Risk factor
Very high price volatility
Profitability factor
Greatly undervalued vs peers
About
Ferrexpo plc, through its network of subsidiaries, is primarily involved in the mining, development, processing, production, and global sale of iron ore pellets for the metallurgical sector. The company's key operational infrastructure includes two mines and a processing facility situated near Kremenchug in Ukraine. To facilitate its extensive operations, Ferrexpo also manages a port in Odessa, maintains a fleet of vessels navigating the Rhine and Danube waterways, and employs a specialized ocean-going vessel for crucial top-off services. Beyond its core commodity business, the firm provides various supplementary services, such as financial management, procurement, transportation, marketing, shipping, barging, and comprehensive port services. With an international footprint, Ferrexpo's market reach extends across Europe, Northeast Asia, China, Southeast Asia, Turkey, the Middle East, and North Africa. Established in 2005, Ferrexpo is headquartered in Baar, Switzerland, and functions as a subsidiary of Fevamotinico S.a.r.l.
Company Valuation
Based on key historical and expected multiples, the stock is greatly undervalued relative to its peers. Specifically, the stock is undervalued on EV/EBITDA.