Algoma Steel Valuation
| ASTLW Stock | USD 2.12 0.14 6.19% |
Based on Macroaxis valuation methodology, the firm appears to be overvalued. Algoma Steel Group shows a prevailing Real Value of $1.79 per share. The current price of the firm is $2.12. Our model approximates the value of Algoma Steel Group from analyzing the firm fundamentals such as profit margin of (0.06) %, and Return On Equity of -0.1 as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that Algoma Steel's price fluctuation is dangerous at this time. Calculation of the real value of Algoma Steel Group is based on 3 months time horizon. Increasing Algoma Steel's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Algoma stock is determined by what a typical buyer is willing to pay for full or partial control of Algoma Steel Group. Since Algoma Steel is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Algoma Stock. However, Algoma Steel's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 2.12 | Real 1.79 | Hype 2.15 | Naive 2.04 |
The intrinsic value of Algoma Steel's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Algoma Steel's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Algoma Steel Group helps investors to forecast how Algoma stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Algoma Steel more accurately as focusing exclusively on Algoma Steel's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Algoma Steel's intrinsic value based on its ongoing forecasts of Algoma Steel's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Algoma Steel's closest peers.
Algoma Steel Cash |
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Algoma Valuation Trend
Analysing the historical paterns of Algoma Steel's enterprise value and its market capitalization is a good way to estimate and gauge the value of Algoma Steel Group over time and is usually enough for investors to make rational market timing decisions.
Algoma Steel Total Value Analysis
Algoma Steel Group is presently expected to have takeover price of 0 with market capitalization of 0, debt of 156.5 M, and cash on hands of 21.9 M. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Algoma Steel fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
0 | 0 | 156.5 M | 21.9 M |
Algoma Steel Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Algoma Steel has an asset utilization ratio of 104.48 percent. This indicates that the Company is making $1.04 for each dollar of assets. An increasing asset utilization means that Algoma Steel Group is more efficient with each dollar of assets it utilizes for everyday operations.Algoma Steel Profitability Analysis
The company reported the revenue of 2.8 B. Net Income was 105.2 M with profit before overhead, payroll, taxes, and interest of 0.About Algoma Steel Valuation
Our relative valuation model uses a comparative analysis of Algoma Steel. We calculate exposure to Algoma Steel's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Algoma Steel's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 278.7 M | 337.1 M | |
| Pretax Profit Margin | 0.05 | 0.05 | |
| Operating Profit Margin | 0.06 | 0.04 | |
| Net Profit Margin | 0.04 | 0.04 | |
| Gross Profit Margin | 0.11 | 0.07 |
Algoma Steel Growth Indicators
Investing in growth stocks can be very risky. If the company such as Algoma Steel does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 133 M | |
| Quarterly Earnings Growth Y O Y | -0.93 |
Algoma Steel Current Valuation Indicators
Valuation refers to the process of determining the present value of Algoma Steel Group and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Algoma we look at many different elements of the entity such as Algoma's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Algoma Steel, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Algoma Steel's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Algoma Steel's worth.Additional Tools for Algoma Stock Analysis
When running Algoma Steel's price analysis, check to measure Algoma Steel's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Algoma Steel is operating at the current time. Most of Algoma Steel's value examination focuses on studying past and present price action to predict the probability of Algoma Steel's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Algoma Steel's price. Additionally, you may evaluate how the addition of Algoma Steel to your portfolios can decrease your overall portfolio volatility.