In the last twelve months of last year, Iran Steel has recorded an extremely positive performance and in the international markets, Iranian steel production has been undisputedly higher than all other countries in the region. With a 12 percent growth in exports over the course of a year, in addition to breaking its steel production record once again, Iran was able to show its export power to the world in the Corona crisis. Therefore, in this analysis, we examine the performance of steel companies. Companies have often been accompanied by very acceptable growth in the stock market, which has experienced much better conditions than steel in other industries. Please stay with Artan Press until the end.
One of the points that is examined about the performance of companies and is sometimes considered the prestige of the stock market is the process of smart money inflow and real money inflow to some symbols. Only yesterday, when the market was in negative conditions, the investment companies Pars Ariana, Foolad Kavian, with 185 and 165 billion tomans, respectively, had the highest inflow of money by real people. The fact that a steel company has the largest inflow of money in negative market conditions means that the stock market outlook of steel companies and the foundation of these shares is in good condition.
*** Performance of steel chain OTC companies
The general perception of steel companies’ profitability may be limited to a few large and specialized steel companies, but due to rising export prices as well as the self-sufficiency of the OTC steel chain, very acceptable performance in the long and medium term has been achieved. Have left.
A clear example of acceptable growth in the downstream steel sector is Amir Kabir Steel Company. The sales amount of Amir Kabir Kashan Steel during the first 9 months of 1399 was about 1,825 billion Tomans, which compared to the same period last year (761 billion Tomans) has grown by about 140%, also the sales of this company in December this year is about 258 Billion tomans, which compared to the same period last year (122 billion tomans) has had a growth of 112%.
The status of reporting and information offerings of this share in the Cadal system is also acceptable, which greatly increases the value of the company’s shares and, on the other hand, keeps the attractiveness of the purchase surprisingly high. It is necessary to explain that Amir Kabir Kashan Steel had sales of about 1,206 billion Tomans in 1998.
*** Steel Sheet Market Boom
Due to the boom in the steel sheet market last year, many steel companies operating in the sheet sector are enjoying very good conditions. A successful example of this is the performance of Auxin Steel Company, which absorbs 88% of the market revenues of sheets required by the oil industry.
The monopoly on sheet transactions for Auxin Steel has resulted in the company’s shares on the stock exchange gaining over 200% profitability over the past year, and by setting the guidelines for the steel executive policy, a positive outlook for the company’s shares in Intervals for the next year were envisaged.
One of the factors that strengthens the foundation of a stock is the dependence of other markets and stock symbols on the performance of a stock. Production of steel sheets in the steel chain is considered as a strategic commodity. Therefore, the performance of many listed companies depends on the output of Auxin Steel Company.
Auxin Steel Company is currently the only producer of oil and gas transmission sheets in the country. In the first eight months of 1998, 44% of the revenue of this market was absorbed by Auxin Steel due to the settlement of debts of the previous year. One of the reasons for the increase in dividends of Auxin Steel Company was the publication of important news about the distribution of dividends from the return on investment, which marked the purchase queue of this share in the bloody days of the Iranian stock exchange.
*** Performance of listed companies affiliated with international transactions
The performance of listed companies is highly dependent on the export situation and the performance of companies in international transactions. In this regard, it should be noted that the export prices of Iranian steel have an upward trend, and this week, for example, the price of export billets has increased by about 7% and has reached $ 530 per ton. Along with the increase in the price of billets, the price of export slabs also increased by about 1.5 percent and traded at $ 550 per ton.
Since a significant part of Iran’s export portfolio consists of slabs and billets and these two steel products are produced in most Iranian steel export companies, so most steel companies will see growth in revenues from international sales and this The issue will have a huge impact on their year-end audits.
*** Growth of steel prices in Iran and international markets
It may occur to the audience that the growth of steel prices in Iran and international markets is intermittent and can not be accurately predicted for the future performance of Iranian steel companies from today. But this hypothesis is wrong because the CIS price index for billet It has grown by about 1% in the past day. This price increase will soon affect domestic markets and producer prices, and will keep the upward trend of prices positive for a longer period.
Another interesting issue that steel and metal companies have to pay attention to in the stock market is the net asset value (NAV) per share. For this issue, it is enough to examine the stock status of Kosar Bahman Investment Company. This analysis can be examined in two ways. The company’s stock portfolio and the company’s non-stock portfolio.
*** Exchange and non-exchange portfolio of Kosar Bahman Investment Company
Regarding the stock market portfolio, it should be noted that the current value of the stock market portfolio The company is 5,414 billion Tomans and the value added of the company is 4,793 billion Tomans. This investment company is important in that it holds the shares of Kaveh Kish Steel in its portfolio. Its most important stock exchange companies are: Kaveh South Kish Steel – Parsian Insurance – Sina Marine and Port Services Development and Iran Building Investment.
Regarding the review of the company’s non-listed portfolio, it should be noted that the estimated value of the company’s non-listed portfolio is 349 billion Tomans and the non-listed value added of the company is 261 billion Tomans. Is a percentage. These calculations mean that the company trades at low thesis figures of its value and in the medium term can bring a 27% guaranteed return to its shareholders.
The companies examined in this analysis are just examples of the successful performance of steel companies operating in the Iranian stock market. In the coming days and in accordance with market conditions, the performance of other steel companies will be analyzed and examined in detail. But in terms of the market as a whole, metal and steel companies are in a favorable position and there is no bubble in steel stock prices on the stock exchange today.