vs History
49
vs Industry
50
Median 3Y
2.2
Median 5Y
2.1
Industry
2.1
Forward
2.2
More Details
4.7
EV/GP
EV/GP
Enterprise Value to Gross Profit
4.7
vs History
11
vs Industry
49
Median 3Y
4.5
Median 5Y
3.7
Industry
7
More Details
5.6
EV/EBITDA
EV/EBITDA
Enterprise Value to EBITDA
5.6
vs History
15
vs Industry
24
Median 3Y
5
Median 5Y
3.8
Industry
10.1
Forward
4.4
More Details
5.6
EV/EBIT
EV/EBIT
Enterprise Value to EBIT
5.6
vs History
15
vs Industry
25
Median 3Y
5
Median 5Y
3.8
Industry
13
Forward
6.5
More Details
5.5
EV/OCF
EV/OCF
Enterprise Value to OCF
5.5
vs History
23
vs Industry
26
Median 3Y
5.4
Median 5Y
4.7
Industry
11
More Details
10.1
EV/FCFF
EV/FCFF
Enterprise Value to FCFF
10.1
vs History
6
vs Industry
17
Median 3Y
8.6
Median 5Y
7.4
Industry
14.3
More Details
1.4
EV/IC
EV/IC
Enterprise Value to IC
1.4
vs History
73
vs Industry
39
Median 3Y
1.7
Median 5Y
1.6
Industry
1.3
More Details

Multiples Across Competitors

FMG Competitors Multiples
Fortescue Metals Group Ltd Competitors

All Multiples
P/S
P/E
EV/EBITDA
EV/EBIT
Market Cap P/S P/E EV/EBITDA EV/EBIT
AU
Fortescue Metals Group Ltd
ASX:FMG
49.4B AUD 1.9 8.2 5.6 5.6
ZA
Kumba Iron Ore Ltd
JSE:KIO
102.2B Zac 0 0 0 0
BR
Vale SA
BOVESPA:VALE3
226.1B BRL 1.1 7.2 3.9 5
AU
Fortescue Ltd
XMUN:FVJ
28B EUR 1.9 8.1 5.5 5.5
US
Nucor Corp
NYSE:NUE
28.3B USD 0.9 14 6.9 10.1
IN
JSW Steel Ltd
NSE:JSWSTEEL
2.4T INR 1.4 71.5 13.3 21.6
LU
ArcelorMittal SA
AEX:MT
22.5B EUR 0.4 19 4.4 7.6
JP
Nippon Steel Corp
TSE:5401
3.1T JPY 0.4 6.7 4.9 8.2
IN
Tata Steel Ltd
NSE:TATASTEEL
1.8T INR 0.8 65.9 9.6 16
CN
Baoshan Iron & Steel Co Ltd
SSE:600019
150.4B CNY 0.5 19.1 14.6 14.6
US
Steel Dynamics Inc
NASDAQ:STLD
20B USD 1.2 17.1 11.5 15.4
EV/EBITDA Multiple
EBITDA Growth EV/EBITDA to Growth
AU
Fortescue Metals Group Ltd
ASX:FMG
Average EV/EBITDA: 8
5.6
-9%
N/A
ZA
K
Kumba Iron Ore Ltd
JSE:KIO
Not Available
14%
N/A
BR
Vale SA
BOVESPA:VALE3
3.9
9%
0.4
AU
F
Fortescue Ltd
XMUN:FVJ
5.5
-9%
N/A
US
Nucor Corp
NYSE:NUE
6.9
9%
0.8
IN
JSW Steel Ltd
NSE:JSWSTEEL
13.3
13%
1
LU
ArcelorMittal SA
AEX:MT
4.4
12%
0.4
JP
Nippon Steel Corp
TSE:5401
4.9
7%
0.7
IN
Tata Steel Ltd
NSE:TATASTEEL
9.6
20%
0.5
CN
Baoshan Iron & Steel Co Ltd
SSE:600019
14.6
N/A N/A
US
Steel Dynamics Inc
NASDAQ:STLD
11.5
12%
1
EV/EBIT Multiple
EBIT Growth EV/EBIT to Growth
AU
Fortescue Metals Group Ltd
ASX:FMG
Average EV/EBIT: 11
5.6
-24%
N/A
ZA
K
Kumba Iron Ore Ltd
JSE:KIO
Not Available
3%
N/A
BR
Vale SA
BOVESPA:VALE3
5
5%
1
AU
F
Fortescue Ltd
XMUN:FVJ
5.5
-24%
N/A
US
Nucor Corp
NYSE:NUE
10.1
12%
0.8
IN
JSW Steel Ltd
NSE:JSWSTEEL
21.6
14%
1.5
LU
ArcelorMittal SA
AEX:MT
7.6
13%
0.6
JP
Nippon Steel Corp
TSE:5401
8.2
N/A N/A
IN
Tata Steel Ltd
NSE:TATASTEEL
16
32%
0.5
CN
Baoshan Iron & Steel Co Ltd
SSE:600019
14.6
22%
0.7
US
Steel Dynamics Inc
NASDAQ:STLD
15.4
11%
1.4

See Also

Summary
FMG intrinsic value, competitors valuation, and company profile.
DCF Valuation
FMG stock valuation using Discount Cash Flow valuation method.
Relative Valuation
FMG stock valuation using valuation multiples.
Wall Street Estimates
FMG price targets and financial estimates made by Wall st analysts.
Profitability Analysis
Detailed analysis of the company's profitability.
Solvency Analysis
Analysis of the financial position and solvency of the company.
Financials
Income Statement, Balance Sheet, Cash Flow Statement.
Discount Rate
FMG stock discount rate: cost of equity and WACC.
Summary
DCF Valuation
Relative Valuation
Wall Street Estimates
Profitability Analysis
Solvency Analysis
Financials
Discount Rate
Discover More
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