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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 7/10

vs
industry
vs
history
Cash to Debt 0.25
GGB's Cash to Debt is ranked higher than
54% of the 495 Companies
in the Global Steel industry.

( Industry Median: 0.38 vs. GGB: 0.25 )
GGB' s 10-Year Cash to Debt Range
Min: 0.15   Max: 0.71
Current: 0.25

0.15
0.71
Equity to Asset 0.52
GGB's Equity to Asset is ranked higher than
68% of the 488 Companies
in the Global Steel industry.

( Industry Median: 0.48 vs. GGB: 0.52 )
GGB' s 10-Year Equity to Asset Range
Min: 0.22   Max: 0.52
Current: 0.52

0.22
0.52
Interest Coverage 3.06
GGB's Interest Coverage is ranked higher than
53% of the 288 Companies
in the Global Steel industry.

( Industry Median: 6.20 vs. GGB: 3.06 )
GGB' s 10-Year Interest Coverage Range
Min: 0.66   Max: 9.91
Current: 3.06

0.66
9.91
F-Score: 7
Z-Score: 1.78
M-Score: -2.72
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 8/10

vs
industry
vs
history
Operating margin (%) 6.91
GGB's Operating margin (%) is ranked higher than
87% of the 488 Companies
in the Global Steel industry.

( Industry Median: 2.43 vs. GGB: 6.91 )
GGB' s 10-Year Operating margin (%) Range
Min: 3.19   Max: 23.42
Current: 6.91

3.19
23.42
Net-margin (%) 3.97
GGB's Net-margin (%) is ranked higher than
83% of the 489 Companies
in the Global Steel industry.

( Industry Median: 1.35 vs. GGB: 3.97 )
GGB' s 10-Year Net-margin (%) Range
Min: 3.75   Max: 16.66
Current: 3.97

3.75
16.66
ROE (%) 5.22
GGB's ROE (%) is ranked higher than
79% of the 498 Companies
in the Global Steel industry.

( Industry Median: 2.13 vs. GGB: 5.22 )
GGB' s 10-Year ROE (%) Range
Min: 5.22   Max: 45.92
Current: 5.22

5.22
45.92
ROA (%) 2.72
GGB's ROA (%) is ranked higher than
79% of the 502 Companies
in the Global Steel industry.

( Industry Median: 1.11 vs. GGB: 2.72 )
GGB' s 10-Year ROA (%) Range
Min: 2.52   Max: 16.9
Current: 2.72

2.52
16.9
ROC (Joel Greenblatt) (%) 9.19
GGB's ROC (Joel Greenblatt) (%) is ranked higher than
80% of the 497 Companies
in the Global Steel industry.

( Industry Median: 4.02 vs. GGB: 9.19 )
GGB' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: 3.74   Max: 36.83
Current: 9.19

3.74
36.83
Revenue Growth (%) 30.50
GGB's Revenue Growth (%) is ranked higher than
97% of the 407 Companies
in the Global Steel industry.

( Industry Median: 3.40 vs. GGB: 30.50 )
GGB' s 10-Year Revenue Growth (%) Range
Min: -5.6   Max: 46.3
Current: 30.5

-5.6
46.3
EBITDA Growth (%) 8.80
GGB's EBITDA Growth (%) is ranked higher than
82% of the 344 Companies
in the Global Steel industry.

( Industry Median: -4.80 vs. GGB: 8.80 )
GGB' s 10-Year EBITDA Growth (%) Range
Min: -15.9   Max: 61.5
Current: 8.8

-15.9
61.5
EPS Growth (%) 9.00
GGB's EPS Growth (%) is ranked higher than
81% of the 273 Companies
in the Global Steel industry.

( Industry Median: -9.50 vs. GGB: 9.00 )
GGB' s 10-Year EPS Growth (%) Range
Min: -26.9   Max: 91.7
Current: 9

-26.9
91.7
» GGB's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q1 2013

GGB Guru Trades in Q1 2013

Steven Cohen 32,844 sh (+307.39%)
Jim Simons 3,893,900 sh (+42.51%)
Ken Fisher 3,472,630 sh (+12.3%)
Jeremy Grantham 4,165,328 sh (+1.28%)
Pioneer Investments Sold Out
» More
Q2 2013

