- Gerdau SA (GGB) Q1 2026 Earnings Call Highlights: Strong North American Performance and ...
Apr 29, 2026
This article first appeared on GuruFocus.
Release Date: April 28, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
Gerdau SA (NYSE:GGB) posted strong results in North America, achieving the best adjusted EBITDA for the first quarter since 2022. The company recorded a consolidated net income of 1 billion bureaus, a 50% increase compared to the previous quarter. Gerdau SA (NYSE:GGB) introduced Gerdau New Eco, a low-carbon steel solution, expanding its product portfolio with a lower carbon footprint. The company achieved a higher EBITDA margin in Brazil compared to the previous quarter, thanks to cost discipline. Gerdau SA (NYSE:GGB) plans to complete significant projects by the end of 2026, potentially adding nearly BRL1.5 billion to annual EBITDA.
Negative Points
The Brazilian market remains under pressure from excessive steel imports, impacting profitability. The company faces challenges in Brazil due to a decline in apparent consumption of long steel products. There are ongoing negotiations with input providers due to cost pressures, particularly in energy. The Miguel Burnier mining project is delayed, affecting the expected EBITDA contribution for the year. The company is dealing with productivity issues in civil construction and electromechanical assembly, impacting project timelines.
Q & A Highlights
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Q: Can you elaborate on the productivity improvements in Brazil and the main levers for cost reduction? A: Gustavo Verneck, CEO: The improvements stem from initiatives we control, such as logistics and industrial productivity. We see opportunities to enhance competitiveness and cost efficiency, particularly in logistics, as we serve all corners of Brazil. We are also negotiating with customers to manage cost pressures from energy and input prices. Rafael Japur, CFO, added that significant projects like the mining expansion in Miguel Burnier and the scrap processing center in Pindamonhangaba will contribute to cost savings and increased competitiveness.
Q: What are your expectations for CapEx in 2027, considering the completion of major projects? A: Rafael Japur, CFO: It's too early to provide formal guidance for 2027 CapEx. However, we anticipate maintenance CapEx to average around BRL3 billion annually over the next five years. We aim to balance competitive projects that generate additional EBITDA with maintaining a disciplined capital allocation strategy.
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Q: Can you provide more details on the North American operations and their outlook? A: Gustavo Verneck, CEO: Demand in North America remains resilient, driven by sectors like data centers and infrastructure. Our business model focuses on merchants and structurals, benefiting from robust trade defense mechanisms. We have improved operational efficiency since 2018, and we expect stable, high-level steel consumption to continue.
Q: How do you view the current competitive dynamics in Brazil, particularly regarding imports and trade defense measures? A: Gustavo Verneck, CEO: We are optimistic about trade defense measures, as the evidence of damage from imports is clear. The Brazilian government is expected to implement more robust anti-dumping measures. We believe these actions will improve the competitive landscape and support the domestic steel industry.
Q: What are your expectations for the Miguel Burnier project and potential one-off actions for cash generation? A: Rafael Japur, CFO: The Miguel Burnier project is slightly delayed, and we may not achieve the full BRL400 million EBITDA this year. However, we are implementing initiatives to offset this through improved efficiencies and strategic ore purchases. Regarding cash generation, we continue to analyze our real estate assets for potential divestment opportunities, maintaining a disciplined approach to capital allocation.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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- GERDAU S.A. - CONSOLIDATED INFORMATION
Apr 27, 2026
SÃO PAULO, April 27, 2026 /PRNewswire/ --
1Q26 Highlights
Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) of R$3.0 billion in 1Q26, up 25% from 4Q25. Notably, North America accounted for 75% of the Company's Consolidated EBITDA in the first quarter of 2026. Investments (CAPEX) of R$1.1 billion in 1Q26, 27% lower than in 4Q25, in line with guidance of R$4.7 billion for 2026. Return to shareholders: the Company approved a dividend distributionof R$0.18 per share, equivalent to R$354.1 million, to be paid as of June 09, 2026. Also, advanced with the 2026Share Buyback Program, with the acquisition of 21% of the authorized shares in Gerdau S.A. Inauguration of the Barro Alto Solar Complex in Goiás, with an installed capacity of ~111 MWm, marks an important step for Gerdau in its pursuit to enhance the competitiveness and sustainability of its operations in Brazil.
