POSCO (PKX) and Its Peers Head to Head Contrast

POSCO (NYSE:PKX) is one of 1,984 public companies in the “Metals & Mining” industry, but how does it compare to its rivals? We will compare POSCO to similar companies based on the strength of its institutional ownership, earnings, analyst recommendations, dividends, risk, profitability and valuation.

Profitability

This table compares POSCO and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
POSCO	1.49%	1.68%	0.99%
POSCO Competitors	-1,161,736,352,322,426,400.00%	-52.87%	-2.06%

Institutional & Insider Ownership

15.9% of shares of all “Metals & Mining” companies are held by institutional investors. 0.0% of POSCO shares are held by company insiders. Comparatively, 17.6% of shares of all “Metals & Mining” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares POSCO and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
POSCO	$48.64 billion	$483.48 million	22.65
POSCO Competitors	$4.78 billion	$278.94 million	-26.16

POSCO has higher revenue and earnings than its rivals. POSCO is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Risk & Volatility

POSCO has a beta of 1.75, indicating that its share price is 75% more volatile than the S&P 500. Comparatively, POSCO’s rivals have a beta of 0.96, indicating that their average share price is 4% less volatile than the S&P 500.

Dividends

POSCO pays an annual dividend of $1.15 per share and has a dividend yield of 2.2%. POSCO pays out 50.9% of its earnings in the form of a dividend. As a group, “Metals & Mining” companies pay a dividend yield of 10.0% and pay out 10.8% of their earnings in the form of a dividend. POSCO lags its rivals as a dividend stock, given its lower dividend yield and higher payout ratio.

Analyst Ratings

This is a summary of current recommendations and price targets for POSCO and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
POSCO	1	0	1	1	2.67
POSCO Competitors	6414	22620	32328	1801	2.47

As a group, “Metals & Mining” companies have a potential upside of 24.21%. Given POSCO’s rivals higher probable upside, analysts plainly believe POSCO has less favorable growth aspects than its rivals.

Summary

POSCO beats its rivals on 9 of the 15 factors compared.

POSCO Company Profile

POSCO, now organized under POSCO Holdings Inc., is a South Korean steel and materials group. Its principal steelmaking business produces a range of products, including hot- and cold-rolled steel, stainless steel, plates, wire rod and electrical steel. POSCO steel products serve industries such as automotive, construction, shipbuilding, energy and manufacturing. The company operates internationally, supplying customers in South Korea and overseas through its production facilities and global sales network.