Fortescue Metals Group Ltd
ASX:FMG

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Fortescue Metals Group Ltd
ASX:FMG
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Price: 18.51 AUD 0.82%
Market Cap: 57B AUD
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Relative Value

The Relative Value of one FMG stock under the Base Case scenario is 22.82 AUD. Compared to the current market price of 18.51 AUD, Fortescue Metals Group Ltd is Undervalued by 19%.

Relative Value is the estimated value of a stock based on various valuation multiples like P/E and EV/EBIT ratios. It offers a quick snapshot of a stock's valuation in relation to its peers and historical norms.

FMG Relative Value
Base Case
22.82 AUD
Undervaluation 19%
Relative Value
Price
Worst Case
Base Case
Best Case

Valuation Multiples

1.9
P/S
P/S
Price to Sales
1.9
vs History
52
vs Industry
46
Median 3Y
2.1
Median 5Y
2
Industry
1.7
Forward
2.3
More Details
6.2
P/E
P/E
Price to Earnings
6.2
vs History
36
vs Industry
23
Median 3Y
6.4
Median 5Y
5.3
Industry
15.4
Forward
10.1
More Details
4.5
P/OCF
P/OCF
Price to OCF
4.5
vs History
47
vs Industry
23
Median 3Y
4.8
Median 5Y
4.3
Industry
9.1
More Details
6.8
P/FCFE
P/FCFE
Price to FCFE
6.8
vs History
34
vs Industry
18
Median 3Y
6.5
Median 5Y
5.4
Industry
15
More Details
1.8
P/B
P/B
Price to Book Value
1.8
vs History
65
vs Industry
25
Median 3Y
2.1
Median 5Y
2
Industry
1.4
More Details
2
EV/S
EV/S
Enterprise Value to Sales
2
vs History
52
vs Industry
46
Median 3Y
2.1
Median 5Y
2
Industry
2.1
Forward
2.3
More Details
3.7
EV/GP
EV/GP
Enterprise Value to Gross Profit
3.7
vs History
39
vs Industry
52
Median 3Y
4
Median 5Y
3.6
Industry
7.2
More Details
4.2
EV/EBITDA
EV/EBITDA
Enterprise Value to EBITDA
4.2
vs History
38
vs Industry
24
Median 3Y
4.5
Median 5Y
3.7
Industry
9.9
Forward
4.8
More Details
4.2
EV/EBIT
EV/EBIT
Enterprise Value to EBIT
4.2
vs History
38
vs Industry
24
Median 3Y
4.5
Median 5Y
3.7
Industry
12.6
Forward
6.8
More Details
4.5
EV/OCF
EV/OCF
Enterprise Value to OCF
4.5
vs History
47
vs Industry
25
Median 3Y
5
Median 5Y
4.4
Industry
10.3
More Details
7
EV/FCFF
EV/FCFF
Enterprise Value to FCFF
7
vs History
52
vs Industry
18
Median 3Y
8
Median 5Y
7.2
Industry
13
More Details
1.5
EV/IC
EV/IC
Enterprise Value to IC
1.5
vs History
61
vs Industry
29
Median 3Y
1.7
Median 5Y
1.6
Industry
1.3
More Details