Additional information
Gerdau S.A. informs that it is filling today its 1Q26 results at the Securities and Exchange Commission (SEC) and at the Comissão de Valores Mobiliários (CVM), which are available at Gerdau's website. To access this document, please click on: https://ri.gerdau.com/en/notices-and-results/results-center/.
The 1Q26 Valuation Guide is also available on Gerdau's website.
https://ri.gerdau.com/en/financial-information/valuation-guide/
Investor Relations inform@gerdau.comCision
View original content:https://www.prnewswire.com/news-releases/gerdau-sa--consolidated-information-302754886.html
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- All You Need to Know About Gerdau (GGB) Rating Upgrade to Buy
Apr 14, 2026
Gerdau (GGB) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.
The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.
The power of a changing earnings picture in determining near-term stock price movements makes the Zacks rating system highly useful for individual investors, since it can be difficult to make decisions based on rating upgrades by Wall Street analysts. These are mostly driven by subjective factors that are hard to see and measure in real time.
As such, the Zacks rating upgrade for Gerdau is essentially a positive comment on its earnings outlook that could have a favorable impact on its stock price.
Most Powerful Force Impacting Stock Prices
The change in a company's future earnings potential, as reflected in earnings estimate revisions, has proven to be strongly correlated with the near-term price movement of its stock. The influence of institutional investors has a partial contribution to this relationship, as these big professionals use earnings and earnings estimates to calculate the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their transaction of large amounts of shares then leads to price movement for the stock.
For Gerdau, rising earnings estimates and the consequent rating upgrade fundamentally mean an improvement in the company's underlying business. And investors' appreciation of this improving business trend should push the stock higher.
Harnessing the Power of Earnings Estimate Revisions
Empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, so it could be truly rewarding if such revisions are tracked for making an investment decision. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .
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Earnings Estimate Revisions for Gerdau
This steel producer is expected to earn $0.50 per share for the fiscal year ending December 2026, which represents no year-over-year change.
Analysts have been steadily raising their estimates for Gerdau. Over the past three months, the Zacks Consensus Estimate for the company has increased 1.4%.
Bottom Line
Unlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.
You can learn more about the Zacks Rank here >>>
The upgrade of Gerdau to a Zacks Rank #2 positions it in the top 20% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.
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Gerdau S.A. (GGB) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
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- Should Value Investors Buy Gerdau (GGB) Stock?
Apr 14, 2026
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One stock to keep an eye on is Gerdau (GGB). GGB is currently sporting a Zacks Rank #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 7.47, which compares to its industry's average of 12.16. Over the past 52 weeks, GGB's Forward P/E has been as high as 7.73 and as low as 4.76, with a median of 6.35.
Investors should also note that GGB holds a PEG ratio of 0.64. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. GGB's PEG compares to its industry's average PEG of 0.70. Over the past 52 weeks, GGB's PEG has been as high as 2.91 and as low as 0.56, with a median of 1.20.
Value investors will likely look at more than just these metrics, but the above data helps show that Gerdau is likely undervalued currently. And when considering the strength of its earnings outlook, GGB sticks out as one of the market's strongest value stocks.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Gerdau S.A. (GGB) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
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- Gerdau S.A. (GGB) Gets Upgraded to Outperform From Sector Perform by Scotiabank – Here’s Why
Apr 1, 2026
Gerdau S.A. (NYSE:GGB) is one of the best affordable stocks to buy under $10. Gerdau S.A. (NYSE:GGB) was upgraded to Outperform from Sector Perform by Scotiabank on March 26, with the firm raising the price target on the stock to R$22 from R$20. The firm told investors in a research note that Gerdau North America should continue to post strong results supported by tariffs, even amid the conflict in the Middle East. Scotiabank believes that the company’s margins in Brazil should improve gradually, provided the ongoing energy disruptions due to the war in Iran are resolved.Is Gerdau S.A. (GGB) the Best Steel Stock to Buy According to Billionaires?
