Gerdau SA GGB

MaterialsMetals & MiningBrazil

Last close 4.64 USD on Nov 3, 2026, +29.3% year to date

Quant rating

Quant rating A Rank 20 of 220 in Materials

Growth B 51 of 220
Valuation B 42 of 220
Quality B 35 of 220
Revisions B 53 of 220
Momentum B 50 of 220

Wall Street consensus Buy (2.33)Average target 5.90 USD +27.2%

Historical valuation

Multiples use consensus estimates for the next twelve months. The dashed line is the 5-year average.

Key data

Market cap: 8.7B
Enterprise value: 10.4B
52-week range: 3.14 – 5.48
3-year range: 2.30 – 5.48
Dividend yield: 3.51%
Beta (5 years): 1.51
Shares outstanding: 1,978M
Next earnings: Feb 22, 2027

About the company

Gerdau SA is a Brazil-based manufacturer of steel products. The Company is engaged in the production and commercialization of steel products in general, through its mills located in Argentina, Brazil, Canada, Colombia, the United States, Mexico, Peru, the Dominican Republic, Uruguay and Venezuela. The Firm’s product portfolio includes crude steel; finished products for the construction industry, such as rebar, wire-rods, structural shapes, hot-rolled coils and heavy plates; finished industrial products, such as commercial rolled-steel bars, light profiles and wires; agricultural products, such as stakes, smooth wire and barbed-wire; and special steel items. The Company’s activities include also operations of iron ore mines located in the state of Minas Gerais.

Growth and profitability fiscal year ends December 31

Growth and profitability by fiscal year
	2025	2024	2023	2022	2021	5Y avg
Revenue (mil)	12,755	10,850	14,203	15,591	14,065	–
Revenue growth	17.6%	−23.6%	−8.9%	10.8%	66.7%	8.6%
EPS (basic, normalized)	0.13	0.35	0.65	1.05	1.29	–
EPS growth	−64.5%	−45.9%	−37.4%	−19.0%	–	–
Gross margin	11.4%	13.7%	16.4%	22.8%	26.6%	18.2%
Net margin	2.1%	7.1%	10.9%	13.8%	19.8%	10.7%
ROE	2.6%	8.9%	15.8%	25.7%	42.1%	19.0%

Balance sheet, last quarter
Cash & short-term investments (mil)	1,168
Current ratio	2.90x
Long-term debt (mil)	2,786
Net debt (mil)	1,861
Total equity (mil)	10,563
Net debt / equity	0.18x
Net debt / EBITDA	0.97x

Estimates and valuation

Consensus estimates and implied multiples
	Sales (mil)			EBITDA (mil)			EPS
Fiscal year	Mean est.	Growth	EV/Sales	Mean est.	Growth	EV/EBITDA	Mean est.	Growth	P/E
2025 actual	12,755	+17.6%	0.8x	1,926	+5.2%	5.4x	0.13	−64.5%	36.9x
2026	13,092	+2.6%	0.8x	2,473	+28.4%	4.2x	0.53	+322.3%	8.7x
2027	13,424	+2.5%	0.8x	2,559	+3.5%	4.1x	0.62	+17.5%	7.4x
2028	13,756	+2.5%	0.8x	2,474	−3.3%	4.2x	0.58	−6.5%	8.0x

Estimate revisions

Change in consensus estimates over 1, 3 and 6 months
	Sales				EPS
Fiscal year	Estimate (mil)	1M	3M	6M	Estimate	1M	3M	6M
2026	13,092	−0.3%	+1.8%	+1.3%	0.53	−0.8%	+11.6%	+12.0%
2027	13,424	+0.9%	+3.9%	+1.9%	0.62	+10.9%	+11.1%	+17.0%
2028	13,756	−0.5%	+3.9%	+1.9%	0.58	−4.6%	+4.7%	+11.4%