GGB Guru Trades in Q2 2013

Jim Simons 5,474,500 sh (+40.59%)
Stanley Druckenmiller Sold Out
Steven Cohen Sold Out
Jeremy Grantham 3,426,535 sh (-17.74%)
Ken Fisher 2,248,905 sh (-35.24%)
» More
Q3 2013

GGB Guru Trades in Q3 2013

Steven Cohen 62,837 sh (New)
Ken Fisher 2,258,430 sh (+0.42%)
Jim Simons Sold Out
Jeremy Grantham 3,235,535 sh (-5.57%)
» More
Q4 2013

GGB Guru Trades in Q4 2013

Caxton Associates 117,700 sh (New)
Ken Fisher 2,556,642 sh (+13.2%)
Jeremy Grantham 3,293,505 sh (+1.79%)
Steven Cohen 12,124 sh (-80.71%)
» More
» Details

Insider Trades

Latest Guru Trades with GGB

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
George Soros 2011-12-31 Sold Out 0.06%$6.84 - $9.47 $ 5.92-26%0
George Soros 2011-09-30 New Buy0.06%$6.83 - $10.8 $ 5.92-32%510000
George Soros 2011-03-31 Sold Out $12.17 - $14.96 $ 5.92-56%0
Premium More recent guru trades are included for Premium Members only!!
» Interactive Charts

Peter Lynch Chart ( What is Peter Lynch Charts )

Preferred stocks of Gerdau SA

SymbolPriceYieldDescription
XGGB.Spain4.331.62Pfd Shs
GDUB.Germany4.401.09Pfd Shs

Top Ranked Articles about Gerdau SA

Weekly 3-Year Low Highlight: GGB, XOOM, TPH, JCS
According to GuruFocus list of three-year lows, Geradau SA, Xoom Corp, TRI Pointe Homes Inc. and Communication Systems Inc. have all reached their three-year lows. Read more...

Ratios

vs
industry
vs
history
P/E(ttm) 9.30
GGB's P/E(ttm) is ranked higher than
82% of the 317 Companies
in the Global Steel industry.

( Industry Median: 15.80 vs. GGB: 9.30 )
GGB' s 10-Year P/E(ttm) Range
Min: 2.1   Max: 59.49
Current: 9.3

2.1
59.49
P/B 0.80
GGB's P/B is ranked higher than
62% of the 488 Companies
in the Global Steel industry.

( Industry Median: 0.78 vs. GGB: 0.80 )
GGB' s 10-Year P/B Range
Min: 0.63   Max: 4.32
Current: 0.8

0.63
4.32
P/S 0.56
GGB's P/S is ranked higher than
83% of the 505 Companies
in the Global Steel industry.

( Industry Median: 0.45 vs. GGB: 0.56 )
GGB' s 10-Year P/S Range
Min: 0.2   Max: 1.78
Current: 0.56

0.2
1.78
PFCF 5.80
GGB's PFCF is ranked higher than
79% of the 221 Companies
in the Global Steel industry.

( Industry Median: 12.14 vs. GGB: 5.80 )
GGB' s 10-Year PFCF Range
Min: 2.52   Max: 158.29
Current: 5.8

2.52
158.29
EV-to-EBIT 12.70
GGB's EV-to-EBIT is ranked higher than
67% of the 375 Companies
in the Global Steel industry.

( Industry Median: 14.50 vs. GGB: 12.70 )
GGB' s 10-Year EV-to-EBIT Range
Min: 2.4   Max: 133
Current: 12.7

2.4
133
PEG 0.30
GGB's PEG is ranked higher than
92% of the 145 Companies
in the Global Steel industry.

( Industry Median: 1.20 vs. GGB: 0.30 )
GGB' s 10-Year PEG Range
Min: 0.05   Max: 3.45
Current: 0.3

0.05
3.45
Shiller P/E 6.40
GGB's Shiller P/E is ranked higher than
85% of the 189 Companies
in the Global Steel industry.

( Industry Median: 15.80 vs. GGB: 6.40 )
GGB' s 10-Year Shiller P/E Range
Min: 2.96   Max: 18.1
Current: 6.4

2.96
18.1

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield 0.80
GGB's Dividend Yield is ranked lower than
80% of the 361 Companies
in the Global Steel industry.

( Industry Median: 1.70 vs. GGB: 0.80 )
GGB' s 10-Year Dividend Yield Range
Min: 0.37   Max: 11.69
Current: 0.8

0.37
11.69
Dividend Payout 0.04
GGB's Dividend Payout is ranked higher than
99% of the 259 Companies
in the Global Steel industry.

