Contrasting Worthington Steel (WS) and Its Peers

Worthington Steel (NYSE:WSGet Free Report) is one of 1,987 publicly-traded companies in the “Metals & Mining” industry, but how does it weigh in compared to its competitors? We will compare Worthington Steel to related businesses based on the strength of its valuation, dividends, earnings, institutional ownership, risk, profitability and analyst recommendations.

Profitability

This table compares Worthington Steel and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Worthington Steel 0.50% 8.87% 4.89%
Worthington Steel Competitors -1,161,736,352,322,426,800.00% -9.09% -2.06%

Volatility & Risk

Worthington Steel has a beta of 2.27, suggesting that its stock price is 127% more volatile than the S&P 500. Comparatively, Worthington Steel’s competitors have a beta of 1.02, suggesting that their average stock price is 2% more volatile than the S&P 500.

Earnings & Valuation

This table compares Worthington Steel and its competitors top-line revenue, earnings per share and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Worthington Steel $3.44 billion $8.50 million 24.48
Worthington Steel Competitors $5.04 billion $277.89 million -25.66

Worthington Steel’s competitors have higher revenue and earnings than Worthington Steel. Worthington Steel is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Dividends

Worthington Steel pays an annual dividend of $0.64 per share and has a dividend yield of 1.9%. Worthington Steel pays out 46.0% of its earnings in the form of a dividend. As a group, “Metals & Mining” companies pay a dividend yield of 9.0% and pay out 10.8% of their earnings in the form of a dividend. Worthington Steel lags its competitors as a dividend stock, given its lower dividend yield and higher payout ratio.

Analyst Recommendations

This is a summary of current ratings and target prices for Worthington Steel and its competitors, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Worthington Steel 0 1 1 1 3.00
Worthington Steel Competitors 6300 22403 31962 1765 2.47

Worthington Steel currently has a consensus target price of $46.00, indicating a potential upside of 35.19%. As a group, “Metals & Mining” companies have a potential upside of 10.30%. Given Worthington Steel’s stronger consensus rating and higher possible upside, analysts plainly believe Worthington Steel is more favorable than its competitors.

Institutional and Insider Ownership

45.4% of Worthington Steel shares are held by institutional investors. Comparatively, 16.0% of shares of all “Metals & Mining” companies are held by institutional investors. 2.7% of Worthington Steel shares are held by company insiders. Comparatively, 17.7% of shares of all “Metals & Mining” companies are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Worthington Steel beats its competitors on 9 of the 15 factors compared.

About Worthington Steel

(Get Free Report)

Worthington Steel, Inc. operates as a steel processor in North America. It offers carbon flat-rolled steel and tailor welded blanks, as well as electrical steel laminations; and aluminum tailor welded blanks. The company serves various end-markets, including automotive, heavy truck, agriculture, construction, and energy. Worthington Steel, Inc. was incorporated in 2023 and is based in Columbus, Ohio.

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