In this blog we are going to get info on 8 best metal companies of USA but first let’s see common info regarding metal companies of USA.
The Role and Impact of Metal Companies in the U.S. Economy
Contribution to GDP
Metal companies play a crucial role in the U.S. economy. The mining sector, which includes metal mining, contributes around 1.4% to the country’s Gross Domestic Product (GDP). When considering metal fabrication and manufacturing, the broader manufacturing sector accounts for nearly 10.3% of the GDP. This makes metals a key industry supporting economic growth.
Employment and Job Creation
Metal-related industries provide significant employment opportunities:
- The mining sector directly employs around 606,900 people.
- The manufacturing sector, including metal fabrication, supports over 13.3 million jobs, roughly 10.1% of total nonfarm employment.
- In metal ore mining, about 96,000 people are directly employed, with 170,000 additional jobs supported indirectly, totaling over 266,000 jobs in this segment alone.
Economic Importance of Metal Companies
- Infrastructure Development – Metals like steel and aluminum are essential in constructing buildings, roads, bridges, and transportation networks.
- Manufacturing and Technology – Industries such as automobiles, electronics, machinery, and aerospacedepend on specialized metals for production.
- National Security – The defense industry requires metals for military equipment, ensuring the country’s security and technological advancement.
- Economic Growth & Supply Chain Impact – Metal companies support numerous related industries, creating a multiplier effect that boosts other sectors and generates government tax revenues.
All in all
Metal companies are vital pillars of the U.S. economy, significantly contributing to GDP, employment, infrastructure, and industrial innovation. They help drive economic stability, technological progress, and national security, making them indispensable to modern society.
List of 8 Best Metal Companies of USA :
| Company | Ticker | Stock Price (USD) | Market Capitalization (USD) | Index Listing | Net Profit (USD) |
|---|---|---|---|---|---|
| ATI Inc. | ATI | 51.48 | 7.86 billion | NYSE | 367.80 million |
| Carpenter Technology Corporation | CRS | 183.50 | 8.81 billion | NYSE | 542 million |
| Reliance Steel & Aluminum Co. | RS | 282.78 | 16.5 billion | NYSE | 1.2 billion |
| Ryerson Holding Corporation | RYI | 23.39 | 880 million | NYSE | 65 million |
| Olympic Steel Inc. | ZEUS | 32.85 | 360 million | NASDAQ | 25 million |
| Freeport-McMoRan Inc. | FCX | 38.85 | 56.5 billion | NYSE | 3.5 billion |
| Newmont Corporation | NEM | 46.24 | 36.8 billion | NYSE | 2.1 billion |
| Barrick Gold Corporation | GOLD | 18.78 | 33.4 billion | NYSE | 1.8 billion |
Fundamental Analysis of 8 best metal companies of USA :
| Company | Ticker | Debt/Equity | P/E Ratio | P/B Ratio | EPS (USD) | ROE (%) | ROA (%) | Dividend Yield (%) | Piotroski F-Score |
|---|---|---|---|---|---|---|---|---|---|
| ATI Inc. | ATI | 1.00 | 20.03 | 3.90 | 2.82 | 22.28 | 6.67 | N/A | 7 |
| Carpenter Technology Corporation | CRS | 0.50 | 22.50 | 1.20 | 3.50 | 15.00 | 5.00 | 1.50 | 6 |
| Reliance Steel & Aluminum Co. | RS | 0.17 | 10.50 | 2.00 | 28.00 | 20.00 | 12.00 | 1.80 | 8 |
| Ryerson Holding Corporation | RYI | 0.80 | 8.00 | 1.50 | 2.90 | 18.00 | 6.00 | 1.20 | 5 |
| Olympic Steel Inc. | ZEUS | 0.60 | 9.50 | 1.10 | 3.20 | 12.00 | 4.50 | 0.80 | 6 |
| Freeport-McMoRan Inc. | FCX | 0.35 | 15.00 | 2.50 | 2.60 | 16.00 | 8.00 | 1.00 | 7 |
| Newmont Corporation | NEM | 0.25 | 18.00 | 1.80 | 2.50 | 14.00 | 7.00 | 2.50 | 6 |
| Barrick Gold Corporation | GOLD | 0.22 | 16.50 | 1.60 | 1.80 | 10.00 | 5.50 | 2.00 | 5 |
Key Analysis from the Financial Data of 8 Best Metal Companies of USA
1. Financial Stability (Debt/Equity Ratio)
- Lowest Debt: Reliance Steel & Aluminum (RS) – 0.17 (Least leveraged, financially strong)
- Highest Debt: ATI Inc. (ATI) – 1.00 (Highly leveraged, potentially higher risk)
- Moderate Debt Levels: Most companies have a debt/equity ratio below 0.80, indicating reasonable financial stability.
2. Valuation Insights (P/E and P/B Ratios)
- Cheapest Based on Earnings: Ryerson Holding (RYI) – P/E of 8.00
- Expensive Stocks: Carpenter Technology (CRS) – P/E of 22.50, indicating high investor expectations.
- P/B Ratio Insights: Reliance Steel & Aluminum (RS) and Freeport-McMoRan (FCX) have reasonable P/B ratios (~2.0-2.5), suggesting fair valuations.
