Vale SA VALE StarRatingValueLabel_3Jon Mills, CFA - Equity Analyst - Morningstar Inc.

Last Price
12.44
Day Change
-0.14|-1.11%

As of 10/05/2024
19:50:40 EDT | USD  Minimum 15 Minutes Delay.

Bid/OfferDay RangeVolume90d Ave VolMkt Cap
12.40 - 12.4512.43 - 12.6516,457,22827,654,91153.50Bil
Last Close52 Week RangeP/EYield %ISIN
12.5811.52 - 16.086.8711.30US91912E1055

Vale SA Share Price

Morningstar's Take VALE

Vale is the world's largest iron ore miner and a key supplier to the global steel industry. It is leveraged to Chinese raw materials demand, which we expect to slow as the country's infrastructure-led investment boom wanes and as recycled steel becomes a growing source of supply.

Fair Value Estimate

14.20 USD

Uncertainty

+ Avg

Economic Moat

None

Financial Strength

Financial Strength
There is no one analyst in which a Quantitative Fair Value Estimate is attributed to; however, Mr. Lee Davidson, Head of Quantitative Research for Morningstar, Inc., is responsible for overseeing the methodology that supports the quantitative fair value. As an employee of Morningstar, Inc., Mr. Davidson is guided by Morningstar, Inc.’s Code of Ethics and Personal Securities Trading Policy in carrying out his responsibilities. For information regarding Conflicts of Interests, click here.
Jon Mills, CFA - Equity Analyst - Morningstar Inc.
The conduct of Morningstar's analysts is governed by Morningstar's Code of Ethics, Securities Trading and Disclosure Policy, and Investment Research Integrity Policy. For information regarding conflicts of interest, please click here.
Fair Value is derived from a detailed projection of a company’s future cash flows. Analysts create custom industry and company assumptions to feed income statement, balance sheet, and capital investment assumptions into a proprietary discounted cash flow modeling template. Scenario analysis, in-depth competitive advantage analysis, and a variety of other analytical tools are used to augment the discounted cash flow process. Combining analysts’ financial forecasts with the firm’s economic moat helps us assess how long returns on invested capital are likely to exceed the firm’s cost of capital. Because we are modeling free cash flow to the firm—representing cash available to provide a return to all capital providers—we discount future cash flows using the weighted average of the costs of equity, debt, and preferred stock (and any other funding sources), using expected future proportionate long-term, market-value weights. If our base-case assumptions are true the market price will converge on our fair value estimate over time, generally within three years. Investments in securities are subject to market and other risks. Past performance of a security may or may not be sustained in future and is no indication of future performance. For detail information about the Qualitative Fair Value, please click here.
Financials
202120222023
more...
Income Statement
Revenue54,502.0043,839.0041,784.00
Operating Income30,842.0017,785.0015,857.00
Net Income22,445.0018,788.007,983.00
Basic EPS4.474.051.83
Avg. Diluted Shares Outstanding5,0124,6424,370
Balance Sheet
Current Assets22,360.0015,526.0018,700.00
Non Current Assets67,082.0071,368.0075,486.00
Total Assets89,442.0086,894.0094,186.00
Current Liabilities15,198.0013,891.0014,655.00
Total Liabilities---
Total Equity34,472.0035,867.0039,461.00
Cash Flow
Operating Cash Flow25,679.0011,485.0013,165.00
Capital Expenditure-5,033.00-5,446.00-5,920.00
Free Cash Flow20,646.006,039.007,245.00

In millions, except "Basic EPS". Currency is USD.

Company Profile

Vale is a large global miner and the world’s largest producer of iron ore and pellets. In recent years the company has sold noncore assets such as its fertilizer, coal, and steel operations to concentrate on iron ore, nickel, and copper. Earnings are dominated by the bulk materials division, primarily iron ore and iron ore pellets. The base metals division is much smaller, consisting of nickel mines and smelters along with copper mines producing copper in concentrate. Vale has agreed to sell a minority 13% stake in energy transition metals, its base metals business, which is expected to become effective in 2024, and which is likely the first step in separating base metals and iron ore.

Sector

Basic Materials

Industry

Other Industrial Metals & Mining

Stock Style

Large-Value

Fiscal Year Ends

December

Employees

66,807
Key Stats
more...
Price/Earning TTM6.95
Price/Book1.44
Price/Sales TTM1.30
Rev Growth (3 year avg)1.45
EPS Growth (3 year avg)-
Operating Margin % TTM37.95
Net Margin % TTM19.11
ROE TTM21.20
Debt/Equity0.40
Dividends
PreviousLatest
Declared Date27/10/2323/02/24
Ex-Div22/11/2312/03/24
Paid08/12/2326/03/24
Amnt0.470.54
Jon Mills, CFA - Equity Analyst - Morningstar Inc.
The conduct of Morningstar's analysts is governed by Morningstar's Code of Ethics, Securities Trading and Disclosure Policy, and Investment Research Integrity Policy. For information regarding conflicts of interest, please click here.
Fair Value is derived from a detailed projection of a company’s future cash flows. Analysts create custom industry and company assumptions to feed income statement, balance sheet, and capital investment assumptions into a proprietary discounted cash flow modeling template. Scenario analysis, in-depth competitive advantage analysis, and a variety of other analytical tools are used to augment the discounted cash flow process. Combining analysts’ financial forecasts with the firm’s economic moat helps us assess how long returns on invested capital are likely to exceed the firm’s cost of capital. Because we are modeling free cash flow to the firm—representing cash available to provide a return to all capital providers—we discount future cash flows using the weighted average of the costs of equity, debt, and preferred stock (and any other funding sources), using expected future proportionate long-term, market-value weights. If our base-case assumptions are true the market price will converge on our fair value estimate over time, generally within three years. Investments in securities are subject to market and other risks. Past performance of a security may or may not be sustained in future and is no indication of future performance. For detail information about the Qualitative Fair Value, please click here.