Earnings surprises

Reported results versus consensus, last 10 fiscal quarters
Quarter ended	Mar 2024	Jun 2024	Sep 2024	Dec 2024	Mar 2025	Jun 2025	Sep 2025	Dec 2025	Mar 2026	Jun 2026
Sales reported (mil)	–	–	17,378	16,823	17,375	17,526	17,983	16,974	16,716	17,871
Sales mean (mil)	–	–	17,419	17,005	16,907	18,241	17,750	16,367	17,156	17,361
Surprise	–	–	−0.2%	−1.1%	+2.8%	−3.9%	+1.3%	+3.7%	−2.6%	+2.9%
EPS reported	0.58	0.45	0.68	0.31	0.37	0.45	0.54	−0.70	0.51	0.76
EPS mean	0.49	0.38	0.77	0.54	0.62	0.51	0.58	0.45	0.76	0.81
Surprise	+18.0%	+18.4%	−11.2%	−43.0%	−40.8%	−10.9%	−6.9%	−256.2%	−32.9%	−5.6%

Peer comparison Metals & Mining

Peers in the same industry group, by market capitalization
Company	Market cap	Net debt/EBITDA	Net margin	P/B	FY1 P/E	FY2 P/E	FY1 EV/EBITDA	FY2 EV/EBITDA
GGB Gerdau SA	8.7B	0.97x	2.1%	0.92x	8.7x	7.4x	4.2x	4.1x
GMEXICOB Grupo Mexico SAB de CV	92.4B	0.37x	27.1%	3.49x	13.5x	13.2x	7.2x	7.1x
SCCO Southern Copper Corp	148.0B	0.00x	32.3%	11.47x	22.0x	23.2x	13.1x	13.5x
NUE Nucor Corporation	62.1B	1.14x	5.3%	2.72x	13.9x	12.3x	8.4x	7.9x
VALE Vale S.A.	48.7B	0.91x	6.5%	–	6.9x	6.9x	4.1x	4.1x
MT ArcelorMittal SA	46.9B	1.76x	5.1%	0.84x	16.2x	8.6x	7.3x	5.5x
Mean		0.86x	13.1%	3.89x	13.5x	11.9x	7.4x	7.0x
Median		0.94x	5.9%	2.72x	13.7x	10.4x	7.2x	6.3x

Technical analysis

1M−7.0%
3M−6.9%
1Y+39.0%
3Y+34.8%

Financial statements in millions of USD

Income statement in millions of USD, fiscal years

Income statement, Gerdau SA, fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Total revenue	12,755	10,850	14,203	15,591	14,065	8,436
Cost of revenue	11,300	9,360	11,868	12,043	10,328	7,294
Gross profit	1,455	1,490	2,336	3,547	3,737	1,142
Selling, general & administrative expenses	389	356	457	414	378	374
Research & development	–	–	–	–	–	–
Interest expense (income), operating	−17.5	−206	−171	−218	−101	−29.4
Unusual expense (income)	359	16.0	−52.1	0	−391	12.3
Other operating expenses	41.7	112	−105	−6.9	−64.1	−215
Operating income	683	1,212	2,206	3,358	3,916	1,000
Net interest income (expense)	−67.6	−184	−162	−252	−165	−199
Gain (loss) on sale of assets	–	–	–	–	–	–
Other non-operating income (expense)	−146	−115	−115	−113	−115	−128
Net income before taxes	469	913	1,929	2,993	3,636	673
Provision for taxes	202	140	373	829	846	213
Minority interest	−5.7	−5.3	−7.3	−10.2	−11.6	−4.3
Equity in affiliates	–	–	–	–	–	–
U.S. GAAP adjustment	–	–	–	–	–	–
Net income before extraordinary items	262	768	1,549	2,154	2,778	456
Extraordinary items	–	–	–	–	–	–
Net income	262	768	1,549	2,154	2,778	456
EBIT, normalized	1,063	1,030	1,997	3,149	3,434	985
EBITDA, normalized	1,736	1,536	2,625	3,692	3,911	1,466
Basic EPS, normalized	0.13	0.35	0.65	1.05	1.29	–

