Recent News
On July 29, 2025 Ternium released mid‑year results reporting adjusted EBITDA of $403 million, net income of $259 million and robust mining shipments, while noting declines in net sales and gross profit. In mid‑July several brokerages adjusted targets: Scotiabank trimmed its price objective on July 17, and Morgan Stanley lowered coverage on July 21; by mid‑August coverage aggregated to a consensus “Hold” and an average price target near $33.00.
Technical Analysis
Directional indicators show strengthening bullish bias: DI+ stands at 27.59 and has completed a dip & reversal, indicating bullish momentum while DI− completed a peak & reversal at 15.40, which further supports a bullish directional tilt; ADX registers 22.95, signaling an emerging trend that favors continuation of recent price gains.
Momentum oscillator dynamics present bullish confirmation: MACD sits at 0.75, above its signal line at 0.63, and MACD is increasing, which indicates accelerating bullish momentum and supports a near‑term continuation of price strength.
MRO reads 30.64 with a dip & reversal; because MRO is positive, the price currently sits above the model target and carries a tendency to mean‑revert downward, implying potential short‑term consolidation following the recent advance.
RSI registers 60.2 with a dip & reversal; the rise in RSI supports continued upside over the coming weeks while leaving room before overbought thresholds, aligning with the bullish MACD signal.
Price vs. averages shows constructive structure: last close $35.45 exceeds the 12‑day EMA $34.45 (12‑day EMA increasing) and the 200‑day average $29.41, indicating trend alignment with higher timeframe momentum; the price recently crossed above the −1× standard deviation Bollinger band, reinforcing near‑term strength.
Ichimoku context favors buyers: the Chikou span sits above the cloud and Tenkan/Kijun values (Tenkan $34.10; Kijun $33.73) support bullish bias. SuperTrend lower band at $33.74 offers a nearby technical support level; volume currently exceeds the 10‑day average, which helps validate the advance.
Fundamental Analysis
Profitability and margins: EBIT $211,197,000 and EBITDA $407,955,000 reflect operating scale; EBIT margin equals 5.346%, which sits below the industry peer mean of 39.457% and below the industry peer median of 41.465%, while remaining above the industry peer low. EBIT margin changed QoQ by −3.987% and YoY by −161.675%.
Earnings and estimates: Reported EPS $1.10 exceeded the estimate $0.64 by $0.46, producing an EPS surprise ratio of 71.88%, and forward EPS stands at $1.835 with a forward P/E of 15.94; the positive surprise reinforces the short‑term earnings trajectory even as some margin metrics contracted.
Cash, leverage and liquidity: Cash and short‑term investments total $3,374,867,000 with reported net debt $499,673,000, indicating a modest net debt position and liquidity headroom; current ratio equals 2.6811, above the industry peer mean of 2.47393, and quick ratio 1.58491 sits close to the peer mean of 1.5807, supporting balance‑sheet resilience.
Returns and efficiency: Return on equity 1.791% and return on assets 0.903% both sit below the industry peer means (ROE peer mean 4.557%; ROA peer mean 2.621%), while asset turnover 0.16572 reads slightly above the industry peer mean of 0.14843; revenue growth measured 0.361% with QoQ change −75.342% and YoY −106.530%.
Free cash and capital allocation: Operating cash flow $1,043,635,000 and free cash flow $233,944,000 produce a free cash flow yield of 0.38%; dividend payout ratio 164.186% and dividend coverage 60.907% show payout pressure relative to earnings, while capital expenditures total −$809,691,000, producing a capex‑to‑revenue dynamic that compresses near‑term free cash growth.
