Gerdau Sa Adr Stock Buy Hold or Sell Recommendation

GGB Stock  USD 2.92  0.06  2.10%   
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Gerdau SA ADR is 'Strong Hold'. Macroaxis provides Gerdau SA buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding GGB positions. Check out Gerdau SA Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
In addition, we conduct extensive research on individual companies such as Gerdau and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Gerdau SA ADR. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in price.

Execute Gerdau SA Buy or Sell Advice

The Gerdau recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Gerdau SA ADR. Macroaxis does not own or have any residual interests in Gerdau SA ADR or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Gerdau SA's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Gerdau SABuy Gerdau SA
Strong Hold

Market Performance

FairDetails

Volatility

Relatively riskyDetails

Hype Condition

StaleDetails

Current Valuation

Fairly ValuedDetails

Odds Of Distress

LowDetails

Economic Sensitivity

Follows the market closelyDetails

Investor Sentiment

InterestedDetails

Analyst Consensus

BuyDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

UnavailableDetails
For the selected time horizon Gerdau SA ADR has a Risk Adjusted Performance of 0.0807, Jensen Alpha of 0.1087, Total Risk Alpha of (0.13), Sortino Ratio of 0.0507 and Treynor Ratio of 0.2327
We provide advice to complement the regular expert consensus on Gerdau SA. Our dynamic recommendation engine utilizes a multidimensional algorithm to analyze the company's potential to grow using all technical and fundamental data available at the time. To make sure Gerdau SA ADR is not overpriced, please check out all Gerdau SA fundamentals, including its price to earning, gross profit, cash per share, as well as the relationship between the price to sales and net income . Please also validate Gerdau SA ADR price to earning to confirm your buy or sell decision is consistent with all fundamental data available and that the company can sustain itself in the current economic cycle.

Gerdau SA Trading Alerts and Improvement Suggestions

Latest headline from seekingalpha.com: Gerdau declares 0.0216 dividend

Gerdau SA Returns Distribution Density

The distribution of Gerdau SA's historical returns is an attempt to chart the uncertainty of Gerdau SA's future price movements. The chart of the probability distribution of Gerdau SA daily returns describes the distribution of returns around its average expected value. We use Gerdau SA ADR price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Gerdau SA returns is essential to provide solid investment advice for Gerdau SA.
Mean Return
0.22
Value At Risk
-3.17
Potential Upside
4.80
Standard Deviation
2.40
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Gerdau SA historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Gerdau Stock Institutional Investors

Shares
Marshall Wace Asset Management Ltd2025-03-31
5.7 M
Bank Of America Corp2025-03-31
4.9 M
Millennium Management Llc2025-03-31
4.4 M
Sagil Capital Llp2025-03-31
3.9 M
American Century Companies Inc2025-03-31
3.7 M
Grantham, Mayo, Van Otterloo & Co., Llc2025-03-31
3.6 M
Acadian Asset Management Llc2025-03-31
3.3 M
Citadel Advisors Llc2025-03-31
3.3 M
Vanguard Group Inc2025-03-31
3.1 M
Fmr Inc2025-03-31
97.2 M
Capital Research & Mgmt Co - Division 32025-03-31
30.4 M
Note, although Gerdau SA's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Gerdau SA Cash Flow Accounts

202020212022202320242025 (projected)
Change To Inventory(428.3M)(7.7B)(2.0B)1.3B542.5M569.6M
Change In Cash2.0B(456.6M)(1.7B)529.8M4.8B5.0B
Free Cash Flow4.6B9.3B6.7B5.8B5.4B5.7B
Depreciation2.5B2.7B2.9B3.0B3.1B1.8B
Other Non Cash Items1.6B1.6B(3.3B)(395.9M)1.3B1.4B
Dividends Paid274.8M5.3B5.9B2.7B1.7B1.1B
Capital Expenditures1.8B3.2B4.5B5.3B5.9B6.2B
Net Income2.4B15.6B11.5B7.5B4.6B2.7B
End Period Cash Flow4.6B4.2B2.5B3.0B7.8B8.2B
Investments(2.2B)113.6M(4.5B)(5.5B)(5.0B)(4.8B)
Net Borrowings538.7M(2.2B)(4.8B)(1.2B)(1.1B)(1.2B)
Change To Netincome221.1M136.6M407.9M1.1B1.3B714.5M

