(WS) Worthington Steel - NYSE
Sector: Basic Materials | Industry: Steel | Exchange: NYSE (USA) | Market Cap: 2.208m USD | Total Return: 64.4% in 12m
Avg Turnover: 10.4M
Qual. Beats: -1
Rev. Trend: -73.8%
Qual. Beats: -1
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Worthington Steel, Inc. (WS) is a North American steel processor specializing in value-added products including carbon flat-rolled steel, tailor-welded blanks, and electrical steel lamination stampings. Headquartered in Columbus, Ohio, the company operates as a critical link in the supply chain for the automotive, construction, energy, and heavy machinery sectors.
The company’s business model focuses on steel processing rather than primary production, meaning it purchases raw steel from mills and transforms it into precise specifications required by end-users. In the steel industry, tailor-welded blanks are particularly vital for the automotive sector as they allow manufacturers to reduce vehicle weight while maintaining structural integrity. For a deeper look at the companys financial health, consider reviewing the fundamental metrics on ValueRay.
As a standalone entity since its 2023 spin-off, Worthington Steel maintains a diverse portfolio that includes aluminum processing and specialized components for electrical motors. This diversification helps mitigate cyclicality inherent in the broader metals market.
- Automotive production volumes drive demand for tailor welded blanks and stampings
- Fluctuations in hot-rolled steel prices impact inventory valuation and spreads
- Growth in North American electrical steel demand supports EV infrastructure expansion
- High interest rates constrain construction and heavy machinery capital investment cycles
- Competitive import pressure affects domestic carbon flat-rolled steel market share
| Net Income: 121.2m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.07 > 0.02 and ΔFCF/TA 2.54 > 1.0 |
| NWC/Revenue: 10.78% < 20% (prev 12.35%; Δ -1.57% < -1%) |
| CFO/TA 0.09 > 3% & CFO 210.2m > Net Income 121.2m |
| Net Debt (363.8m) to EBITDA (256.3m): 1.42 < 3 |
| Current Ratio: 1.48 > 1.5 & < 3 |
| Outstanding Shares: last quarter (49.8m) vs 12m ago -1.39% < -2% |
| Gross Margin: 12.29% > 18% (prev 12.38%; Δ -0.09% > 0.5%) |
| Asset Turnover: 162.7% > 50% (prev 176.2%; Δ -13.53% > 0%) |
| Interest Coverage Ratio: 20.21 > 6 (EBIT TTM 175.8m / Interest Expense TTM 8.70m) |
| A: 0.16 (Total Current Assets 1.11b - Total Current Liabilities 745.6m) / Total Assets 2.32b |
| B: 0.09 (Retained Earnings 205.7m / Total Assets 2.32b) |
| C: 0.09 (EBIT TTM 175.8m / Avg Total Assets 2.06b) |
| D: 1.17 (Book Value of Equity 1.12b / Total Liabilities 958.1m) |
| Altman-Z'' = 3.12 = A |
| DSRI: 1.05 (Receivables 464.3m/420.7m, Revenue 3.35b/3.17b) |
| GMI: 1.01 (GM 12.38% / 12.29%) |
| AQI: 1.13 (AQ_t 0.19 / AQ_t-1 0.16) |
| SGI: 1.06 (Revenue 3.35b / 3.17b) |
| TATA: -0.04 (NI 121.2m - CFO 210.2m) / TA 2.32b) |
| Beneish M = -2.87 (Cap -4..+1) = A |
As of June 20, 2026, the stock is trading at USD 40.73 with a total of 1,033,706 shares traded.
Over the past week, the price has changed by -6.02%,
over one month by +6.13%,
over three months by +29.00% and
over the past year by +64.39%.
Worthington Steel has received a consensus analysts rating of 4.00. Therefore, it is recommended to buy WS.
- StrongBuy: 1
- Buy: 0
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 38 | -6.7% |
P/E Trailing = 18.1042
P/E Forward = 16.835
P/S = 0.6595
P/B = 1.9631
Revenue TTM = 3.35b USD
EBIT TTM = 175.8m USD
EBITDA TTM = 256.3m USD
Long Term Debt = 31.6m USD (from longTermDebt, last quarter)
Short Term Debt = 233.5m USD (from shortTermDebt, last quarter)
Debt = 453.8m USD (from shortLongTermDebtTotal, last quarter) + Leases 101.2m
Net Debt = 363.8m USD (calculated: Debt 453.8m - CCE 90.0m)
Enterprise Value = 2.57b USD (2.21b + Debt 453.8m - CCE 90.0m)
Interest Coverage Ratio = 20.21 (Ebit TTM 175.8m / Interest Expense TTM 8.70m)
EV/FCF = 15.61x (Enterprise Value 2.57b / FCF TTM 164.7m)
FCF Yield = 6.41% (FCF TTM 164.7m / Enterprise Value 2.57b)
FCF Margin = 4.92% (FCF TTM 164.7m / Revenue TTM 3.35b)
Net Margin = 3.62% (Net Income TTM 121.2m / Revenue TTM 3.35b)
Gross Margin = 12.29% ((Revenue TTM 3.35b - Cost of Revenue TTM 2.94b) / Revenue TTM)
Gross Margin QoQ = 9.89% (prev 10.69%)
Tobins Q-Ratio = 1.11 (Enterprise Value 2.57b / Total Assets 2.32b)
Interest Expense / Debt = 1.92% (Interest Expense 8.70m / Debt 453.8m)
Taxrate = 22.32% (37.3m / 167.1m)
NOPAT = 136.6m (EBIT 175.8m * (1 - 22.32%))
Current Ratio = 1.48 (Total Current Assets 1.11b / Total Current Liabilities 745.6m)
Debt / Equity = 0.40 (Debt 453.8m / totalStockholderEquity, last quarter 1.12b)
Debt / EBITDA = 1.42 (Net Debt 363.8m / EBITDA 256.3m)
Debt / FCF = 2.21 (Net Debt 363.8m / FCF TTM 164.7m)
Total Stockholder Equity = 1.11b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.89% (Net Income 121.2m / Total Assets 2.32b)
RoE = 10.97% (Net Income TTM 121.2m / Total Stockholder Equity 1.11b)
RoCE = 15.47% (EBIT 175.8m / Capital Employed (Equity 1.11b + L.T.Debt 31.6m))
RoIC = 7.97% (NOPAT 136.6m / Invested Capital 1.71b)
WACC = 9.55% (E(2.21b)/V(2.66b) * Re(11.21%) + D(453.8m)/V(2.66b) * Rd(1.92%) * (1-Tc(0.22)))
Discount Rate = 11.21% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 37.78 | Cagr: 0.45%
[DCF] Terminal Value 74.18% ; FCFF base≈131.7m ; Y1≈151.0m ; Y5≈222.3m
[DCF] Fair Price = 47.16 (EV 2.76b - Net Debt 363.8m = Equity 2.40b / Shares 50.8m; r=9.55% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: -0.97 | # QB: -1
Revenue Correlation: -73.81 | Revenue CAGR: -3.56% | SUE: -1.64 | # QB: -1
EPS current Quarter (2026-08-31): EPS=0.68 | Chg30d=-10.53% | Revisions=-20% | Analysts=1