Valuation summary: Reported price multiples include a trailing P/E of 27.55, forward P/E of 15.94 and an EV/revenue context reflected in an enterprise multiple of 148.77. The current valuation, as determined by WMDST, classifies the stock as over‑valued; the combination of a positive near‑term earnings surprise and stretched multiples frames a valuation premium against cash‑flow metrics.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-06-30 |
| REPORT DATE: | 2025-07-29 |
| NEXT REPORT DATE: | 2025-10-28 |
| CASH FLOW | Begin Period Cash Flow | $ 1.8 B |
| Operating Cash Flow | $ 1.0 B | |
| Capital Expenditures | $ -809.69 M | |
| Change In Working Capital | $ 781.4 M | |
| Dividends Paid | $ -353.00 M | |
| Cash Flow Delta | $ 26.5 M | |
| End Period Cash Flow | $ 1.9 B | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 3.9 B | |
| Forward Revenue | $ 16.5 B | |
| COSTS | ||
| Cost Of Revenue | $ 3.3 B | |
| Depreciation | $ 151.5 M | |
| Depreciation and Amortization | $ 196.8 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 3.7 B | |
| PROFITABILITY | ||
| Gross Profit | $ 610.1 M | |
| EBITDA | $ 408.0 M | |
| EBIT | $ 211.2 M | |
| Operating Income | $ 199.2 M | |
| Interest Income | $ 57.5 M | |
| Interest Expense | $ 56.3 M | |
| Net Interest Income | $ -29.55 M | |
| Income Before Tax | $ 154.9 M | |
| Tax Provision | $ -104.44 M | |
| Tax Rate | 30.0 % | |
| Net Income | $ 215.4 M | |
| Net Income From Continuing Operations | $ 259.3 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.64 | |
| EPS Actual | $ 1.10 | |
| EPS Difference | $ 0.46 | |
| EPS Surprise | 71.875 % | |
| Forward EPS | $ 1.83 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 23.9 B | |
| Intangible Assets | $ 1.0 B | |
| Net Tangible Assets | $ 11.0 B | |
| Total Current Assets | $ 10.3 B | |
| Cash and Short-Term Investments | $ 3.4 B | |
| Cash | $ 1.9 B | |
| Net Receivables | $ 2.4 B | |
| Inventory | $ 4.2 B | |
| Long-Term Investments | $ 8.1 M | |
| LIABILITIES | ||
| Accounts Payable | $ 2.0 B | |
| Short-Term Debt | $ 545.7 M | |
| Total Current Liabilities | $ 3.9 B | |
| Net Debt | $ 499.7 M | |
| Total Debt | $ 2.6 B | |
| Total Liabilities | $ 7.3 B | |
| EQUITY | ||
| Total Equity | $ 12.0 B | |
| Retained Earnings | $ 13.2 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 6.11 | |
| Shares Outstanding | 1.963 B | |
| Revenue Per-Share | $ 2.01 | |
| VALUATION | Market Capitalization | $ 61.5 B |
| Enterprise Value | $ 60.7 B | |
| Enterprise Multiple | 148.772 | |
| Enterprise Multiple QoQ | 5.245 % | |
| Enterprise Multiple YoY | -140.848 % | |
| Enterprise Multiple IPRWA | high: 194.158 TX: 148.772 mean: 22.105 median: 20.969 low: -189.617 |
|
| EV/R | 15.379 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.993 | |
| Asset To Liability | 3.26 | |
| Debt To Capital | 0.177 | |
| Debt To Assets | 0.108 | |
| Debt To Assets QoQ | -5.056 % | |
| Debt To Assets YoY | 238.503 % | |
| Debt To Assets IPRWA | high: 0.485 mean: 0.152 median: 0.138 TX: 0.108 low: 0.0 |
|
| Debt To Equity | 0.214 | |
| Debt To Equity QoQ | -3.41 % | |
| Debt To Equity YoY | 238.698 % | |
| Debt To Equity IPRWA | high: 1.426 mean: 0.272 median: 0.237 TX: 0.214 low: 0.0 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 5.123 | |
| Price To Book QoQ | 6.891 % | |
| Price To Book YoY | -16.627 % | |
| Price To Book IPRWA | high: 6.781 TX: 5.123 mean: 2.381 median: 2.18 low: 0.467 |
|
| Price To Earnings (P/E) | 27.555 | |
| Price To Earnings QoQ | -68.31 % | |
| Price To Earnings YoY | -108.15 % | |
| Price To Earnings IPRWA | high: 277.522 mean: 46.655 median: 36.378 TX: 27.555 low: -325.2 |
|
| PE/G Ratio | 0.276 | |
| Price To Sales (P/S) | 15.581 | |
| Price To Sales QoQ | 5.596 % | |
| Price To Sales YoY | -3.663 % | |
| Price To Sales IPRWA | high: 25.697 TX: 15.581 median: 12.377 mean: 11.155 low: 0.608 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 15.944 | |
| Forward PE/G | 0.159 | |
| Forward P/S | 3.72 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -10.61 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.166 | |
| Asset Turnover Ratio QoQ | -1.31 % | |
| Asset Turnover Ratio YoY | -11.285 % | |
| Asset Turnover Ratio IPRWA | high: 0.462 TX: 0.166 mean: 0.148 median: 0.117 low: 0.005 |
|
| Receivables Turnover | 1.522 | |
| Receivables Turnover Ratio QoQ | -17.672 % | |
| Receivables Turnover Ratio YoY | -3.334 % | |