Gerdau SA Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Gerdau SA or Metals & Mining sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Gerdau SA's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Gerdau stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over Dow Jones
0.11
β
Beta against Dow Jones0.91
σ
Overall volatility
2.41
Ir
Information ratio 0.04

Gerdau SA Volatility Alert

Gerdau SA ADR has relatively low volatility with skewness of 0.76 and kurtosis of 0.54. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Gerdau SA's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Gerdau SA's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

Gerdau SA Fundamentals Vs Peers

Comparing Gerdau SA's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Gerdau SA's direct or indirect competition across all of the common fundamentals between Gerdau SA and the related equities. This way, we can detect undervalued stocks with similar characteristics as Gerdau SA or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Gerdau SA's fundamental indicators could also be used in its relative valuation, which is a method of valuing Gerdau SA by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Gerdau SA to competition
FundamentalsGerdau SAPeer Average
Return On Equity0.0598-0.31
Return On Asset0.0418-0.14
Profit Margin0.05 %(1.27) %
Operating Margin0.08 %(5.51) %
Current Valuation7.47 B16.62 B
Shares Outstanding1.28 B571.82 M
Shares Owned By Insiders0.01 %10.09 %
Shares Owned By Institutions24.47 %39.21 %
Number Of Shares Shorted10.21 M4.71 M
Price To Earning21.61 X28.72 X
Price To Book0.58 X9.51 X
Price To Sales0.08 X11.42 X
Revenue67.03 B9.43 B
Gross Profit8.57 B27.38 B
EBITDA9.39 B3.9 B
Net Income4.6 B570.98 M
Cash And Equivalents7.75 B2.7 B
Cash Per Share4.58 X5.01 X
Total Debt14.92 B5.32 B
Debt To Equity0.28 %48.70 %
Current Ratio2.22 X2.16 X
Book Value Per Share27.49 X1.93 K
Cash Flow From Operations11.38 B971.22 M
Short Ratio0.66 X4.00 X
Earnings Per Share0.29 X3.12 X
Target Price3.99
Number Of Employees30 K18.84 K
Beta0.88-0.15
Market Capitalization5.51 B19.03 B
Total Asset86.81 B29.47 B
Retained Earnings24.24 B9.33 B
Working Capital21.82 B1.48 B
Current Asset2 K9.34 B

Gerdau SA Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Gerdau . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Gerdau SA Buy or Sell Advice

When is the right time to buy or sell Gerdau SA ADR? Buying financial instruments such as Gerdau Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

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Cannabis
Cannabis Theme
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When determining whether Gerdau SA ADR offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Gerdau SA's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Gerdau Sa Adr Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Gerdau Sa Adr Stock:
Check out Gerdau SA Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
You can also try the Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
Is Metals & Mining space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Gerdau SA. If investors know Gerdau will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Gerdau SA listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.043
Dividend Share
0.64
Earnings Share
0.29
Revenue Per Share
33.715
Quarterly Revenue Growth
0.055
The market value of Gerdau SA ADR is measured differently than its book value, which is the value of Gerdau that is recorded on the company's balance sheet. Investors also form their own opinion of Gerdau SA's value that differs from its market value or its book value, called intrinsic value, which is Gerdau SA's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Gerdau SA's market value can be influenced by many factors that don't directly affect Gerdau SA's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Gerdau SA's value and its price as these two are different measures arrived at by different means. Investors typically determine if Gerdau SA is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Gerdau SA's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.