Multiples Across Competitors

FMG Competitors Multiples
Fortescue Metals Group Ltd Competitors

All Multiples
P/S
P/E
EV/EBITDA
EV/EBIT
All Countries
All Countries
Close
Market Cap P/S P/E EV/EBITDA EV/EBIT
AU
Fortescue Metals Group Ltd
ASX:FMG
56.6B AUD 1.9 6.2 4.2 4.2
ZA
Kumba Iron Ore Ltd
JSE:KIO
102.6B Zac 0 0 0 0
BR
Vale SA
BOVESPA:VALE3
235.3B BRL 1.1 4.9 3.3 4.1
AU
Fortescue Ltd
XMUN:FVJ
33.8B EUR 1.9 6.2 4.2 4.2
US
Nucor Corp
NYSE:NUE
27.3B USD 0.7 8.1 4.5 5.7
IN
JSW Steel Ltd
NSE:JSWSTEEL
2.3T INR 1.3 45.7 12 18.6
CN
Baoshan Iron & Steel Co Ltd
SSE:600019
154.6B CNY 0.5 16.3 15.7 15.7
IN
Tata Steel Ltd
NSE:TATASTEEL
1.8T INR 0.8 -43 9.4 16.2
JP
Nippon Steel Corp
TSE:5401
3.1T JPY 0.3 6.3 5.3 8.8
LU
ArcelorMittal SA
AEX:MT
18.1B EUR 0.3 -15.3 3.6 6.6
US
Steel Dynamics Inc
NASDAQ:STLD
17.8B USD 1 10.2 7.1 8.6
P/E Multiple
Earnings Growth P/E to Growth
AU
Fortescue Metals Group Ltd
ASX:FMG
Average P/E: 13
6.2
-53%
N/A
ZA
K
Kumba Iron Ore Ltd
JSE:KIO
Not Available
-35%
N/A
BR
Vale SA
BOVESPA:VALE3
4.9
44%
0.1
AU
F
Fortescue Ltd
XMUN:FVJ
6.2
-53%
N/A
US
Nucor Corp
NYSE:NUE
8.1
-37%
N/A
IN
JSW Steel Ltd
NSE:JSWSTEEL
45.7
115%
0.4
CN
Baoshan Iron & Steel Co Ltd
SSE:600019
16.3
17%
1
IN
Tata Steel Ltd
NSE:TATASTEEL
Negative Multiple: -43 N/A N/A
JP
Nippon Steel Corp
TSE:5401
6.3
19%
0.3
LU
ArcelorMittal SA
AEX:MT
Negative Multiple: -15.3
371%
N/A
US
Steel Dynamics Inc
NASDAQ:STLD
10.2
-22%
N/A
EV/EBITDA Multiple
EBITDA Growth EV/EBITDA to Growth
AU
Fortescue Metals Group Ltd
ASX:FMG
Average EV/EBITDA: 6.9
4.2
-24%
N/A
ZA
K
Kumba Iron Ore Ltd
JSE:KIO
Not Available
-20%
N/A
BR
Vale SA
BOVESPA:VALE3
3.3
17%
0.2
AU
F
Fortescue Ltd
XMUN:FVJ
4.2
-24%
N/A
US
Nucor Corp
NYSE:NUE
4.5
-21%
N/A
IN
JSW Steel Ltd
NSE:JSWSTEEL
12
53%
0.2
CN
Baoshan Iron & Steel Co Ltd
SSE:600019
15.7
211%
0.1
IN
Tata Steel Ltd
NSE:TATASTEEL
9.4
93%
0.1
JP
Nippon Steel Corp
TSE:5401
5.3
30%
0.2
LU
ArcelorMittal SA
AEX:MT
3.6
11%
0.3
US
Steel Dynamics Inc
NASDAQ:STLD
7.1
-13%
N/A
EV/EBIT Multiple
EBIT Growth EV/EBIT to Growth
AU
Fortescue Metals Group Ltd
ASX:FMG
Average EV/EBIT: 9.3
4.2
-49%
N/A
ZA
K
Kumba Iron Ore Ltd
JSE:KIO
Not Available
-40%
N/A
BR
Vale SA
BOVESPA:VALE3
4.1
-5%
N/A
AU
F
Fortescue Ltd
XMUN:FVJ
4.2
-49%
N/A
US
Nucor Corp
NYSE:NUE
5.7
-35%
N/A
IN
JSW Steel Ltd
NSE:JSWSTEEL
18.6
63%
0.3
CN
Baoshan Iron & Steel Co Ltd
SSE:600019
15.7
39%
0.4
IN
Tata Steel Ltd
NSE:TATASTEEL
16.2
155%
0.1
JP
Nippon Steel Corp
TSE:5401
8.8
N/A N/A
LU
ArcelorMittal SA
AEX:MT
6.6
4%
1.6
US
Steel Dynamics Inc
NASDAQ:STLD
8.6
-23%
N/A

See Also

Summary
FMG intrinsic value, competitors valuation, and company profile.
DCF Valuation
FMG stock valuation using Discount Cash Flow valuation method.
Relative Valuation
FMG stock valuation using valuation multiples.
Wall Street Estimates
FMG price targets and financial estimates made by Wall st analysts.
Profitability Analysis
Detailed analysis of the company's profitability.
Solvency Analysis
Analysis of the financial position and solvency of the company.
Financials
Income Statement, Balance Sheet, Cash Flow Statement.
Discount Rate
FMG stock discount rate: cost of equity and WACC.
Summary
DCF Valuation
Relative Valuation
Wall Street Estimates
Profitability Analysis
Solvency Analysis
Financials
Discount Rate
Discover More
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