Separately, Gerdau S.A. (NYSE:GGB) stated that it had ended 2025 with adjusted EBITDA of R$10.1 billion, representing an adjusted EBITDA margin of 14.4%. It also reported that its financial results were positively impacted by a strong performance in the North American market. Net revenue reached R$ 69.9 billion, while steel shipments totaled 11.6 million tonnes.
Gerdau S.A. (NYSE:GGB) produces and commercializes steel products. The company’s operations are divided into the following segments: Brazil Operation, North America Operation, South Africa Operation, and Special Steels Operation.
While we acknowledge the potential of GGB as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 15 Stocks That Will Make You Rich in 10 Years AND 12 Best Stocks That Will Always Grow.
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- How The Investment Story For Gerdau (BOVESPA:GGBR4) Is Shifting With New Street Targets
Mar 17, 2026
Get insights on thousands of stocks from the global community of over 7 million individual investors at Simply Wall St.
An updated fair value range from R$24.13 to R$24.57, alongside a Street target anchored at US$4.70, shows analysts are still assigning a defined price objective to Gerdau rather than stepping away entirely. Those targets sit against a backdrop of downgrades and more neutral ratings, which signal shifting confidence levels around how the company might execute against prior expectations. As you read on, you will see how to interpret these moving targets and track the story as the narrative continues to evolve.
Analyst Price Targets don't always capture the full story. Head over to our Company Report to find new ways to value Gerdau.
What Wall Street Has Been Saying
🐂 Bullish Takeaways
The updated Itau BBA target of US$4.70 indicates that, even after a downgrade to Market Perform, the firm still assigns measurable upside potential relative to recent trading levels. This is implied by the R$24.13 to R$24.57 fair value range. Maintaining a specific target rather than dropping formal coverage suggests Itau BBA continues to see an investment case tied to Gerdau’s ability to execute on its core business and capital allocation plans.
🐻 Bearish Takeaways
Itau BBA’s shift from Outperform to Market Perform signals reduced conviction around Gerdau’s execution against prior expectations. The US$4.70 target reflects a more cautious stance on risk and reward. BTG Pactual’s downgrade adds a second voice leaning more conservative and reinforces the idea that recent developments around growth prospects, pricing, or profitability are leading some analysts to temper their outlook.
Do your thoughts align with the Bull or Bear Analysts? Perhaps you think there's more to the story. Head to the Simply Wall St Community to discover more perspectives!BOVESPA:GGBR4 1-Year Stock Price Chart
We've flagged 2 risks for Gerdau. See which could impact your investment.
What's in the News
On February 23, 2026, Gerdau’s Board of Directors authorized a new share buyback plan, signaling continued use of repurchases as a capital management tool. The company announced a share repurchase program of up to 1,441,120 common shares, equal to 10% of its issued share capital, with the program running until August 24, 2027. The new buyback is intended to manage the capital structure, support long term incentive plans, and allow shares to be held in treasury for possible cancellation or resale. Under the prior buyback announced on January 20, 2025, Gerdau repurchased 1,500,000 shares for BRL 23.48 million, including 466,500 shares bought between October 1, 2025 and December 19, 2025 for BRL 7.3 million.
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How This Changes the Fair Value For Gerdau
Fair value range set at R$24.13 to R$24.57, reflecting a modest upward adjustment in the modelled share value. Revenue growth assumption adjusted from 4.51% to 3.68% in the valuation inputs. Net profit margin assumption updated from 5.97% to 7.51% in earnings estimates. Future P/E multiple moved from 16.80x to 13.81x in the updated model. Discount rate refined from 21.89% to 21.75% for discounting future cash flows.