| Receivables Turnover Ratio IPRWA | high: 30.072 median: 6.978 mean: 6.834 TX: 1.522 low: 1.305 |
|
| Inventory Turnover | 0.757 | |
| Inventory Turnover Ratio QoQ | 3.898 % | |
| Inventory Turnover Ratio YoY | 1.779 % | |
| Inventory Turnover Ratio IPRWA | high: 2.589 mean: 1.177 median: 1.152 TX: 0.757 low: 0.34 |
|
| Days Sales Outstanding (DSO) | 59.97 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 126.513 | |
| Cash Conversion Cycle Days QoQ | 2.288 % | |
| Cash Conversion Cycle Days YoY | -1.375 % | |
| Cash Conversion Cycle Days IPRWA | TX: 126.513 high: 89.053 median: 64.45 mean: 53.559 low: -49.475 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.609 | |
| CapEx To Revenue | -0.205 | |
| CapEx To Depreciation | -5.345 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 13.8 B | |
| Net Invested Capital | $ 14.4 B | |
| Invested Capital | $ 14.4 B | |
| Net Tangible Assets | $ 11.0 B | |
| Net Working Capital | $ 6.5 B | |
| LIQUIDITY | ||
| Cash Ratio | 0.875 | |
| Current Ratio | 2.681 | |
| Current Ratio QoQ | -10.687 % | |
| Current Ratio YoY | -2.087 % | |
| Current Ratio IPRWA | high: 16.134 TX: 2.681 mean: 2.474 median: 2.227 low: 0.014 |
|
| Quick Ratio | 1.585 | |
| Quick Ratio QoQ | -9.71 % | |
| Quick Ratio YoY | 0.889 % | |
| Quick Ratio IPRWA | high: 2.842 median: 1.741 TX: 1.585 mean: 1.581 low: 0.525 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 6.309 | |
| Cost Of Debt | 1.49 % | |
| Interest Coverage Ratio | 3.768 | |
| Interest Coverage Ratio QoQ | -7.094 % | |
| Interest Coverage Ratio YoY | -143.361 % | |
| Interest Coverage Ratio IPRWA | high: 65.805 mean: 30.009 median: 19.347 TX: 3.768 low: -124.147 |
|
| Operating Cash Flow Ratio | 0.227 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 51.74 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 0.609 | |
| Dividend Payout Ratio | 1.642 | |
| Dividend Rate | $ 0.18 | |
| Dividend Yield | 0.006 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 0.858 % | |
| Revenue Growth | 0.361 % | |
| Revenue Growth QoQ | -75.342 % | |
| Revenue Growth YoY | -106.53 % | |
| Revenue Growth IPRWA | high: 87.493 % mean: 15.597 % median: 7.995 % TX: 0.361 % low: -50.608 % |
|
| Earnings Growth | 100.0 % | |
| Earnings Growth QoQ | -231.192 % | |
| Earnings Growth YoY | -194.359 % | |
| Earnings Growth IPRWA | high: 425.0 % TX: 100.0 % mean: 88.993 % median: 14.4 % low: -166.667 % |
|
| MARGINS | ||
| Gross Margin | 15.455 % | |
| Gross Margin QoQ | 14.473 % | |
| Gross Margin YoY | -7.792 % | |
| Gross Margin IPRWA | high: 82.056 % median: 49.672 % mean: 41.383 % TX: 15.455 % low: -39.531 % |
|
| EBIT Margin | 5.346 % | |
| EBIT Margin QoQ | -3.987 % | |
| EBIT Margin YoY | -161.675 % | |
| EBIT Margin IPRWA | high: 59.865 % median: 41.465 % mean: 39.457 % TX: 5.346 % low: -119.363 % |
|
| Return On Sales (ROS) | 5.042 % | |
| Return On Sales QoQ | -9.447 % | |
| Return On Sales YoY | -158.168 % | |
| Return On Sales IPRWA | high: 49.338 % median: 44.09 % mean: 34.449 % TX: 5.042 % low: -67.951 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 233.9 M | |
| Free Cash Flow Yield | 0.38 % | |
| Free Cash Flow Yield QoQ | -170.896 % | |
| Free Cash Flow Yield YoY | 12.094 % | |
| Free Cash Flow Yield IPRWA | high: 3.837 % median: 2.443 % mean: 1.428 % TX: 0.38 % low: -6.393 % |
|
| Free Cash Growth | -175.299 % | |
| Free Cash Growth QoQ | -170.905 % | |
| Free Cash Growth YoY | -120.841 % | |
| Free Cash Growth IPRWA | high: 284.532 % median: 41.909 % mean: -16.795 % TX: -175.299 % low: -451.584 % |
|
| Free Cash To Net Income | 1.088 | |
| Cash Flow Margin | 22.181 % | |
| Cash Flow To Earnings | 4.072 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 0.903 % | |
| Return On Assets QoQ | 215.734 % | |
| Return On Assets YoY | -129.99 % | |
| Return On Assets IPRWA | high: 5.442 % median: 3.724 % mean: 2.621 % TX: 0.903 % low: -25.167 % |
|
| Return On Capital Employed (ROCE) | 1.052 % | |
| Return On Equity (ROE) | 0.018 | |
| Return On Equity QoQ | 223.87 % | |
| Return On Equity YoY | -129.246 % | |
| Return On Equity IPRWA | high: 0.133 median: 0.064 mean: 0.046 TX: 0.018 low: -0.328 |
|
| DuPont ROE | 1.783 % | |
| Return On Invested Capital (ROIC) | 1.028 % | |
| Return On Invested Capital QoQ | -20.433 % | |
| Return On Invested Capital YoY | -88.423 % | |
| Return On Invested Capital IPRWA | high: 10.141 % median: 5.27 % mean: 4.873 % TX: 1.028 % low: -12.344 % |
|