Balance sheet in millions of USD, fiscal years

Balance sheet, Gerdau SA, fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Assets
Cash & short-term investments	1,164	1,340	1,101	1,028	1,218	1,475
Receivables	1,238	1,173	1,416	1,363	1,490	1,153
Total inventory	2,690	2,672	3,138	3,371	3,027	1,765
Prepaid expenses	–	–	–	–	–	–
Other current assets	132	104	362	151	124	114
Total current assets	5,223	5,288	6,018	5,913	5,860	4,507
Property, plant & equipment	5,827	4,979	4,959	4,045	3,519	3,479
Goodwill	2,190	2,242	2,231	2,201	2,231	2,330
Intangibles	126	64.8	77.0	78.5	91.5	120
Long-term investments	720	683	795	737	600	437
Note receivable	261	282	395	96.8	22.8	154
Other long-term assets	568	512	958	889	927	1,126
Total assets	14,915	14,053	15,434	13,961	13,251	12,154
Liabilities
Accounts payable	915	926	1,216	1,252	1,439	1,047
Payable/accrued	–	–	–	–	–	–
Accrued expenses	240	215	280	275	314	229
Short-term debt	0	0	0	0	0	0
Current portion of long-term debt	243	189	447	643	375	502
Other current liabilities	408	427	382	377	392	432
Total current liabilities	1,805	1,757	2,326	2,547	2,520	2,211
Long-term debt	2,600	2,226	2,061	1,937	2,319	3,225
Minority interest	38.9	36.4	37.1	34.4	37.9	43.3
Other liabilities	686	654	899	718	726	732
Total liabilities	5,131	4,672	5,323	5,237	5,603	6,212
Shareholders' equity
Preferred stock	–	–	–	–	–	–
Common stock	4,432	3,929	4,166	3,642	3,456	3,706
Additional paid-in capital	–	–	–	–	–	–
Retained earnings (accumulated deficit)	4,211	3,925	5,343	4,197	3,205	1,406
Treasury stock	−95.0	−119	−31.0	−34.1	−27.4	−44.2
Other equity	1,235	1,645	632	920	1,016	873
Total equity	9,784	9,380	10,111	8,724	7,648	5,942
Total liabilities & shareholders' equity	14,915	14,053	15,434	13,961	13,251	12,154

Cash flow statement in millions of USD, fiscal years

Cash flow statement, Gerdau SA, fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Operating activities
Net income	259	744	1,553	2,172	2,793	460
Depreciation, depletion & amortization	673	506	628	542	477	481
Deferred taxes	–	–	–	–	–	–
Non-cash items	819	364	353	1,037	803	361
Changes in working capital	−293	228	−239	−1,642	−1,826	−68.6
Cash from operations	1,458	1,842	2,296	2,109	2,247	1,234
Investing activities
Capital expenditures	−1,220	−935	−1,074	−812	−543	−318
Other investing cash flows	−163	120	−116	−31.7	5.4	−111
Cash from investing	−1,383	−815	−1,190	−844	−538	−429
Financing activities
Financing cash flow items	–	–	–	−8.7	–	–
Cash dividends paid	−235	−268	−553	−1,115	−959	−52.9
Issuance (retirement) of debt, net	–	–	–	–	–	–
Other financing cash flows	−78.6	−167	−297	−439	−834	−427
Cash from financing	−313	−435	−850	−1,562	−1,792	−480
Foreign exchange effects	−97.9	178	−146	−22.5	0.9	55.9
Net change in cash	−336	771	109	−319	−82.0	380
Free cash flow	238	907	1,222	1,297	1,704	916

Disclaimer

The financial data presented in this report is delayed and obtained from sources QDD Research believes to be reliable, including stock exchanges, SEDAR, and EDGAR. However, no representation or warranty is made as to the accuracy, completeness, or timeliness of the information. QDD Research accepts no liability for any errors, omissions, or financial losses arising from the use of this data.

This report is generated using a fully systematic and quantitative approach. All factor scores and the overall quant rating (ranging from D to A+) are derived from algorithmic models and are based solely on objective financial metrics. These scores are intended for informational purposes only and should not be interpreted as investment advice or a recommendation to buy, sell, or hold any securities.

QDD Research is not a registered investment advisor or broker-dealer and does not provide personalized financial advice. The content is not tailored to the specific investment goals, financial situation, or risk profile of any individual investor. We strongly encourage readers to consult with a licensed broker or investment advisor before making any investment decisions based on the information contained in this report.

Live quote provided by TradingView. Report data updated Nov 3, 2026 after market close.