Never Miss an Update: Follow The Narrative
Narratives link Gerdau's business story to a set of earnings assumptions and a fair value range that adjust as new data comes in. They help you see how specific catalysts and risks feed into the numbers analysts are using.
Head over to the Simply Wall St Community and follow the Narrative on Gerdau to stay up to date on:
How a greater focus on North America and value added steel products ties into revenue mix, pricing power, and capacity use. The role of cost reduction projects like Miguel Burnier and electric arc furnace upgrades in supporting margins and cash generation for buybacks and dividends. The main risks from Brazilian steel imports, weaker local macro conditions, global overcapacity, and pressure on cash flows if heavy CapEx and rising debt persist.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include GGBR4.bovespa.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
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- Itau BBA Downgrades Gerdau S.A. (GGB) to Market Perform From Outperform – Here’s Why
Mar 12, 2026
Gerdau S.A. (NYSE:GGB) is one of the best penny stocks to buy according to Reddit. On February 26, Gerdau S.A. (NYSE:GGB) was downgraded to Market Perform from Outperform by Itau BBA with a $4.70 price target. The rating update followed Gerdau S.A.’s (NYSE:GGB) announcement on February 23 that it had ended 2025 with adjusted EBITDA of R$10.1 billion, representing an adjusted EBITDA margin of 14.4%. The company stated that its financial results were positively impacted by a strong performance in the North American market. Net revenue reached R$ 69.9 billion, while steel shipments totaled 11.6 million tonnes.Is Gerdau S.A. (GGB) the Best Steel Stock to Buy According to Billionaires?
Gerdau S.A. (NYSE:GGB) further stated that for fiscal Q4 2025, the company reported adjusted EBITDA of R$ 2.4 billion, with an EBITDA margin of 14.0%. Net sales reached R$ 17.0 billion, with steel shipments totalling 2.9 million tonnes. The company’s adjusted net income totaled R$ 670 million in the period from October to December 2025.
Gerdau S.A. (NYSE:GGB) produces and commercializes steel products. The company’s operations are divided into the following segments: Brazil Operation, North America Operation, South Africa Operation, and Special Steels Operation.
While we acknowledge the potential of GGB as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 15 Stocks That Will Make You Rich in 10 Years AND 12 Best Stocks That Will Always Grow.
Disclosure: None. Follow Insider Monkey on Google News.
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- Gerdau S.A. (GGB) Reports Q4 2025 Financial Results
Mar 1, 2026
Gerdau S.A. (NYSE:GGB) is among the 10 Best Steel Stocks to Buy Right Now.Gerdau S.A. (GGB) Reports Q4 2025 Financial Results
On February 23, 2026, Reuters reported that Gerdau S.A. (NYSE:GGB) announced a fourth-quarter adjusted net profit of 670 million reais, up 0.5% year on year. The firm posted adjusted EBITDA of 2.37 billion reais, down 0.7% YoY. The company generated revenue of 16.97 billion reais, up by 0.9% YoY. The North America division produced a gross profit of 1.56 billion reais, up 172%, due to steady demand and affordable costs. The Brazil segment's gross profit fell 87.2% to 161 million reais. The company said that the decline was caused by seasonality effects and steel import demands.
The corporation has approved R$4.7 billion in CAPEX for 2026. It declared a dividend of R$0.10 per share. It executed buybacks of R$1.0 billion and authorized up to 56.4 million shares.
On January 23, 2026, BTG Pactual reduced Gerdau S.A. (NYSE:GGB) to Neutral from Buy while setting a price objective of R$27.
Gerdau S.A. (NYSE:GGB) manufactures and markets steel products. It operates in four segments: Brazil, North America, South Africa, and Special Steels.
