Vale SA
BOVESPA:VALE3
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ICICI Prudential Life Insurance Company Ltd
NSE:ICICIPRULI
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IN |
EV/EBITDA
Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Valuation Scenarios
If EV/EBITDA returns to its 3-Year Average (3.9), the stock would be worth R$64.72 (26% downside from current price).
| Scenario | EV/EBITDA Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 5.3 | R$87.22 |
0%
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| 3-Year Average | 3.9 | R$64.72 |
-26%
|
| 5-Year Average | 3.5 | R$58.89 |
-32%
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| Industry Average | 6.4 | R$106.76 |
+22%
|
| Country Average | 6.4 | R$106.4 |
+22%
|
Forward EV/EBITDA
Today’s price vs future ebitda
| Today's Enterprise Value | EBITDA | Forward EV/EBITDA | ||
|---|---|---|---|---|
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R$434.8B
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/ |
Jan 2026
R$77.9B
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= |
|
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R$434.8B
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/ |
Dec 2026
R$89.7B
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= |
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R$434.8B
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/ |
Dec 2027
R$88.7B
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= |
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R$434.8B
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/ |
Dec 2028
R$91.6B
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= |
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Forward EV/EBITDA shows whether today’s EV/EBITDA still looks high or low once future ebitda are taken into account.
Peer Comparison
| Market Cap | EV/EBITDA | P/E | ||||
|---|---|---|---|---|---|---|
| BR |
|
Vale SA
BOVESPA:VALE3
|
378.8B BRL | 5.3 | 27 | |
| ZA |
K
|
Kumba Iron Ore Ltd
JSE:KIO
|
103.3B ZAR | 3.5 | 7.1 | |
| US |
|
Nucor Corp
NYSE:NUE
|
47.6B USD | 12.9 | 28.2 | |
| LU |
|
ArcelorMittal SA
AEX:MT
|
39.8B EUR | 9.4 | 14.5 | |
| AU |
|
Fortescue Metals Group Ltd
ASX:FMG
|
65.2B AUD | 8.1 | 11.9 | |
| AU |
F
|
Fortescue Ltd
XMUN:FVJ
|
39.5B EUR | 8.2 | 12.3 | |
| IN |
|
JSW Steel Ltd
NSE:JSWSTEEL
|
3.1T INR | 13.9 | 41.1 | |
| US |
|
Steel Dynamics Inc
NASDAQ:STLD
|
32.2B USD | 18.1 | 28 | |
| IN |
|
Tata Steel Ltd
NSE:TATASTEEL
|
2.6T INR | 10.7 | 29 | |
| US |
|
Carpenter Technology Corp
NYSE:CRS
|
21.9B USD | 29 | 48.4 | |
| US |
|
Allegheny Technologies Inc
NYSE:ATI
|
21.6B USD | 25.6 | 51.5 |
Market Distribution
| Min | 0.4 |
| 30th Percentile | 5.1 |
| Median | 6.4 |
| 70th Percentile | 9.2 |
| Max | 1 748.1 |
Other Multiples
Vale SA
Glance View
Vale S.A., a titan in the world of mining and metals, has carved its place as one of the foremost global leaders through its expansive operations and strategic ventures. Originating from Brazil, Vale's journey began in the mid-20th century, growing from a state-controlled enterprise into a privatized powerhouse by the late 1990s. Today, the company is synonymous with the extraction and production of iron ore, a fundamental material driving the steel industry. Through its extensive mining operations, primarily situated in the mineral-rich terrains of Brazil, Vale feeds the ever-growing global demand for raw materials, particularly from rapidly industrializing countries like China. Yet, while iron ore is the linchpin of its operations, Vale has adeptly diversified its portfolio, venturing robustly into nickel, manganese, copper, and coal, thus fortifying its presence across multiple segments of the mining sector. Vale's financial success is largely attributed to its comprehensive supply chain and economies of scale. The company not only mines these essential minerals but also manages the logistics of transporting them through its strategically located railways, ships, and ports, specifically designed to streamline the path from ore extraction to delivery. This vertical integration ensures cost efficiency and allows Vale to exercise more control over quality and timing, thereby strengthening its market competitiveness. Furthermore, Vale's investments in sustainable practices and renewable energy, while addressing environmental concerns, also stand to cater to a growing market of eco-conscious consumers and investors. On the revenue front, Vale benefits from long-term contracts and partnerships with steelmakers and industrial entities worldwide, ensuring a steady demand for its products. Through its strategic infrastructure and a diversified product suite, Vale continues to steer its path through the intricacies of the global commodities market.