Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.

Recs

0

4-Star Stocks Poised to Pop: ArcelorMittal

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, steel giant ArcelorMittal (NYSE: MT  ) has earned a respected four-star ranking.

With that in mind, let's take a closer look at ArcelorMittal's business and see what CAPS investors are saying about the stock right now.

ArcelorMittal facts

Headquarters (founded) Luxembourg (1989)
Market Cap $25.7 billion
Industry Steel
Trailing-12-Month Revenue $92.2 billion
Management Chairman/CEO Lakshmi Mittal
CFO Aditya Mittal
Return on Equity (average, past 3 years) 1.9%
Cash/Debt $2.8 billion / $27.7 billion
Dividend Yield 4.5%
Competitors Gerdau (NYSE: GGB  )
Nucor (NYSE: NUE  )
United States Steel (NYSE: X  )

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 97% of the 2,080 members who have rated ArcelorMittal believe the stock will outperform the S&P 500 going forward. These bulls include baselineace and TXinvestor82.  

Just last week, baselineace tapped ArcelorMittal as a timely income opportunity:

U.S. infrastructure is deteriorating and emerging markets infrastructure is, well, emerging. Can't go wrong here at these prices. Great dividend yield too.

ArcelorMittal even sports a particularly paltry price-to-book of 0.4. That represents a discount to competitors like Nucor (1.6), U.S. Steel (0.9), and Gerdau (0.9).

CAPS member TXinvestor82 elaborates on the bull case:

Lakshmi Mittal is a savvy businessman who has spent the past 3 decades forging the largest steelmaker in the world. However, his financial prowess keeps him looking over profitability like a hawk, and even through the downturn he did not sacrifice the company's margins. With global operations, I feel that Europe's problems have been unfairly sinking this stock all year. It's still best-in-class. Outperform.

What do you think about ArcelorMittal, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!

Want to see how well (or not so well) the stocks in this series are performing? Follow the new TrackPoisedTo CAPS account.

The Steve Jobs Betrayal
You may already know that in the final year of his life, Jobs revealed a stunning betrayal — and told his biographer, "I will spend my last dying breath... and every penny of Apple's $40 billion in the bank to right this wrong." What was it that made Jobs so irate — and why could it make a few in-the-know investors some major profits over the coming months and years?

Enter your email address below to find out what made Jobs so enraged!

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Fool owns shares of ArcelorMittal. Motley Fool newsletter services have recommended buying shares of Nucor. Try any of our Foolish newsletter services free for 30 days

We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.


Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On December 15, 2011, at 11:44 AM, kariku wrote:

    Ah, crap! I'm long MT and now I have to sell, thanks to your bloody article

Add your comment.

Compare Brokers

Fool Disclosure

DocumentId: 1742573, ~/Articles/ArticleHandler.aspx, 5/28/2012 12:08:36 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 2 days ago Sponsored by:
DOW 12,454.83 -74.92 -0.60%
S&P 500 1,317.82 -2.86 -0.22%
NASD 2,837.53 -1.85 -0.07%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

5/25/2012 4:01 PM
MT $14.30 Up +0.01 +0.07%
ArcelorMittal CAPS Rating: *****
X $21.80 Up +0.08 +0.37%
United States Stee… CAPS Rating: ***
NUE $36.11 Up +0.38 +1.06%
Nucor CAPS Rating: *****
GGB $8.06 Up +0.15 +1.90%
Gerdau S.A. (ADR) CAPS Rating: ****

Advertisement