ArcelorMittal

[Totoro]

Anyone here following this company?

Its current value puzzles me. Priced at 0.4x book value for example.

Thoughts?

 

[RISP]

Priced at 0.4x book value for example.

0.62 as of today, isn't it?

Doesn't seem too unusual for the steel industry. Salzgitter trades at 0.52, U.S. Steel at 0.89, Nippon Steel, 0.70.

Personally, I wouldn't put too much stock into P/B ratios because of the many ways your accounting can influence book values.

 

[Totoro]

Still at 0.4 according to morningstar.

http://financials.morningstar.com/valuation/price-ratio.html?t=MT®ion=usa&culture=en-US

Book value is an example, other indicators are similarly low.

It's indeed like Salzgitter, which is also Europe based? That's probably why.

 

[RISP]

Still at 0.4 according to morningstar.

http://financials.morningstar.com/valuation/price-ratio.html?t=MT®ion=usa&culture=en-US

Book value is an example, other indicators are similarly low.

It's indeed like Salzgitter, which is also Europe based? That's probably why.

Strange, my source has them at 0.62: ARCELORMITTAL AKTIE | Aktienkurs | Nachrichten | Kurs | (A0M6U2,,LU0323134006) | finanzen.net

Sorry, that's in German. I'm referring to the KBV, or Kurs-Buchwert-Verhaeltnis, which to my understanding is the same as price-to-book-ratio.

Yahoo has them at 0.44, so your figure is probably closer to the truth than mine:
MT Key Statistics | Arcelor Mittal NY Registry Shar Stock - Yahoo! Finance

I guess MT is trading at a significant discount because they've been losing money for a while. But maybe it is oversold. I have never before looked into steel producers.

Yes, Salzgitter is German. And according to Morningstar, their P/B is exactly 0.4, too.

 

[Sabaidee]

I also am following MT. Posco, PKX (South Korea) is also "cheap".