( Industry Median: 0.29 vs. GGB: 0.04 )
GGB' s 10-Year Dividend Payout Range
Min: 0.04   Max: 0.37
Current: 0.04

0.04
0.37
Dividend growth (3y) -51.30
GGB's Dividend growth (3y) is ranked higher than
56% of the 187 Companies
in the Global Steel industry.

( Industry Median: -12.70 vs. GGB: -51.30 )
GGB' s 10-Year Dividend growth (3y) Range
Min: -58.1   Max: 194
Current: -51.3

-58.1
194
Yield on cost (5-Year) 0.52
GGB's Yield on cost (5-Year) is ranked lower than
80% of the 383 Companies
in the Global Steel industry.

( Industry Median: 1.59 vs. GGB: 0.52 )
GGB' s 10-Year Yield on cost (5-Year) Range
Min: 0.24   Max: 7.66
Current: 0.52

0.24
7.66
Share Buyback Rate 26.20
GGB's Share Buyback Rate is ranked higher than
98% of the 260 Companies
in the Global Steel industry.

( Industry Median: -1.20 vs. GGB: 26.20 )
GGB' s 10-Year Share Buyback Rate Range
Min: 26.2   Max: -21.5
Current: 26.2

Valuation & Return

vs
industry
vs
history
Price/Tangible Book 1.40
GGB's Price/Tangible Book is ranked lower than
57% of the 482 Companies
in the Global Steel industry.

( Industry Median: 0.90 vs. GGB: 1.40 )
GGB' s 10-Year Price/Tangible Book Range
Min: 0.66   Max: 6.02
Current: 1.4

0.66
6.02
Price/DCF (Projected) 0.20
GGB's Price/DCF (Projected) is ranked higher than
97% of the 206 Companies
in the Global Steel industry.

( Industry Median: 0.80 vs. GGB: 0.20 )
GGB' s 10-Year Price/DCF (Projected) Range
Min: 0.23   Max: 4.18
Current: 0.2

0.23
4.18
Price/Median PS Value 0.40
GGB's Price/Median PS Value is ranked higher than
93% of the 471 Companies
in the Global Steel industry.

( Industry Median: 1.00 vs. GGB: 0.40 )
GGB' s 10-Year Price/Median PS Value Range
Min: 0.44   Max: 3.14
Current: 0.4

0.44
3.14
Price/Peter Lynch Fair Value 0.90
GGB's Price/Peter Lynch Fair Value is ranked higher than
66% of the 64 Companies
in the Global Steel industry.

( Industry Median: 0.90 vs. GGB: 0.90 )
GGB' s 10-Year Price/Peter Lynch Fair Value Range
Min: 0.13   Max: 1.45
Current: 0.9

0.13
1.45
Price/Graham Number 0.90
GGB's Price/Graham Number is ranked higher than
55% of the 322 Companies
in the Global Steel industry.

( Industry Median: 0.90 vs. GGB: 0.90 )
GGB' s 10-Year Price/Graham Number Range
Min: 0.33   Max: 3.03
Current: 0.9

0.33
3.03
Earnings Yield (Greenblatt) 7.90
GGB's Earnings Yield (Greenblatt) is ranked higher than
74% of the 416 Companies
in the Global Steel industry.

( Industry Median: 5.80 vs. GGB: 7.90 )
GGB' s 10-Year Earnings Yield (Greenblatt) Range
Min: 0.8   Max: 40.8
Current: 7.9

0.8
40.8
Forward Rate of Return (Yacktman) 15.69
GGB's Forward Rate of Return (Yacktman) is ranked higher than
89% of the 296 Companies
in the Global Steel industry.

( Industry Median: 2.43 vs. GGB: 15.69 )
GGB' s 10-Year Forward Rate of Return (Yacktman) Range
Min: -17.8   Max: 53.6
Current: 15.69

-17.8
53.6

Business Description

Industry: Steel » Steel
Compare:TS, NSSMY, SID, PKX, NUE » details
Traded in other countries:XGGB.Spain, GDUA.Germany, GDUB.Germany
Gerdau SA is a Brazilian corporation that was incorporated on November 20, 1961 under the laws of Brazil. The Company through its subsidiaries produces long steel and flat steel items through the process of fabrication in electrical furnaces from scrap metal and purchased pig iron, as well as by manufacturing steel from iron ore in the blast furnace.

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