While we acknowledge the potential of GGB as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 15 Best Electric Utility Stocks to Invest In Now and 11 Most Volatile Stocks to Buy According to Hedge Funds.
Disclosure: None. Follow Insider Monkey on Google News.
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- Gerdau SA (GGB) Q4 2025 Earnings Call Highlights: Resilience in the American Market and ...
Feb 24, 2026
This article first appeared on GuruFocus.
Release Date: February 24, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
Gerdau SA (NYSE:GGB) demonstrated resilience in the American market, contributing to a strong performance in the region. The company has implemented measures to combat dumping, which is expected to protect its market share in Brazil. Gerdau SA (NYSE:GGB) has shown flexibility in its production capabilities, allowing it to adapt to market changes effectively. The company has successfully completed a share buyback program, indicating strong cash flow and shareholder value focus. Gerdau SA (NYSE:GGB) is exploring non-core asset sales, which could potentially enhance its cash position and shareholder returns.
Negative Points
Dividends were below expectations despite strong cash generation in the fourth quarter. There is uncertainty regarding the allocation of proceeds from non-core asset sales, whether they will be returned to shareholders or retained. The company faces challenges in maintaining margins in the American segment due to competitive pressures. CapEx guidance beyond 2026 remains unclear, with potential fluctuations between 4.5 billion and 6 billion. The company is dealing with the impact of market volatility and economic conditions in Brazil, which could affect future performance.
Q & A Highlights
Warning! GuruFocus has detected 9 Warning Signs with GGB. Is GGB fairly valued? Test your thesis with our free DCF calculator.
Q: How is Gerdau SA planning to manage shareholder returns, especially with the recent share buyback and dividends being below expectations? A: The company acknowledges the importance of shareholder returns and has successfully implemented share buybacks. However, the decision on whether to return proceeds from non-core asset sales to shareholders or retain them as part of the cash balance is still under consideration. The board is evaluating the best approach to balance shareholder returns with strategic investments. (Respondent: Unidentified_7)
Q: What is the company's outlook on CapEx beyond 2026? Will it be closer to 4.5 billion or revert to the 6 billion seen in the past? A: The company is assessing its CapEx needs beyond 2026, considering both current market conditions and strategic growth opportunities. While no specific guidance was provided, the company aims to maintain flexibility in its investment strategy to adapt to changing market dynamics. (Respondent: Unidentified_2)
Q: Can you provide insights into the company's strategy for managing its operations in Brazil and other key markets? A: Gerdau SA is focused on leveraging its geographic flexibility and productive capacity to enhance resilience in key markets, including Brazil and North America. The company is committed to optimizing its operations to meet market demands and sustain growth. (Respondent: Unidentified_3)
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Q: How does Gerdau SA plan to address the challenges in the local Brazilian market, particularly regarding imports and competition? A: The company is actively monitoring the competitive landscape and import dynamics in Brazil. Gerdau SA is implementing strategies to strengthen its market position and mitigate the impact of imports on its operations. (Respondent: Unidentified_2)
Q: What are the company's plans for future investments and growth in the steel industry? A: Gerdau SA is exploring opportunities for organic growth and strategic investments in the steel industry. The company is focused on enhancing its production capabilities and expanding its market presence to drive long-term growth. (Respondent: Unidentified_3)
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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- Gerdau: Q4 Earnings Snapshot
Feb 23, 2026
SAO PAULO SP, Brazil (AP) — SAO PAULO SP, Brazil (AP) — Gerdau SA (GGB) on Monday reported a loss of $239.6 million in its fourth quarter.
On a per-share basis, the Sao Paulo Sp, Brazil-based company said it had a loss of 12 cents. Earnings, adjusted for non-recurring costs, came to 7 cents per share.
The steel producer posted revenue of $3.14 billion in the period.
For the year, the company reported profit of $254 million, or 12 cents per share. Revenue was reported as $12.51 billion.
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This story was generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on GGB at https://www.zacks.com/ap/GGB
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