3. Profitability and Returns
- Highest Return on Equity (ROE): ATI (22.28%) and Reliance Steel (20.00%) – Strong profitability.
- Best Return on Assets (ROA): Reliance Steel (12%) and Freeport-McMoRan (8%) – Efficient asset utilization.
4. Earnings and Dividend Performance
- Best EPS (Earnings per Share): Reliance Steel (28.00), ATI (2.82), Freeport-McMoRan (2.60)
- Strongest Dividend Payers: Newmont (2.50%) and Barrick Gold (2.00%) – Suitable for dividend-focused investors.
- No Dividends: ATI Inc. does not offer a dividend, possibly reinvesting profits for growth.
Piotroski Score Analysis (Financial Strength) of 8 best metal companies of USA :
- Best Financial Health: Reliance Steel (8/9) – Strong financials, stable growth.
- Above Average Scores: ATI (7), Freeport-McMoRan (7) – Well-positioned companies with good fundamentals.
- Moderate Financial Strength: Carpenter (6), Olympic Steel (6), Newmont (6) – Balanced risk-reward.
- Weaker Scores (Lower Confidence): Barrick Gold (5), Ryerson Holding (5) – May face financial or operational challenges.
Investment Insights
- Best Performing & Stable Picks: Reliance Steel (RS) – High profitability, strong Piotroski score, and stable financials.
- High-Growth Potential: ATI (ATI) & Freeport-McMoRan (FCX) – Strong earnings, good returns, and solid Piotroski scores.
- Good Dividend Plays: Newmont (NEM) & Barrick Gold (GOLD) – Stable dividend yields but require monitoring.
- Higher Risk Companies: Ryerson (RYI) & Barrick Gold (GOLD) – Lower Piotroski scores, could have weaker fundamentals.
Final Words :
Credit Ratings for 8 best USA metal companies :
| Company | S&P Rating | Moody’s Rating | Fitch Rating | Outlook | Notes |
|---|---|---|---|---|---|
| ATI Inc. | BB- | Not Rated | Not Rated | Stable | Improved profitability, strong aerospace market focus. |
| Carpenter Technology Corporation | BB+ | B2 | Not Rated | Negative | High reliance on aerospace industry, slow profitability recovery. |
| Reliance Steel & Aluminum Co. | BBB+ | Not Rated | BBB+ | Stable | Strong financials and stable creditworthiness. |
| Ryerson Holding Corporation | BB- | Not Rated | B+ | Negative | Elevated leverage concerns, but adequate credit metrics. Senior Secured Notes rated at B; ABL credit facility rated at BB+. |
| Olympic Steel Inc. | BB- | B1 | BB- | Stable | Speculative-grade credit but stable outlook across agencies. Moderate credit risk. |
| Freeport-McMoRan Inc. | BBB (Generally) | Not Available | BBB (Generally) | N/A | — |
| Newmont Corporation | BBB (Generally) | Not Available | BBB (Generally) | N/A | — |
| Barrick Gold Corporation | BBB (Generally) | Not Available | BBB (Generally) | N/A | — |
Investment Analysis and Market Sentiment of Metal Companies
| Company | Investment Rationale | Market Sentiment |
|---|---|---|
| ATI Inc. | Strong financial performance, with record-high sales in 2024. Analysts have given a high price target, suggesting a potential upside of nearly 50%. This indicates positive future growth potential. | Bullish |
| Carpenter Technology Corp. | Significant earnings growth of 95% in Q2. It has a strong Composite Rating, ranking in the top 4% of stocks based on key metrics. However, moderate institutional selling suggests some caution. | Neutral |
| Reliance Steel & Aluminum Co. | Solid financials and an investment-grade credit rating (BBB+), showing stability and strong long-term prospects. The company has a strong balance sheet, making it a reliable investment. | Bullish |
| Ryerson Holding Corp. | Holds a B+ credit rating with a stable outlook. While its credit metrics are adequate, concerns about elevated leverage could limit its growth potential. | Neutral |
| Olympic Steel Inc. | Rated BB- with a stable outlook, meaning it has a speculative-grade credit but remains financially stable. Moderate risk for investors. | Neutral |
| Freeport-McMoRan Inc. | Generally maintains an investment-grade rating (BBB), indicating financial stability. Its growth potential depends on the overall commodities market, particularly copper prices. | Neutral |
| Newmont Corporation | Maintains an investment-grade rating (BBB) and is a leader in gold mining. Its performance is closely linked to gold prices, making it a stable but market-dependent investment. | Neutral |
| Barrick Gold Corporation | Also holds an investment-grade credit rating (BBB) and has a strong position in the gold market. Its performance depends on gold price movements. | Neutral |
Key Insights:
- Best Investment Picks: ATI Inc. and Reliance Steel & Aluminum Co. have strong fundamentals and are seen as bullish investments.
- Neutral Companies: Carpenter Technology, Ryerson Holding, Olympic Steel, Freeport-McMoRan, Newmont, and Barrick Gold have stable but cautious outlooks, mostly depending on commodity price fluctuations.
- Gold & Metal Price Dependency: Newmont and Barrick Gold are safe, long-term plays but heavily tied to gold price movements.
Happy Investing