Sims Ltd
ASX:SGM
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P/OCF
Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.
Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.
Valuation Scenarios
If P/OCF returns to its 3-Year Average (9.7), the stock would be worth AU$5.26 (74% downside from current price).
| Scenario | P/OCF Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 38 | AU$20.55 |
0%
|
| 3-Year Average | 9.7 | AU$5.26 |
-74%
|
| 5-Year Average | 9.8 | AU$5.32 |
-74%
|
| Industry Average | 16.5 | AU$8.93 |
-57%
|
| Country Average | 13.3 | AU$7.22 |
-65%
|
Forward P/OCF
Today’s price vs future operating cash flow
Peer Comparison
| Market Cap | P/OCF | P/E | ||||
|---|---|---|---|---|---|---|
| US |
|
Sims Ltd
ASX:SGM
|
4B AUD | 38 | -68 | |
| ZA |
K
|
Kumba Iron Ore Ltd
JSE:KIO
|
99.5B ZAR | 3.7 | 6.8 | |
| BR |
|
Vale SA
BOVESPA:VALE3
|
365B BRL | 7.4 | 26.2 | |
| US |
|
Nucor Corp
NYSE:NUE
|
49.2B USD | 16 | 29.8 | |
| LU |
|
ArcelorMittal SA
AEX:MT
|
37.5B EUR | 9 | 13.7 | |
| AU |
|
Fortescue Metals Group Ltd
ASX:FMG
|
60.9B AUD | 5.8 | 11.2 | |
| AU |
F
|
Fortescue Ltd
XMUN:FVJ
|
37.2B EUR | 6 | 11.7 | |
| IN |
|
JSW Steel Ltd
NSE:JSWSTEEL
|
3.1T INR | 11 | 41.8 | |
| US |
|
Steel Dynamics Inc
NASDAQ:STLD
|
32.6B USD | 22.8 | 24 | |
| IN |
|
Tata Steel Ltd
NSE:TATASTEEL
|
2.7T INR | 8.8 | 29.2 | |
| KR |
|
Posco Holdings Inc
KRX:005490
|
31.6T KRW | 6.9 | 48 |
Market Distribution
| Min | 0 |
| 30th Percentile | 8.8 |
| Median | 13.3 |
| 70th Percentile | 20.1 |
| Max | 3 188 432.5 |
Other Multiples
Sims Ltd
Glance View
Sims Ltd., a global leader in metal and electronics recycling, spun its narrative from humble beginnings in Sydney, Australia, into a sprawling epic across continents. Born in 1917 out of Albert Sims' ambition to transform waste into wealth, the company has meticulously evolved its operations to address the world’s insatiable need for sustainable resource management. At the heart of Sims' business model lies a sophisticated network of facilities adept at extracting value from the circular economy. By collecting and processing discarded metal and electronics, Sims not only mitigates environmental impact but also forges a steady revenue stream by supplying recycled materials back to global manufacturing giants. Through a seamless blend of technology and expertise, they efficiently dismantle, sort, and repurpose waste, reducing the demand for virgin materials and minimizing landfill accumulation. Today, Sims Ltd. orchestrates a symphony of sustainability across its global footprint. Its operations span Australia, North America, and Europe, where it meticulously builds partnerships with cities and corporations keen on embracing greener practices. The company thrives on its ability to adjust to fluctuating markets, leveraging its scale of operations, diversifying into new niches like data center recycling, and tapping into ever-growing e-waste concerns. Simultaneously, it invests in innovative techniques to enhance metal recovery rates and ensure compliance with stringent environmental standards. This dynamic enterprise continually refines its processes, crafting a future where profitability and environmental stewardship march in lockstep. By aligning its business strategy with ecological imperatives, Sims Ltd. not only ensures its longevity but also establishes itself as a cornerstone in the global pursuit of sustainability.