Bradespar SA
BOVESPA:BRAP3
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EV/FCFF
Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.
Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.
Valuation Scenarios
If EV/FCFF returns to its 3-Year Average (8.3), the stock would be worth R$12.69 (35% downside from current price).
| Scenario | EV/FCFF Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 12.7 | R$19.41 |
0%
|
| 3-Year Average | 8.3 | R$12.69 |
-35%
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| 5-Year Average | 8.2 | R$12.52 |
-35%
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| Industry Average | 15.7 | R$24.01 |
+24%
|
| Country Average | 13.4 | R$20.48 |
+6%
|
Forward EV/FCFF
Today’s price vs future free cash flow to firm
Peer Comparison
| Market Cap | EV/FCFF | P/E | ||||
|---|---|---|---|---|---|---|
| BR |
|
Bradespar SA
BOVESPA:BRAP3
|
9.3B BRL | 12.7 | 8.3 | |
| ZA |
K
|
Kumba Iron Ore Ltd
JSE:KIO
|
98.3B ZAR | 4.9 | 6.7 | |
| BR |
|
Vale SA
BOVESPA:VALE3
|
360.2B BRL | 24.6 | 24.6 | |
| US |
|
Nucor Corp
NYSE:NUE
|
50.9B USD | -293.7 | 29.3 | |
| AU |
|
Fortescue Metals Group Ltd
ASX:FMG
|
61.9B AUD | 11.3 | 11.3 | |
| AU |
F
|
Fortescue Ltd
XMUN:FVJ
|
37.9B EUR | 11.5 | 11.7 | |
| LU |
|
ArcelorMittal SA
AEX:MT
|
37.3B EUR | 102.9 | 13.6 | |
| IN |
|
JSW Steel Ltd
NSE:JSWSTEEL
|
3.1T INR | 25.3 | 41.7 | |
| US |
|
Steel Dynamics Inc
NASDAQ:STLD
|
32.5B USD | 54.3 | 23.7 | |
| IN |
|
Tata Steel Ltd
NSE:TATASTEEL
|
2.7T INR | 20.8 | 29.4 | |
| KR |
|
Posco Holdings Inc
KRX:005490
|
35.5T KRW | -26.8 | 53.7 |
Market Distribution
| Min | 0.2 |
| 30th Percentile | 8.2 |
| Median | 13.4 |
| 70th Percentile | 24.4 |
| Max | 1 667.2 |
Other Multiples
Bradespar SA
Glance View
Bradespar SA, a prominent name in the Brazilian investment landscape, operates not merely as a traditional investment holding company, but as a strategic player deeply intertwined with the country's industrial fabric. Emerging from the reorganization of Bradesco Group, Bradespar holds a significant stake in Vale SA, one of the world's largest mining companies. This stake is central to its operations, shaping both its strategic direction and financial performance. By leveraging its influence in Vale, Bradespar aligns its growth trajectory with the booming demand for minerals, especially iron ore, which is pivotal to countries undergoing rapid infrastructural development. Through dividends and capital appreciation from its equity investments, particularly in Vale, Bradespar generates substantial revenue, essential for its consolidation in the market. What sets Bradespar apart is its ability to navigate the ebb and flow of global commodities cycles, acting almost like a barometer for the Brazilian economy's health. As iron ore prices swell and recede, Bradespar's financial health echoes these shifts, making it a reflection of both opportunity and risk within the commodities realm. Unlike diversified conglomerates, Bradespar’s focused investment strategy allows it to concentrate expertise and resources on its core assets. This strategic concentration ensures that Bradespar isn't merely a passive shareholder, but an active participant aiming to enhance the value of its holdings. Financial maneuvering and prudent investment management maintain its position, allowing Bradespar to chart a course that capitalizes on Brazil's natural resource influence while maintaining the flexibility to adapt to economic shifts.