Gerdau SA (Brazil) Buy Hold or Sell Recommendation
| GGBR3 Stock | BRL 19.26 0.51 2.72% |
Assuming the 90 days trading horizon and your above-average risk tolerance, our recommendation regarding Gerdau SA is 'Strong Sell'. A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Gerdau SA given historical horizon and risk tolerance towards Gerdau SA. When Macroaxis issues a 'buy' or 'sell' recommendation for Gerdau SA, the advice is generated through an automated system that utilizes algorithms and statistical models.
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. Note, we conduct extensive research on individual companies such as Gerdau and provide practical buy, sell, or hold advice based on investors' constraints. Gerdau SA. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in nation.
Gerdau |
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. Macroaxis does not own or have any residual interests in Gerdau SA 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
 |  |
Strong Sell
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Analyst Consensus | Not Available | Details | |
Reporting Quality (M-Score) | Inapplicable | Details |
Gerdau SA Trading Alerts and Improvement Suggestions
| The company has R$12.92 Billion in debt which may indicate that it relies heavily on debt financing | |
| About 98.0% of the company shares are held by company insiders |
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 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 | 0.35 | Value At Risk | -2.03 | Potential Upside | 3.56 | Standard Deviation | 1.97 |
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 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 Basic Materials 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 | 0.39 | |
β | Beta against Dow Jones | -0.5 | |
σ | Overall volatility | 1.98 | |
Ir | Information ratio | 0.12 |
Gerdau SA Volatility Alert
Gerdau SA has relatively low volatility with skewness of 1.77 and kurtosis of 7.61. 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 |
| Fundamentals | Gerdau SA | Peer Average |
| Return On Equity | 0.3 | -0.31 |
| Return On Asset | 0.15 | -0.14 |
| Profit Margin | 0.16 % | (1.27) % |
| Operating Margin | 0.22 % | (5.51) % |
| Current Valuation | 54.97 B | 16.62 B |
| Shares Outstanding | 571.93 M | 571.82 M |
| Shares Owned By Insiders | 97.54 % | 10.09 % |
| Shares Owned By Institutions | 1.05 % | 39.21 % |
| Price To Earning | 8.75 X | 28.72 X |
| Price To Book | 0.87 X | 9.51 X |
| Price To Sales | 0.56 X | 11.42 X |
| Revenue | 78.35 B | 9.43 B |
| Gross Profit | 20.82 B | 27.38 B |
| EBITDA | 23.93 B | 3.9 B |
| Net Income | 15.49 B | 570.98 M |
| Cash And Equivalents | 2.57 B | 2.7 B |
| Cash Per Share | 1.51 X | 5.01 X |
| Total Debt | 12.92 B | 5.32 B |
| Debt To Equity | 60.10 % | 48.70 % |
| Current Ratio | 1.89 X | 2.16 X |
| Book Value Per Share | 29.47 X | 1.93 K |
| Cash Flow From Operations | 12.52 B | 971.22 M |
| Earnings Per Share | 8.05 X | 3.12 X |
| Target Price | 19.0 | |
| Number Of Employees | 30 K | 18.84 K |
| Beta | 1.22 | -0.15 |
| Market Capitalization | 46.14 B | 19.03 B |
| Total Asset | 73.81 B | 29.47 B |
| Z Score | 2.8 | 8.72 |
| Annual Yield | 0.15 % | |
| Five Year Return | 2.62 % | |
| Net Asset | 73.81 B | |
| Last Dividend Paid | 3.63 |
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? 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.
Use Investing Ideas to Build Portfolios
In addition to having Gerdau SA in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Manufacturing Thematic Idea Now
Manufacturing
Companies that provide goods across residential, commercial and industrial construction such as machinery, tools, or lumber production. The Manufacturing theme has 20 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Manufacturing Theme or any other thematic opportunities.
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Additional Tools for Gerdau Stock Analysis
When running Gerdau SA's price analysis, check to measure Gerdau SA's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Gerdau SA is operating at the current time. Most of Gerdau SA's value examination focuses on studying past and present price action to predict the probability of Gerdau SA's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Gerdau SA's price. Additionally, you may evaluate how the addition of Gerdau SA to your portfolios can decrease your overall portfolio volatility.