Gerdau SA ADR (GGB) is slightly undervalued and POSCO Holdings Inc ADR (PKX) is overvalued.
Against our estimates of intrinsic value, GGB trades at the wider discount: a margin of safety of +19%, against -69% for PKX.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 9.6% (average of 3 methods) values the shares at $6.18; the price of $5.02 is 19% below that value, and 74% of that value comes from beyond year five.
Leak Score 49/100 on 3 of 12 signals
Discounting its cash flows at 8.2% values the shares at $34.89; the price of $59.05 is 69% above that value, and 78% of that value comes from beyond year five.
Leak Score 0/100 on 3 of 12 signals
| Metric | GGB | PKX |
|---|---|---|
| Verdict | Slightly undervalued | Overvalued |
| Price | $5.02 | $59.05 |
| Intrinsic value | $6.18 | $34.89 |
| Margin of safety | +19% | -69% |
| Leak Score | 49/100 (3/12) | 0/100 (3/12) |
| Market cap | $6.2B | $17.9B |
| Revenue growth, 5 years | 8.0% | -0.1% |
| Operating margin | 7.4% | 3.0% |
| Net margin | 3.3% | 1.9% |
| Return on equity | 4.3% | 2.4% |
| Debt to equity | 0.28 | 0.55 |
| P/E | 22.9x | 19.4x |
| Forward P/E | 8.7x | 10.7x |
| P/B | 0.9x | 0.5x |
| Dividend yield | 4.1% | 3.0% |