Gerdau (FRA:GDUB) Risk Assessment


FRA:GDUB Gerdau SA FRA:GDUB
73 GF Score
Price €3.64
GF Value €3.12
Valuation Modestly Overvalued
! 8 Warning Signs
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What is Gerdau Risk Assessment?

Risk Assessment represents the investment risk of a stock derived from our exclusive method. It suggests how risky the investment opportunity is based on the valuation and the fundamental performance of the stock. It is derived from following key aspects:

1. GuruFocus internally developed valuations of the stock, such as GF valuation.
2. Quality Rank, a business quality indicator developed by GuruFocus.
3. Fundamental performance: Piotroski F-Score, Altman Z-Score, Beneish M-Score, etc.
4. Growth opportunities: 5-year revenue growth rate, 5-Year EPS without NRI Growth Rate, etc.

Value investors are always willing to find undervalued stocks. However, not all the undervalued stocks are good deals, we should also be careful of how risky the investment opportunity is. We believe that if the company's financial strength and profitability are strong, and the stock price is within a reasonable range of the GF valuation, or stock has a high return with its price being undervalued, then it might be a good investment opportunity with low risk.

Based on those aspects listed above, GuruFocus believes the risk assessment of Gerdau is: Moderate Risk: Sensitive, better choose undervalued stock.

Gerdau  (FRA:GDUB) Risk Assessment Explanation

Based on the four aspects listed above, GuruFocus provides the following 7 evaluations:

All-in-One Screener Examples (1)
Low Risk: Strong fundamentals, worth long-term holding
Moderate Risk: Sensitive, better choose undervalued stock
High Risk: High uncertainty with risk-return tradeoff
High Risk: Good fundamentals, beware of shrinking business
High Risk: Sensitive to economic or industry trends
High Risk: High uncertainty
No Data: Cannot be evaluated

(1) These are some simple examples. You can access our Risk Assessment filter under All-in-One Screener’s Fundamental tab and set your own criteria.

Gerdau Risk Assessment Related Terms

FRA:GDUB vs NUE, STLD, RS: Risk Assessment Comparison

For the Steel subindustry, Gerdau's Risk Assessment, along with its competitors' market caps and Risk Assessment data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Gerdau Risk Assessment vs Steel Industry

For the Steel industry and Basic Materials sector, Gerdau's Risk Assessment distribution charts can be found below:

* The bar in red indicates where Gerdau's Risk Assessment falls into.


FRA:GDUB
73GF Score
Gerdau SA FRA:GDUB
Risk Assessment is just one metric. See GF Score™, valuation, warning signs, and more.
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Is Gerdau (FRA:GDUB) Overvalued in 2026?

Based on GuruFocus' analysis, Gerdau stock appears to be overvalued. The current stock price of €3.64 is trading 16.7% above its estimated GF Value™ of €3.12. GuruFocus considers Gerdau to be Modestly Overvalued.

Key valuation signals for FRA:GDUB:

  • Risk Assessment:
  • GF Value™: €3.12 vs. price of €3.64 (16.7% above fair value)
  • GF Score™: 73/100 with 8 warning signs

No single metric tells the full story. See the FRA:GDUB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Gerdau Business Description

Address Avenida Dra. Ruth Cardoso, 8,501 - 8th Floor, Sao Paulo, SP, BRA, 05425-070
Gerdau SA produces steel and steel products. The company operates in civil construction, agriculture, automotive, iron ore, exports, research and development, and home steel products sectors. It offers products such as nails, rebar, columns, billets, slabs, tribar tutors, mechanical construction bars, and reinforced steel locks. The company's geographical segment includes Brazil Segment; North America Segment; South America Segment as well as Special Steel Operations. It derives the majority of its revenue from the Brazil Operations segment, which includes the long, flat and special steel operations and the iron ore operation located in Brazil and joint ventures and associated companies located in Brazil.
73GF Score

Get the complete analysis for FRA:GDUB

Risk Assessment is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€3.64
Price
€3.12
GF Value