WS Stock Analysis: Worthington Steel | NYSE
Steel | NYSE, USA | Market Cap: 1.796m USD | 12M Return: 19.3% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 9.94M
Qual. Beats: 0
Rev. Trend: -37.6%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality 2.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Worthington Steel, Inc. is a North American steel processor headquartered in Columbus, Ohio, that was incorporated in 2023. The company supplies carbon flat-rolled steel, tailor welded blanks, automotive and electrical steel lamination stampings, and aluminum tailor welded blanks, while also providing warehousing, logistics, and materials management services. Its customer base spans the automotive, construction, machinery and equipment, heavy truck, agriculture, and energy sectors.
As a processor rather than a primary steel producer, Worthington Steel adds value by transforming coiled and sheet steel supplied by mills into customized forms, such as blanks and stampings, tailored to specific end-use applications. The automotive sector is the dominant demand driver for tailor welded blanks, which are precision-welded steel sheets used to reduce vehicle weight, improve structural rigidity, and streamline assembly.
- Automotive demand growth lifts steel processing volumes and utilization
- Steel processing margins track hot-rolled coil pricing spreads
- EV lightweighting trends boost tailor welded blank demand
| Net Income: 16.8m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.05 > 0.02 and ΔFCF/TA 0.10 > 1.0 |
| NWC/Revenue: 10.32% < 20% (prev 13.48%; Δ -3.16% < -1%) |
| CFO/TA 0.09 > 3% & CFO 201.2m > Net Income 16.8m |
| Net Debt (371.0m) to EBITDA (221.4m): 1.68 < 3 |
| Current Ratio: 1.46 > 1.5 & < 3 |
| Outstanding Shares: last quarter (49.8m) vs 12m ago 0.61% < -2% |
| Gross Margin: 11.69% > 18% (prev 12.56%; Δ -0.87% > 0.5%) |
| Asset Turnover: 162.8% > 50% (prev 157.7%; Δ 5.12% > 0%) |
| Interest Coverage Ratio: 5.08 > 6 (EBIT TTM 136.6m / Interest Expense TTM 26.9m) |
| A: 0.16 (Total Current Assets 1.13b - Total Current Liabilities 774.2m) / Total Assets 2.27b |
| B: 0.07 (Retained Earnings 148.8m / Total Assets 2.27b) |
| C: 0.06 (EBIT TTM 136.6m / Avg Total Assets 2.12b) |
| D: 1.08 (Book Value of Equity 1.07b / Total Liabilities 990.2m) |
| Altman-Z'' = 2.81 = A |
| DSRI: 1.02 (Receivables 496.2m/438.8m, Revenue 3.44b/3.09b) |
| GMI: 1.07 (GM 12.56% / 11.69%) |
| AQI: 1.16 (AQ_t 0.17 / AQ_t-1 0.15) |
| SGI: 1.11 (Revenue 3.44b / 3.09b) |
| TATA: -0.08 (NI 16.8m - CFO 201.2m) / TA 2.27b) |
| Beneish M = -2.78 (Cap -4..+1) = A |
As of July 29, 2026, the stock is trading at USD 36.76 with a total of 160,705 shares traded. Over the past week, the price has changed by +4.31%, over one month by +4.55%, over three months by -2.16% and over the past year by +19.32%.
Current recommended Stop Loss: 33.30 (which is 9.4% or 2.2 ATR below the current price).
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 | 46 | 25.1% |
P/E Trailing = 105.8235
P/E Forward = 8.3893
P/S = 0.5216
P/B = 1.6753
Revenue TTM = 3.44b USD
EBIT TTM = 136.6m USD
EBITDA TTM = 221.4m USD
Long Term Debt = 31.6m USD (from longTermDebt, two quarters ago)
Short Term Debt = 225.7m USD (from shortTermDebt, last quarter)
Debt = 455.6m USD (from shortLongTermDebtTotal, last quarter) + Leases 101.2m
Net Debt = 371.0m USD (calculated: Debt 455.6m - CCE 84.6m)
Enterprise Value = 2.17b USD (1.80b + Debt 455.6m - CCE 84.6m)
Interest Coverage Ratio = 5.08 (Ebit TTM 136.6m / Interest Expense TTM 26.9m)
EV/FCF = 18.41x (Enterprise Value 2.17b / FCF TTM 117.7m)
FCF Yield = 5.43% (FCF TTM 117.7m / Enterprise Value 2.17b)
FCF Margin = 3.42% (FCF TTM 117.7m / Revenue TTM 3.44b)
Net Margin = 0.49% (Net Income TTM 16.8m / Revenue TTM 3.44b)
Gross Margin = 11.69% ((Revenue TTM 3.44b - Cost of Revenue TTM 3.04b) / Revenue TTM)
Gross Margin QoQ = 12.71% (prev 9.89%)
Tobins Q-Ratio = 0.96 (Enterprise Value 2.17b / Total Assets 2.27b)
Interest Expense / Debt = 5.90% (Interest Expense 26.9m / Debt 455.6m)
Taxrate = 21.0% (US federal default 21%)
NOPAT = 107.9m (EBIT 136.6m * (1 - 21.00%))
Current Ratio = 1.46 (Total Current Assets 1.13b / Total Current Liabilities 774.2m)
Debt / Equity = 0.42 (Debt 455.6m / totalStockholderEquity, last quarter 1.07b)
Debt / EBITDA = 1.68 (Net Debt 371.0m / EBITDA 221.4m)
Debt / FCF = 3.15 (Net Debt 371.0m / FCF TTM 117.7m)
Total Stockholder Equity = 1.10b (last 4 quarters mean from totalStockholderEquity)
RoA = 0.79% (Net Income 16.8m / Total Assets 2.27b)
RoE = 1.52% (Net Income TTM 16.8m / Total Stockholder Equity 1.10b)
RoCE = 12.02% (EBIT 136.6m / Capital Employed (Equity 1.10b + L.T.Debt 31.6m))
RoIC = 6.60% (NOPAT 107.9m / Invested Capital 1.64b)
WACC = 9.62% (E(1.80b)/V(2.25b) * Re(10.88%) + D(455.6m)/V(2.25b) * Rd(5.90%) * (1-Tc(0.21)))
Discount Rate = 10.88% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 1.26 | Cagr: 0.45%
[DCF] Terminal Value 73.96% ; FCFF base≈110.6m ; Y1≈126.8m ; Y5≈186.6m
[DCF] Fair Price = 38.50 (EV 2.29b - Net Debt 371.0m = Equity 1.92b / Shares 49.9m; r=9.62% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.05 | # QB: 0
Revenue Correlation: -37.59 | Revenue CAGR: -1.56% | SUE: -0.45 | # QB: 0
EPS current Quarter (2026-08-31): EPS=1.16 | Chg30d=+70.59% | Revisions=-25% | Analysts=1
EPS next Quarter (2026-11-30): EPS=1.14 | Chg30d=+67.65% | Revisions=-25% | Analysts=1
EPS current Year (2027-05-31): EPS=4.29 | Chg30d=+60.37% | Revisions=+25% | GrowthEPS=+92.4% | GrowthRev=+11.6%
EPS next Year (2028-05-31): EPS=4.87 | Chg30d=+49.85% | Revisions=-25% | GrowthEPS=+13.5% | GrowthRev=+0.0%