Fortescue is an Australia-based iron ore miner. It has grown from obscurity start of 2008 to become the world's fourth-largest producer. Growth was fueled by debt, now repaid. Expansion from 55 million metric tons in fiscal 2012 to about 190 million metric tons in 2023 means Fortescue supplies nearly 10% of global seaborne iron ore. Further expansion above 200 million metric tons is likely once it completes construction of its 22 million metric tons Iron Bridge magnetite mine. However, with longer-term demand likely to decline as China's economy matures, we expect Fortescue's future margins to be below historical averages. More recently, Fortescue diversified into green energy, with ambitions to become a major supplier of green hydrogen and green ammonia. Its efforts are early stage.

Financial Strength

9/10

Name	Current	Vs Industry
Cash-To-Debt	0.89
Equity-to-Asset	0.65
Debt-to-Equity	0.28
Debt-to-EBITDA	0.52
Interest Coverage	137.31
Piotroski F-Score	5/9	0 1 2 3 4 5 6 7 8 9
Altman Z-Score	5.38	Distress Grey Safe
Beneish M-Score	-2.51	Manipulator Not Manipulator
WACC vs ROIC		WACC ROIC

Growth Rank

7/10

	Name	Current	Vs Industry		Vs History
	3-Year Revenue Growth Rate	10.6
	3-Year EBITDA Growth Rate	3.2
	3-Year EPS without NRI Growth Rate	6.3
	3-Year FCF Growth Rate	1.5
	3-Year Book Growth Rate	11.8
	Future 3-5Y EPS without NRI Growth Rate	-4.5
	Future 3-5Y Total Revenue Growth Rate	-2.8

Momentum Rank

10/10

	Name	Current	Vs Industry		Vs History
	5-Day RSI	41.8
	9-Day RSI	44.33
	14-Day RSI	45.23
	6-1 Month Momentum %	18.01
	12-1 Month Momentum %	22.42

Liquidity Ratio

	Name	Current	Vs Industry		Vs History
	Current Ratio	2.84
	Quick Ratio	2.31
	Cash Ratio	1.91
	Days Inventory	72.47
	Days Sales Outstanding	11.95
	Days Payable	74.15

Dividend & Buy Back

	Name	Current	Vs Industry		Vs History
	Dividend Yield %	8.36
	Dividend Payout Ratio	0.62
	3-Year Dividend Growth Rate	28
	Forward Dividend Yield %	8.67
	5-Year Yield-on-Cost %	82.58
	Shareholder Yield %	9.94

Profitability Rank

9/10

	Name	Current	Vs Industry		Vs History
	Gross Margin %	66.56
	Operating Margin %	51.34
	Net Margin %	31.25
	FCF Margin %	30.4
	ROE %	31.82
	ROA %	20.15
	ROIC %	28.17
	ROC (Joel Greenblatt) %	39.69
	ROCE %	32.03
	Years of Profitability over Past 10-Year	10

GF Value Rank

6/10

	Name	Current	Vs Industry		Vs History
	PE Ratio	8.8
	Forward PE Ratio	11.3
	PE Ratio without NRI	8.8
	Shiller PE Ratio	13.69
	Price-to-Owner-Earnings	11.79
	PEG Ratio	0.32
	PS Ratio	2.75
	PB Ratio	2.62
	Price-to-Tangible-Book	2.68
	Price-to-Free-Cash-Flow	9.06
	Price-to-Operating-Cash-Flow	5.87
	EV-to-EBIT	6.18
	EV-to-Forward-EBIT	7.66
	EV-to-EBITDA	5.08
	EV-to-Forward-EBITDA	10.03
	EV-to-Revenue	2.81
	EV-to-Forward-Revenue	3.48
	EV-to-FCF	9.16
	Price-to-Projected-FCF	0.7
	Price-to-Median-PS-Value	1.62
	Price-to-Peter-Lynch-Fair-Value	0.37
	Price-to-Graham-Number	1.03
	Earnings Yield (Greenblatt) %	16.18
	FCF Yield %	10.91
	Forward Rate of Return (Yacktman) %	28

GF Value: €14.35

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